Production time at workstation can be divided into following categories: Transfer time Queue time Setup time Process time Wait-to-bath time Wait-in-batch time Wait-to-match time
Regarding to variability and its control we will go through some “laws” that will affect production flow.
We can quite easily compute the optimal amount of WIP for each production. At the same time the WIP in use notifies the performance of our production when compared to the optimal, worst-case and practical worst-case.
EOQ-function was first created for manufacturing industry. It was originally founded by Ford. W. Harris in 1913. He discovered that when manufacturing line was set from one product to another there will always be condemned production and time is spent to make new settings. On the other hand bigger manufacturing batches need more capital and storage room.