Automation Migration Strategy.

Academic Gain Tutorials

13 Jul 202003:28

Summary

TLDRThe video explains a common strategy companies use to introduce new products quickly while managing competitive pressures. It describes a phased automation migration strategy, starting with manual production, moving to automated single-station cells, and eventually to fully integrated automated systems. This approach allows companies to adapt their manufacturing processes as product demand increases, reducing costs and risks by gradually introducing automation. The strategy helps avoid premature investment in high-level automation and ensures that production meets growing demand while allowing time for design improvements.

Takeaways

🚀 A company often needs to introduce new products quickly due to competitive pressures.
🛠️ The easiest and least expensive method to achieve this is by designing a manual production system using independent workstations.
⚙️ Tooling for manual production can be fabricated quickly and at low cost, which allows for rapid product introduction.
🔄 If demand increases, manual workstations can be replicated to produce sufficient quantities.
📈 As demand grows and high future demand is anticipated, companies often transition to automation.
🏗️ Many companies adopt an automation migration strategy to evolve their manufacturing systems as product demand rises.
📊 Phase 1 of the strategy involves manual production using single independent manual workstations, which allows for quick and low-cost startup.
🤖 Phase 2 introduces automation to single stations, but work units are still moved between stations manually.
🔗 Phase 3 integrates the automated single stations into a fully automated multi-station system with automated transfer of work units between stations.
✔️ This phased approach allows companies to gradually introduce automation and avoid committing to full automation prematurely, minimizing risk.

Q & A

What is the main reason a company might need to introduce a new product quickly?
-Competitive pressures in the marketplace often push companies to introduce new products in the shortest possible time.
What is the simplest and least expensive method for starting new product production?
-The simplest and least expensive way is to design a manual production method using a sequence of independent workstations.
Why might a company replicate manual cells during production?
-If more than a single set of workstations is needed to meet demand, companies replicate the manual cell to produce the product in sufficient quantities.
What triggers a company to consider automating production?
-If a product is successful and high demand is anticipated, it makes sense for the company to automate production to reduce labor and increase production rate.
What are the three phases of a typical automation migration strategy?
-The three phases are: 1) Manual production using single-station manned cells; 2) Automated production with single-station automated cells; 3) Automated integrated production with multi-station automated systems.
Why is manual production often used in phase 1 of the automation migration strategy?
-Manual production is used in phase 1 because it allows quick and low-cost tooling, enabling fast introduction of the new product.
What happens in phase 2 of the automation migration strategy?
-In phase 2, the single workstations are automated to reduce labor and increase production rate, but work units are still moved manually between stations.
At what point does a company move to phase 3 in the automation migration strategy?
-A company moves to phase 3 when it is certain that the product will be produced in mass quantities for several years, justifying the integration of automated cells into a multi-station automated system.
What are the advantages of following an automation migration strategy?
-The advantages include quick product introduction, gradual automation as demand grows, the ability to make engineering changes, and avoiding premature investment in full automation.
How does the automation migration strategy reduce risks for companies?
-It avoids the risk of committing to a high level of automation from the start, which may not be justified if demand for the product doesn't grow as expected.

Outlines

00:00

⚙️ Importance of Quick Product Introduction

The paragraph emphasizes the need for companies to quickly introduce new products due to competitive pressures in the marketplace. It explains that the most cost-effective way to achieve this is through a manual production method, where workstations operate independently. Manual methods are not only quick to implement but also low in cost. When demand increases, multiple manual cells can be replicated to meet production needs. However, if the product proves successful, automating the process is recommended for future scalability.

🚀 Automation Migration Strategy

This section introduces the concept of an automation migration strategy, which is a phased plan for evolving manufacturing systems as product demand grows. It provides a general overview of the three phases, where companies move from manual production to partial automation, and finally to a fully automated system. Each phase corresponds to a different level of production scale and automation, helping companies reduce labor costs and increase production rates while managing product success and demand over time.

🔧 Phase 1: Manual Production Setup

The first phase involves manual production using single-station manual cells, which are easy and inexpensive to implement. This phase is ideal for the initial introduction of a new product, as the manual method allows for quick setup with minimal costs. This flexibility enables companies to respond swiftly to market demands without a significant initial investment in automation.

⚡ Phase 2: Automating Single Stations

The second phase focuses on automating the single-station cells as demand for the product grows. Once it's clear that the product justifies automation, the cells are automated to reduce labor and improve production speed. However, even with automation, manual handling of work units between stations continues, as full integration has not yet been achieved.

