Operations

Management
Scheduling

© 2008 Prentice Hall, Inc. 15 – 1

 Strategic Importance of
Scheduling
 Effective and efficient scheduling
can be a competitive advantage
 Faster movement of goods through a
facility means better use of assets
and lower costs
 Additional capacity resulting from
faster throughput improves customer
service through faster delivery
 Good schedules result in more
dependable deliveries
© 2008 Prentice Hall, Inc. 15 – 2
 Scheduling Issues
 Scheduling deals with the timing of
operations
 The task is the allocation and
prioritization of demand
 Significant issues are
 The type of scheduling, forward or
backward
 The criteria for priorities

© 2008 Prentice Hall, Inc. 15 – 3

 Scheduling Decisions
Organization Managers Must Schedule the Following
Arnold Palmer Operating room use
Hospital Patient admissions
Nursing, security, maintenance staffs
Outpatient treatments
University of Classrooms and audiovisual equipment
Missouri Student and instructor schedules
Graduate and undergraduate courses
Lockheed Martin Production of goods
factory Purchases of materials
Workers
Hard Rock Cafe Chef, waiters, bartenders
Delivery of fresh foods
Entertainers
Opening of dining areas
Delta Air Lines Maintenance of aircraft
Departure timetables
Table 15.1 Flight crews, catering, gate, ticketing personnel
© 2008 Prentice Hall, Inc. 15 – 4
 Scheduling
Flow

Figure 15.1

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 Forward and Backward
Scheduling
 Forward scheduling starts as soon
as the requirements are known
 Produces a feasible schedule
though it may not meet due dates
 Frequently results in
buildup of work-in-
process inventory
Due
Now Date

© 2008 Prentice Hall, Inc. 15 – 6

 Forward and Backward
Scheduling
 Backward scheduling begins with
the due date and schedules the final
operation first
 Schedule is produced by working
backwards though the processes
 Resources may not
be available to
accomplish the Due
Now
schedule Date

© 2008 Prentice Hall, Inc. 15 – 7

 Forward and Backward
Scheduling
 Backward scheduling begins with
the due date and c hschedules
e s a re
f f
the final
p roa trade-o
operation
n t he sefirstlop a
a p
e e an d
Ofte ed to dev schedu l
 Schedule
m bi n is
a si b le
produced tes by working
co n a f e u e d a
twe e e r d
backwards
be custo though the processes
m

 Resources may not

be available to
accomplish the Due
Now
schedule Date

© 2008 Prentice Hall, Inc. 15 – 8

 Different Processes/
Different Approaches
Process-focused Forward-looking schedules
facilities MRP due dates
Finite capacity scheduling
Work cells Forward-looking schedules
MRP due dates
Detailed schedule done using work cell
priority rules
Repetitive facilities Forward-looking schedule with a
balanced line
Pull techniques for scheduling
Product-focused Forward-looking schedule with stable
facilities demand and fixed capacity
Capacity, set-up, and run times known
Capacity limited by long-term capital
Table 15.2
investment
© 2008 Prentice Hall, Inc. 15 – 9
 Scheduling Criteria

1. Minimize completion time

2. Maximize utilization of facilities
3. Minimize work-in-process (WIP)
inventory
4. Minimize customer waiting time

Optimize the use of resources so

that production objectives are met
© 2008 Prentice Hall, Inc. 15 – 10
 Scheduling Process-
Focused Facilities
1. Schedule incoming orders without
violating capacity constraints
2. Check availability of tools and materials
before releasing an order
3. Establish due dates for each job and
check progress
4. Check work in progress
5. Provide feedback
6. Provide work efficiency statistics and
monitor times
© 2008 Prentice Hall, Inc. 15 – 11
 Planning and Control Files
Planning Files
1. An item master file contains information about
each component
2. A routing file indicates each component’s flow
through the shop
3. A work-center master file contains information
about the work center

Control Files
Track the actual progress made against
the plan

© 2008 Prentice Hall, Inc. 15 – 12

 Loading Jobs

 Assign jobs so that costs, idle

time, or completion time are
minimized
 Two forms of loading
 Capacity oriented
 Assigning specific jobs to work
centers

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 Input-Output Control

 Identifies overloading and

underloading conditions
 Prompts managerial action to
resolve scheduling problems
 Can be maintained using ConWIP
cards that control the scheduling
of batches

© 2008 Prentice Hall, Inc. 15 – 14

 Gantt Charts
 Load chart shows the loading and
idle times of departments, machines,
or facilities
 Displays relative workloads over
time
 Schedule chart monitors jobs in
process
 All Gantt charts need to be updated
frequently to account for changes
© 2008 Prentice Hall, Inc. 15 – 15
 Gantt Load Chart Example
Work Day Monday Tuesday Wednesday Thursday Friday
Center

