Chapter # 05 Material Handling Presented to Dr. Haris Group Members Muhammad Hassan Sarfraz 11-IE-47 Muhammad Zameer 11-IE-49 Faisal Hafeez 11-IE-54 01/10/2014

Material handling Definition “Material handling means providing the right amount of the right material, in the right condition, at the right place, in the right position, in the right sequence, for the right cost and by the right method”

Material handling Definition Right amount How much inventory needed? Smaller load size are preferred Right material Manual material handling results in picking wrong material Automatic identification is key to accurate identification and picking right material e.g. using Bar-code-based or RFID-based system Right condition It is the state which customer desires to receive the material The goods must also be received without damage Right orientation It means positioning of material for ease of handling The orientation should be in such a way that it reduces the handling time

Material handling Definition Right place It is desirable to directly transport material to point of use rather than store the material at some intermediate location. Right time It means ON-TIME delivery The goal is to achieve a lower cycle time MH system Right cost It is not necessarily the lowest cost Minimizing cost is wrong objective in material handling system design The most appropriate goal is to design most efficient material handling system at the most reasonable cost

Estimating MH cost The development of MH equipment today is much more complex task than it was in the past MH solution are no longer a simple case of moving material through conveyors New MH technologies have dramatically changed the amount of labor required for MH tasks Before installation Simulation techniques are used to estimate the cost of different systems, to find an optimal MH system From the time of installation of a MH system, one can reduce cost by continuous improvement in the system.

Scope of Material handling In a typical facility, material handling accounts for; 25% of all employees 55% of all factory space 87% of all production time 15 to 70% of total product cost Material Handling can be viewed as a mean by which total manufacturing costs are reduced through more efficient material flow control, lower inventories and improved safety.

Safety Considerations Facility designers should be familiar with all the safety requirements for the type of facility they are designing. Poor ergonomics ,which means setting the workers in the job instead of setting the job for workers, accounts for one-third of all workplace injuries. A poor layout for the rack area is a common shortfall in the designs of pallet-rack solutions in industries. OSHA regulations for general industry provide the basis and represent the minimum standards.

Material handling Principles Planning principle (what, when, where, how, who) Standardization Principle (Less variety, Customization) Work Principle (volume/weight * distance) Ergonomic Principle (working conditions according to abilities of workers) Unit Load Principle (Single entity) Space Utilization (cubic space) System Principle (Collection of entities) Automation Principle (Electro-mechanical devices) Environmental Principle (not to waste natural resources) Life-Cycle Cost Principle (All cash flows)

Designing MH system 6 steps to design Material Handling system; Define objective and scope Analyze the requirements for moving, storing, protecting and controlling materials Generate alternative designs for MH system requirement Evaluate alternative material handling system designs Select the preferred design Implement the preferred design It is unrealistic to expect that the material handling system will operate perfectly the first time around. Adopting a posture of continuous improvement will result in far more efficient operation of material handling system.

alternative MH system AIM CONCEPTUALIZE DESIGN INSTALL For development of Alternatives “Ideal System Approach” is used, which consist of four phases; AIM Aim for theoretical Ideal System Theoretical Ideal System has; Zero cost Perfect Quality No hazards No wasted space CONCEPTUALIZE Conceptualize the Ultimate ideal system Ultimate Ideal System is a system that would be achievable in future DESIGN Design the technologically workable system Technologically workable system has; Not applicable High cost Not appropriate conditions INSTALL Install the recommended system Recommended system is; Cost effective Match our requirements

MH system equation =

MH system equation What Question Where Question When Question What are the types of material to be moved? What are their characteristics What are amounts moved and stored Where Question Where is the material coming from? Where is the material delivered? Where is the material stored? Where can material handling tasks be eliminated, combined or simplified? When Question When should material be moved? When is time to mechanize or automate? MATERIALS MOVES

MH system equation How Question Who Question Which Question How is material moved or stored? How much inventory should be maintained? How should the material be tracked? Who Question What are required skills to perform MH tasks? Who should be trained to service and maintain the MH system? Who should be involved in designing the system? Which Question Which MH operations are necessary Which types of MH equipment? Which MH system is cost effective? METHODS