🤖 Phase 3: Full Automation and Integration

In phase 3, full automation and integration of workstations occur. When the product's demand is high and sustained, the independent automated cells are linked together to form a multi-station automated system. The handling of work units between stations is also automated, further reducing labor and increasing the production rate, marking the completion of the automation process.

🔑 Key Insights into the Automation Strategy

This paragraph summarizes the importance of a phased automation strategy, explaining that it allows companies to gradually introduce automation as product demand grows. It highlights that a well-planned strategy provides flexibility, reduces initial risks, and offers time to refine the automation process. Companies can avoid committing to high-level automation upfront, mitigating the risk of overinvestment in case the product demand does not materialize as expected.

Mindmap

Keywords

💡Competitive pressures

Competitive pressures refer to the forces exerted by rival companies in the marketplace that push a company to innovate or improve its products. In the video, these pressures are the reason why companies need to introduce new products quickly to stay competitive. This need drives them to adopt faster production methods, like manual workstations, to meet market demands.

💡Manual production

Manual production involves creating products using human labor without the aid of automation. The video emphasizes that this is often the easiest and least expensive method to get a new product into the market quickly. It is also the first phase of an automation migration strategy, where independent manual workstations are used to start production.

💡Automation migration strategy

An automation migration strategy is a phased approach to gradually introduce automation in the production process. The video describes this strategy as a formal plan companies follow to evolve from manual production to automated systems as product demand increases. This strategy reduces risks and allows for smooth transition and scalability in manufacturing.

💡Workstations

Workstations are individual production units where specific tasks are performed. In the video's context, manual workstations operate independently during the early phases of production. As the company automates, these workstations become automated cells, and eventually, they are integrated into a more complex system for higher efficiency.

💡Tooling

Tooling refers to the process and equipment required to create the parts and components of a product. The video highlights that manual tooling is quick and low-cost, making it ideal for the initial phase of production. This low-cost setup allows companies to enter the market faster while delaying more expensive automation investments.

💡Automated production

Automated production is the use of machines to perform manufacturing tasks without human intervention. The video mentions this as the second phase of the automation migration strategy, where independent workstations are automated to increase production speed and reduce labor. Automation is implemented when demand grows, making manual methods inefficient.

💡Integration

Integration in the video refers to the process of combining multiple automated stations into a unified system where work units are transferred automatically. This is the final phase of the automation migration strategy, which is only adopted when there is sufficient demand and long-term production certainty. Integration further optimizes production efficiency.

💡Serial operations

Serial operations are production steps that occur in a sequence, where one operation must be completed before the next can begin. In phase three of the automation migration strategy, the video describes how automated systems can be integrated to handle these operations seamlessly, enhancing production flow and reducing manual intervention.

💡Labor reduction

Labor reduction refers to minimizing the number of human workers needed in the production process. Automation, as discussed in the video, is a key method for achieving labor reduction. By automating repetitive tasks, companies can reduce costs associated with manual labor while increasing production speed and consistency.

💡Demand growth

Demand growth is the increase in consumer demand for a product over time. The video explains how companies scale their production strategies based on demand. Initially, they rely on manual methods, but as demand increases, they introduce automation to boost production capacity and meet the higher market needs.

Highlights

Companies need to introduce new products in the shortest possible time due to competitive pressures in the marketplace.

The easiest and least expensive way to achieve quick product introduction is by designing a manual production method using independent workstations.

Manual production methods allow for quick, low-cost tooling that can be fabricated rapidly.

If demand increases, companies can replicate manual production cells to meet production goals.

In cases of high demand, automating production is a natural next step to increase efficiency and reduce labor costs.

Automation improvements are typically carried out in phases, with many companies having a formal automation migration strategy.

Phase 1 of automation migration involves manual production with independent single-station manned cells for product introduction.

Phase 2 involves automating individual stations while still manually moving work units between them.

Phase 3 involves fully automated, integrated production with automated transfer of work units between stations.

This phased automation strategy helps companies reduce labor costs and increase production rates as demand grows.

The strategy also avoids early commitment to expensive automation before it's clear that demand justifies it.

Companies benefit from gradual automation because it provides time for thorough engineering changes and improved automated systems design.

The phased automation approach minimizes risk since the company can scale automation based on actual demand.

The manual production phase allows companies to quickly introduce new products while keeping initial costs low.

The automation migration strategy is adaptable and can be customized based on the types of products and manufacturing processes used by different companies.