Metalworks Job 349 Job 350

Mechanical Job 349 Job 408

Electronics Job 408 Job 349

Painting Job 295 Job 408 Job 349

Processing Unscheduled Center not available

Figure 15.3
© 2008 Prentice Hall, Inc. 15 – 16
 Gantt Schedule Chart
Example
Start of an
Day Day Day Day Day Day Day Day activity
Job
1 2 3 4 5 6 7 8
End of an
activity
A Scheduled
activity time
allowed
Maintenance Actual work
B progress

Nonproduction
time
C
Point in time
when chart is
reviewed
Now
Figure 15.4
© 2008 Prentice Hall, Inc. 15 – 17
 Assignment Method

 A special class of linear

programming models that assign
tasks or jobs to resources
 Objective is to minimize cost or
time
 Only one job (or worker) is
assigned to one machine (or
project)

© 2008 Prentice Hall, Inc. 15 – 18

 Assignment Method
 Build a table of costs or time
associated with particular
assignments

Typesetter
Job A B C
R-34 $11 $14 $ 6
S-66 $ 8 $10 $11
T-50 $ 9 $12 $ 7

© 2008 Prentice Hall, Inc. 15 – 19

 Assignment Method
1. Create zero opportunity costs by
repeatedly subtracting the lowest costs
from each row and column
2. Draw the minimum number of vertical
and horizontal lines necessary to cover
all the zeros in the table. If the number
of lines equals either the number of
rows or the number of columns,
proceed to step 4. Otherwise proceed to
step 3.

© 2008 Prentice Hall, Inc. 15 – 20

 Assignment Method
3. Subtract the smallest number not
covered by a line from all other
uncovered numbers. Add the same
number to any number at the
intersection of two lines. Return to
step 2.
4. Optimal assignments are at zero
locations in the table. Select one, draw
lines through the row and column
involved, and continue to the next
assignment.
© 2008 Prentice Hall, Inc. 15 – 21
 Assignment Example
Typesetter
A B C
Job
R-34 $11 $14 $ 6
S-66 $ 8 $10 $11
T-50 $ 9 $12 $ 7

Step 1a - Rows Step 1b - Columns

Typesetter Typesetter
A B C A B C
Job Job
R-34 $ 5 $ 8 $ 0 R-34 $ 5 $ 6 $ 0
S-66 $ 0 $ 2 $ 3 S-66 $ 0 $ 0 $ 3
T-50 $ 2 $ 5 $ 0 T-50 $ 2 $ 3 $ 0

© 2008 Prentice Hall, Inc. 15 – 22

 Assignment Example
Step 2 - Lines The smallest uncovered
number is 2 so this is
Typesetter subtracted from all other
A B C uncovered numbers and
Job added to numbers at the
R-34 $ 5 $ 6 $ 0 intersection of lines
S-66 $ 0 $ 0 $ 3
T-50 $ 2 $ 3 $ 0 Step 3 - Subtraction
Typesetter
Because only two lines A B C
are needed to cover all Job
the zeros, the solution R-34 $ 3 $ 4 $ 0
is not optimal S-66 $ 0 $ 0 $ 5
T-50 $ 0 $ 1 $ 0

© 2008 Prentice Hall, Inc. 15 – 23

 Assignment Example
Step 2 - Lines Start by assigning R-34 to
worker C as this is the only
Typesetter possible assignment for
A B C worker C. Job T-50 must
Job go to worker A as worker C
R-34 $ 3 $ 4 $ 0 is already assigned. This
S-66 $ 0 $ 0 $ 5 leaves S-66 for worker B.
T-50 $ 0 $ 1 $ 0 Step 4 - Assignments
Typesetter
Because three lines are A B C
needed, the solution is Job
optimal and R-34 $ 3 $ 4 $ 0
assignments can be
S-66 $ 0 $ 0 $ 5
made
T-50 $ 0 $ 1 $ 0
© 2008 Prentice Hall, Inc. 15 – 24
 Assignment Example
Step 4 - Assignments
Typesetter Typesetter
A B C A B C
Job Job
R-34 $11 $14 $ 6 R-34 $ 3 $ 4 $ 0
S-66 $ 8 $10 $11 S-66 $ 0 $ 0 $ 5
T-50 $ 9 $12 $ 7 T-50 $ 0 $ 1 $ 0

From the original cost table

Minimum cost = $6 + $10 + $9 = $25

© 2008 Prentice Hall, Inc. 15 – 25

 Sequencing Jobs
 Specifies the order in which jobs
should be performed at work centers
 Priority rules are used to dispatch or
sequence jobs
 FCFS: First come, first served
 SPT: Shortest processing time
 EDD: Earliest due date
 LPT: Longest processing time

© 2008 Prentice Hall, Inc. 15 – 26

 Critical Ratio (CR)
 An index number found by dividing the
time remaining until the due date by the
work time remaining on the job
 Jobs with low critical ratios are
scheduled ahead of jobs with higher
critical ratios
 Performs well on average job lateness
criteria
Time remaining Due date - Today’s date
CR = =
Workdays remaining Work (lead) time remaining

© 2008 Prentice Hall, Inc. 15 – 27

 Critical Ratio Example
Currently Day 25

Due Workdays Priority

Job Date Remaining Critical Ratio Order

A 30 4 (30 - 25)/4 = 1.25 3

B 28 5 (28 - 25)/5 = .60 1

C 27 2 (27 - 25)/2 = 1.00 2

With CR < 1, Job B is late. Job C is just on schedule

and Job A has some slack time.

