1. APPGE08a1 1 Utilization Rate APP Functionality = Scheduled operations = Operation to be scheduled Example A - resource 1, utilization rate: 100% or no. of resources: 1 Time Example B - resource 1, utilization rate: 50% or no. of resources: 0.5 Time l Adjusting norm times via work centers and/or resources l Models the effects of, for example: - New or old machines - Different operator experience Resource 1

2. APPGE08a1 2 Accurate W/C Resource Data AB Preparation time BC Set-up time CD Operation time DE Post operation time EF Transportation time FG Average queue time (pull-up only) GH Preparation time Plus: Utilization rate No. of resources Sequencing rules Operator time factor Infinite/finite capacity ABCDEFGH Operation 10 Operation 20 Resource 1 Resource 2 APP Functionality

3. APPGE08a1 3 Maximize and Protect Flow APP Functionality l Link order release to finite capacity l Schedule based on the bottleneck’s capacity l Use a time buffer before a bottleneck to ensure it is kept busy l Use inventory buffers only in strategic places to protect throughput, e.g., before bottleneck and assembly W/C resources 150/hr 180/hr 100/hr Bottleneck 150/hr 180/hr 90/hr 120/hr 150/hr 120/hr W/C A W/C B W/C D W/C E W/C C W/C G W/C H W/C F Produc t A W/C I Inventory buffer Purchased item Work center Planning item/order