Chapter 12

Conducting Simulation Studies

12.1 A Successful Simulation Study

What is the definition of a successful simulation project?

Solve the problem?

Meet the objectives?

Satisfy the boss?

In most cases, success in simulation means that the study met the objectives set forth by the decision makers (management in most cases).

How do we know if the objectives are met?

Metrics - thus we must fully understand the meaning of terms and how the data will be collected.

In many cases, management wants the process to "run better". What does that mean?

Does it mean reduce WIP by 30%, cycle time by 20%, or something else?

What is your budget to make the process better?

What are your constraints? (such as access to operators, deadline of project, money to conduct study, etc..)

12.2 Problem Formulation

You must clearly define the problem to be solved. This goes along with understanding the objectives/constraints/metrics.

The first step is open and frequent communication with the customer.

Often the customer comes to you with a problem, but after several long discussions, you discover that the problem is something entirely different than the customer originally thought.

Determine the metrics needed to simulate the process. Note that one metric at a high level may have several metrics that contribute to it.

12.3 Solution Methodology

Match the level of detail of the problem to the solution methodology.

12.4 System and Simulation Specification

Use team approach if possible. This means:

People are allowed to participate

You have time to use the team approach

Note questions on pp.507-508

In team meetings - remember the 70/20/10 Rule:

70% of the time - the customer team will have the complete answer or the information

20% of the time - the team will not know the answer, but they know how to get it

10% of the time - the team will not know the answer, and does not know where to find it

Establish a contact person. Without a contact person, your project has little change of going anywhere, because you will need access to data, personnel, machines, and to facility on a regular basis.  With the increased security at most facilities, an escort is needed.

12.5 Model Formulation and Construction

Before building the model in ARENA, take time to consider:

  1. Data structure
  2. Type of animation
  3. How the process will be modeled
  4. And Layout of equipment on screen
  5. Do a hand sketch

Remember the information needed for the model in Chapter 6.

Approach - start at a high level with constant times then add detail as you verify the model's logic.

Be open minded to the elements, tools and options you use in ARENA. You learned on Project 2 that I may require you to learn or use something we have not covered.

12.6 Verification and Validation

Verification (debugging) - making sure the model behaves as you intended

Validation - making sure the model behaves like the real world process

Use animation

Use constant values

Predict outcome on paper, then model

Show model to team for validation

12.7 Experimentation and Analysis

12.8 Presenting and Preserving the Results

Know your audience. This will dictate the parameters of the presentation, such as the level of detail, graphics, length, etc…

Be prepared to develop more alternatives after presenting

Document what you did for use in future models and future modelers.

In the ideal case you will use the model as a "living model" where decisions about operations are based in part on the model as time progresses.

12.9 Disseminating the Model

Dr. Underdown' Simulation Approach

  1. Understand the Assignment = Assignment Statement
  2. Identify all processes - what do we do as a department, organization, etc...?
  3. Identify opportunities - identify those processes that provide the most "bang for the buck" or the greatest chance of producing successful results that will benefit the company
  4. Bound the process - use Process Identification Worksheet
  5. Identify relationships - perform SIPOC (Suppliers, Inputs, Process, Outputs, Customers) analysis
  6. Document the process - develop a flowchart of the process
  7. Determine the current condition of the process - collect data about the process. Determine what data to collect, how to collect it, when, etc…
  8. Determine what customers want from the process - ask customers informally or conduct a survey
  9. Identify problems with current process - prepare cause and effect diagrams to reveal root causes, determine constraints on process
  10. Understand and Improve Product -
  11. Design a new process - make changes to the process based on what customers want and problems that were identified
  12. Implement the new process - Prepare an action plan for testing and implementing the new process
  13. Determine the impact of the changes on the process - collect data about the new process and continuously improve the process

 

Lego Scenario:

I am a manager who wants to improve the performance of the process that manufactures airplanes. I want better quality, lower cost and faster cycle times.

I have asked you to analyze the process and make suggestions to improve the process.

Let me give you a little history of the company….

We have had engineers looking at this process trying to reduce cost but we have had minimal results.

We constantly have to rework parts and repair planes before they are delivered to the customer.

We are constantly behind schedule

Now go to Simulation:

Tell students they are now assembly workers in the company. They are to build airplanes and observe the process for simulation purposes. Ask people to participate in the game.

After the game is complete:

Ask students "what's next"? Ask them the next step of conducting a process improvement study.

(They should respond by saying they need to follow the 10-Step approach, starting with Understand the Assignment.)

 

Step 1 - Understand the Assignment = Assignment Statement

Assignment

Reduce cycle time 20% within 6 months

Improve quality 20% within 6 months

Reduce costs 20% within 6 months

Step 2 - Identify all processes

List all processes involved in producing the product or service

Step 3 - Identify opportunities

- identify those processes that provide the most "bang for the buck" or the greatest chance of producing successful results that will benefit the company

Step 4 - Bound the process

Determine the beginning and ending points of the process using the process identification worksheet. Where does the process start and end? This may seem easy at first, but after talking to several people who work in the process, making this distinction will not be as easy. Process improvement efforts tend to expand over time unless you can bound the process effectively.

Step 5 - Identify relationships

Determine how the process you are improving relates to other processes in the company. Perform SIPOC (Suppliers, Inputs, Process, Outputs, Customers) analysis

Step 6 - Document the process

Develop physical representation of the process, such as a flowchart or scaled model.

Step 7 - Determine the current condition of the process

Collect data about the process.

Determine the following:

Once you have the data, use scientific methods of analysis such as statistics and problem solving tools to determine the opportunities for improvement.

Constraints

Budget minimal - I am not sure what money is available. (make a point to students that in many cases, managers do not have an exact number for the budget and the engineers may have to assume that the budget is "low" and go on)

People - Do not want hire any more people

Machines - very little money available for new machines

Physical building - minor changes allowed

Materials - may be able to change delivery schedule

Step 8 - Determine what customers want from the process

Ask customers informally or conduct a survey

You must understand the needs of the customer to determine how to prioritize the process improvement efforts. Internal customers like top managers and supervisors what certain performance improvements while the external customer a certain set of performance criteria that may be different than internal customers. Students must consider both sets of customers when making improvements to the process.

External Customer needs:

Quality planes - quality is more important than price or delivery

Delivered when promised

Plane made to exact specifications

Internal Customer needs:

Plane made to exact specifications

Schedule of operations updated regularly

Quick communication about problems

Step 9 - Identify problems with current process

Prepare cause and effect diagrams to reveal root causes, determine constraints on process

Step 10 - Understand and Improve Product -

You must understand those product characteristics that make it unique and valuable to the customer. Understanding those product characteristics important to the customer will limit the alternatives students have to improve the process. In many cases, making a change to the design of a product will assist in improving the process. Improvement ideas in this area must not impact those characteristics that the customer desires.

Product

Engineered to military specifications

Very expensive

Must be extremely reliable

Attention to detail is crucial

Step 11 - Design a new process

Make changes to the process based on what customers want and problems that were identified

I suggest developing several new designs to provide management with an opportunity to see variations of the process you have developed.

Step 12 - Implement the new process

Prepare an action plan for testing and implementing the new process

Step 13 - Determine the impact of the changes on the process

Collect data about the new process and continuously improve the process