Introduction to OpStat

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1 Introduction to LEAN SIMULATION MODELS 2/1/2008 1

2 Contents 1. Overview of Models 2. Highlights of the Lean Manufacturing Model 3. Background on Enclosures Documentation & Setup Guides for each Model 2/1/2008 2

3 1. Models Lean Manufacturing Demand driven Scheduling options Validation, changeover & cleanout rules Optional Integration In-process tests Raw materials tests & inventory Laboratory Test profiles Lab skills Equipment planning Clinical Trials Strategic Planning Patient recruitment R&D & Quality processes Clinical supply chain Plant capacity Supply chain flows & inventory Tax, royalty, plant cost & incremental investment Established & developmental products 2/1/2008 3

4 1. s Models Are Essential Tools for Lean Programs To Test Alternative Solutions Before Implementing Them To analyze plant capacity to trade-off volume & mix (variety) of products To analyze service levels to balance demand and supply Make-to-Stock inventory, typical in commercial environments Make-to-Order lead times, typical during clinical trials and pilot plant operations There can be a multiple sites across a supply chain to be analyzed - from chemical to finishing and packaging operations. Simulation models take variability (in processing, cleanouts and downtime) into account which is not possible to do with an equation. 2/1/2008 4

5 2. Highlights of Lean Model Spreadsheets Start rules Provide timing, sequence, campaign lengths, etc. Arrays Provide process times, valid equipment, etc. Run parameters Switches to activate functions Configured for any product/process type Summary Reports in Spreadsheets 2/1/ Graphs Lot detail in Reporting Spreadsheet

6 2. Lean Model Folder spreadsheet capable Master workbooks are inputs automatically read in at the start of a run Operations-Equip for Notebook is a reference information-only spreadsheet Report workbooks are outputs updated automatically at the end of a run Setup Checklist is a reference spreadsheet 2/1/2008 6

7 2. Lean Model Overview Panel Hierarchy Top level of model Start rules Each operation contains Operation Panel These panels and the spreadsheets contain inputs & outputs 2/1/2008 7

8 2. Parameters & Results for each operation Within each operation, Takt Time & OEE is calculated for each set of equipment Within each operation, there is also logic for processing each lot through quality lab or release processes after the manufacturing process completes 2/1/2008 8

9 2. Scheduling & Replenishment Design 6 7 Rhythm Wheels, CONWIP, Kanban Options: - Schedules (including rhythm wheels) & campaign lengths can be evaluated - Kanban triggers & sizes integrated - Takt rates from actual demand. Materials flow from operation Trigger starts processing The Start Signal determines how the trigger is created 2/1/ Product/equipment validation matrix drives the choice of path used with the scheduling rules.

10 2. Details of Cleanouts/Changeovers for all Production & Shared Equipment Cleaning Rules Include types of cleans required: Between lots or campaigns Between product groups Between colors (lighter to darker, darker to lighter) Between strengths After a number of lots After a time period Shared tanks, bins, carts also included 2/1/ Variability Uses probabilistic processing for: Processing times Full & Back-to-Back Cleanouts Quality lab & Release times Late materials Scrap rates Absentee rates in labor crews Hold & Equilibration times If there are sufficient data, STAT::FIT distribution-fitting software is used to create statistical distributions. Alternatively, minimum, maximum and most likely values may be used to populate triangular distributions.

11 2. All Types of BioPharma Operations Solids Products Liquids Products Mixing Hold Tanks Packaging Granulation Compression Coating Gel Dipping Printing Packaging 7 Gran units (6 Forms) 11 Comp units (16 Forms) Bins between Granulation & Compression WIP measured across entire process 11 Coating Pans 19 Total 8 Total Totes across remaining steps 11 Lines (95 FG SKUs) Cycle time of every batch recorded Demand Seasonality Bottle Size Mix Production Campaign History Hours Mix tanks Wait times recorded for all batches Time Waiting for Packaging 12 Hold tanks CIP systems Value 1 10 Lines Bottles (125 FG SKUs) Utilizations of all resources computed vs. scheduled time Monthly Average Line1 Utiization Occurrences 1200 Avg Batches in WIP Hours 400 Cycle TIme Number of Batches AvgBatchesInWIP Shared Resources Utilization & Backlogs Time Cycle Time Mean Time Pkg Line 1 Pkg Line 2 Pkg Line 3 Pkg Line Time Util By Month Cum Utilization Detailed Analysis of Manufacturing Lines e.g., Sterile Products with Lyophilization Units Re source Type Number Utiliza tion (95% confidence int) CleaningUnits Resourc e Pool ± TotalCrewsAvail Labor ± Value 1 Formulation (cart decontamination in parallel) Filling & Load Other batches starting in formulation suite using different lyophilization units Lyo Vials Filling & Capping Status Unload & Capping Y Value 2 CIP System Backlog Time VialFormStat VialFillStat VialCap Y2 FilCapCartClean Changeover & Cleanup Lines & Cart Time Batches Waiting 2/1/ In this example, the 5 day freeze-dry cycle ends, but the cart is being cleaned; start of unload & capping is delayed

12 2. QC / QA Release Included As a Process Manufacturing Packaging Resource utilization & impacts in QC across multiple manufacturing centers can be tracked 2/1/

13 3. Some Background Operations improvement consulting since 1987 Strategic to operational level Physical and IT expertise Improvement methodology Simulation and optimization modeling has some other examples & information Founded by Jim Curry Led large IT and operational process development organizations, including 10 years in wine and spirits industry (Seagram) Educational background in Operations Research Teaches simulation as a tool in lean manufacturing and supply chain design in graduate program at Fairfield University 2/1/

14 3. Some Client Examples Supply Chain Improvement & Simulation Modeling Rohm and Haas Arco Chemical Honeywell 3Com Blue Circle Cement J&J Sanofi-Aventis Aventis-Behring Parke-Davis Pfizer IT Planning / Architecture Hewlett-Packard UPS Gillette Nestle Logistics Arkema Minerals Technologies 2/1/

15 3. s Value Added VISION Integrated Pipeline Skills TOOLS & METHODOLOGIES Models Road maps PRODUCT Best Practices *Lean Simulation Models Integrated Supply Chain Info IMPLEMENTATION 2/1/

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