© 2008 Prentice Hall, Inc. 15 – 28

 Critical Ratio Technique
1. Helps determine the status of specific
jobs
2. Establishes relative priorities among
jobs on a common basis
3. Relates both stock and make-to-order
jobs on a common basis
4. Adjusts priorities automatically for
changes in both demand and job
progress
5. Dynamically tracks job progress
© 2008 Prentice Hall, Inc. 15 – 29
 Limitations of Rule-Based
Dispatching Systems

1. Scheduling is dynamic and rules

need to be revised to adjust to
changes
2. Rules do not look upstream or
downstream
3. Rules do not look beyond due
dates

© 2008 Prentice Hall, Inc. 15 – 30

 Finite Capacity Scheduling
 Overcomes disadvantages of rule-based
systems by providing an interactive,
computer-based graphical system
 May include rules and expert systems or
simulation to allow real-time response to
system changes
 Initial data often from an MRP system
 FCS allows the balancing of delivery
needs and efficiency

© 2008 Prentice Hall, Inc. 15 – 31

 Finite Capacity Scheduling
Interactive Finite Capacity Scheduling
MRP Data • Routing files
• Master • Work center
schedule information
• BOM
• Inventory
Tooling
Priority and other
rules resources

• Expert
systems Setups and
run time
• Simulation
models

Figure 15.5

© 2008 Prentice Hall, Inc. 15 – 32

 Theory of Constraints
 Throughput is the number of units
processed through the facility and sold
 TOC deals with the limits an organization
faces in achieving its goals
1. Identify the constraints
2. Develop a plan for overcoming the constraints
3. Focus resources on accomplishing the plan
4. Reduce the effects of constraints by off-
loading work or increasing capacity
5. Once successful, return to step 1 and identify
new constraints
© 2008 Prentice Hall, Inc. 15 – 33
 Bottlenecks
 Bottleneck work centers are constraints
that limit output
 Common occurrence due to frequent changes
 Management techniques include:
 Increasing the capacity of the constraint
 Cross-trained employees and maintenance
 Alternative routings, procedures, or
subcontractors
 Moving inspection and test
 Scheduling throughput to match bottleneck
capacity
© 2008 Prentice Hall, Inc. 15 – 34
 Drum, Buffer, Rope

 The drum is the beat of the system and

provides the schedule or pace of
production
 The buffer is the inventory necessary to
keep constraints operating at capacity
 The rope provides the synchronization
necessary to pull units through the
system

© 2008 Prentice Hall, Inc. 15 – 35

 Scheduling Repetitive
Facilities
 Level material use can help
repetitive facilities
 Better satisfy customer
demand
 Lower inventory
investment
 Reduce batch size
 Better utilize equipment
and facilities
© 2008 Prentice Hall, Inc. 15 – 36
 Scheduling Repetitive
Facilities
 Advantages include:
1. Lower inventory levels
2. Faster product throughput
3. Improved component quality
4. Reduced floor-space requirements
5. Improved communications
6. Smoother production process

© 2008 Prentice Hall, Inc. 15 – 37

 Scheduling Services
Service systems differ from manufacturing
Manufacturing Services
Schedules machines Schedule staff
and materials
Inventories used to Seldom maintain
smooth demand inventories
Machine-intensive and Labor-intensive and
demand may be smooth demand may be variable
Scheduling may be bound Legal issues may constrain
by union contracts flexible scheduling
Few social or behavioral Social and behavioral
issues issues may be quite
important
© 2008 Prentice Hall, Inc. 15 – 38
 Scheduling Services

 Hospitals have complex scheduling

system to handle complex processes
and material requirements
 Banks use a cross-trained and flexible
workforce and part-time workers
 Retail stores use scheduling
optimization systems that track sales,
transactions, and customer traffic to
create work schedules in less time and
with improved customer satisfaction

© 2008 Prentice Hall, Inc. 15 – 39

 Scheduling Services

 Airlines must meet complex FAA and

union regulations and often use linear
programming to develop optimal
schedules
 24/7 operations like police/fire
departments, emergency hot lines, and
mail order businesses use flexible
workers and variable schedules, often
created using computerized systems

© 2008 Prentice Hall, Inc. 15 – 40

 Demand Management
 Appointment or reservation
systems
 FCFS sequencing rules
 Discounts or other promotional
schemes
 When demand management is not
feasible, managing capacity
through staffing flexibility may be
used
© 2008 Prentice Hall, Inc. 15 – 41
 Scheduling Service Employees
With Cyclical Scheduling
 Objective is to meet staffing
requirements with the minimum
number of workers
 Schedules need to be smooth and
keep personnel happy
 Many techniques exist from simple
algorithms to complex linear
programming solutions
© 2008 Prentice Hall, Inc. 15 – 42