MH Planning chart Material handling planning chart can be used to; Gather information pertaining to a specific MH problem To provide Preliminary examination of the alternative solutions The result from analyses using this chart can be used in simulation of alternative solutions Following figure shows a planning chart which includes; Information on operations (O), transportations (T), storages (S) and inspection (I) All movements, performed by operator or machine should be recorded

MH Planning chart This planning chart usually contains 15 columns First eight columns provide information on the Where Question The 9th to 12th column answer the What Question The frequency to move is recorded In 13th column. Frequency is calculated based on estimated production volume and the capacity of unit load. The 14th column tells about length of the move. The distance moved can only be calculated after the completion of facility layout design The 15th column tells about the method of material handling with appropriate material handling equipment

Unit load design Definition: “A single item, a number of items, or bulk material, which is arranged or restrained so that the load can be stored and picked up and moved between two locations as a single mass.” The nature of unit load could change each time an item, or a number of items, or bulk material is moved. Variability in quantity/size per move is permissible.

Further Understanding A single item moved between two locations manually constitutes one unit load. Two tote pans with identical components moved by a dolly from one machine to the other constitute one unit load. One pallet load of non uniform-sized cartons moved by a lift truck from packaging area to the shipping dock constitute one unit load. Pallet Tote pan

Size of Unit load Size of Unit Load can range from a single part carried by a person to: Each carton moved through conveyors A number of cartons on a pallet moved by fork lift trucks A number of containers moved by rail across states or by container ships across continents. Two important elements in determining the size of the unit load are; Cube (length x with x height) Weight limit Carton boxes, pallets, tote pans can be used according to need

EFFECTS OF Size of Unit load Large Unit Loads Require bigger & heavier equipment with higher load capacities Increase WIP inventory Completion time increases Major advantage is fewer moves Small unit loads: Increased transportation needs Reduce WIP Inventory Require simple material handling (push carts and similar devices) Decrease job completion time

Important conclusion: In order to achieve single unit production the material handling time must be shorter than the unit processing time.

Basic manners to move Unit load Lifting under the mass Inserting the lifting elements into the body of unit load Squeezing the load between two lifting surfaces Suspending the load

Returnable containers Containers with good Stacking and Nesting features can provide significant reduction in material handling Full container can be stacked on top of another full container in the same spatial orientation Stackability The shape of the containers permits an empty container to be inserted into another empty container Nestability

This figure shows why we need stackability and nestability

Pallets and Pallet sizes A common method of containing the unit load. They come in a variety of designs and are usually dictated by the application. Common designs are; Stringer design Block design

Container & Pallet Pooling It was widely accepted in Europe first then north American companies adopted it also. It means, instead of buying, rent containers and pallets for a fee per day per container or pallet. Whenever you need them, you go to the nearest depot and get as many as you need. After use, they are returned to the nearest depot or another company in the supply chain. The figure in next slide shows the container/pallet flow in a).Conventional b). Pallet pooling system c). Integrated logistics and pallet pooling system

Example (on efficiency of returnable containers)

Solution Container Space utilization: Divide the useable cube by the exterior envelope of the container. 2. Storage space efficiency: Ratio of useable cube and the storage of cube. 3.Container nesting ratio: Overall container height by the nested height.

4. Trailer Space Utilization: Along the Length= containers. Along the width= containers. Along the height= containers. Total= containers. Utilization

5. Retailer Return Ratio: One stack of empty containers contain 55 containers. The total number of empty containers per trailer; Trailer Return Ratio.

Mh equipment classification Containers and unitizing equipment Containers (pallets, skids, tote pans) Unitizers (Stretchwrap, Palletizers) Material Transport Equipment Conveyors (chute, belt, roller, wheel, slat, chain, trolley, sorting) Industrial vehicles (walking, Riding, Automated) Monorails, hoists &cranes Storage and retrieval equipment Unit Load storage and retrieval (Block stacking, Mobile rack) Small load storage and retrieval equipment Automatic identification and communication equipment Automatic identification and recognition (Bar codes, radio frequency tag) Automatic paperless communication (voice headset, smart card)

Estimating MH cost The development of MH equipment today is much more complex task than it was in the past MH solution are no longer a simple case of moving material through conveyors New MH technologies have dramatically changed the amount of labor required for MH tasks Before installation Simulation techniques are used to estimate the cost of different systems, to find an optimal MH system From the time of installation of a MH system, one can reduce cost by continuous improvement in the system.

? Any Question