Thesis (M.B.A.)--Massachusetts Institute of Technology, Sloan School of Management; and, (S.M.)--Massachusetts Institute of Technology, Dept. of Mechanical Engineering; in conjunction with the Leaders for Manufacturing Program at MIT, 2007. / Includes bibliographical references (p. 62-63). / Raytheon Company is currently ramping up production radars for a fighter aircraft. This product is doubling production in the next year to meet customer demand; however, the program has not been able to meet the current demand schedule for the radar. In addition, the cost of producing this radar is over the budgeted amount. Management is pushing cost and cycle time reductions on every piece of the radar, a task the team is diligently working to accomplish. The main focus of this project is one sub-assembly of the AESA radar system, the "coldwall", a heat sink that also provides the base structure by which all of the radar sensing equipment is connect to. The coldwall also acts as a heat sink, reducing the internal temperature of the radar assembly, thereby improving the fidelity of the radio frequency signal and longevity of the system itself. Currently, the cycle time to manufacture the coldwall is on average twice the planned cycle time and the cost is three times the budgeted amount. This thesis provides a case in which a process improvement investigation takes place under tight budgetary and time constraints in ramp-up mode. / (cont.) The goal of this thesis is to develop a case for accurate and complete data collection to help future process improvement decisions. The act of focusing this investigation was cumbersome due to the lack of data available on the process. In addition, the case study shows a situation where proactive issue resolution and active waste elimination could alleviate the stress incurred by cost over runs and delayed product shipments. / by Ryan W. Chew. / S.M. / M.B.A.

Thesis (M.B.A.)--Massachusetts Institute of Technology, Sloan School of Management; and, (S.M.)--Massachusetts Institute of Technology, Engineering Systems Division; in conjunction with the Leaders for Manufacturing Program at MIT, 2007. / Includes bibliographical references (p. 98). / Background: Since the 1980s, the pace and dollar value of acquisitions in the US have grown at an astounding rate (Hitt, Sirower). The benefits from many of these acquisitions are elusive, with 60% of recent acquisitions showing negative return for the acquiring company (Hitt et. all, 5). Expected synergies are not realized despite the valiant efforts of the integration team who struggle with implementing the plans developed prior to deal close. Correlations can be drawn to the field of systems engineering, where specific processes and tools are employed to understand the interactions of various functional areas and avoid such implementation difficulties. Enterprise Architecting (EA) is one such framework that has shown promise in analyzing complex enterprises. Results: The thesis shows that all currently analyzed aspects of a potential acquisition are evaluated if the EA framework is used. It also shows that enough information is available prior to closing to use the EA framework to understand the potential enterprise. Further, it shows that the EA framework is flexible enough to accommodate the unique aspects of an acquisition analysis. Finally, the thesis shows a definite qualitative benefit from applying the EA framework. / (cont.) Conclusions: Despite the fact that one of the aspects of the hypothesis was not met, EA is still a valid and beneficial framework to apply to the acquisition process. It provides a sound process framework that should be used to design and implement robust acquisition analysis processes. This will enable greater process efficiency, quality, and consistency. / by Christopher Vernon Porter. / S.M. / M.B.A.

Thesis (M.B.A.)--Massachusetts Institute of Technology, Sloan School of Management; and, (S.M.)--Massachusetts Institute of Technology, Dept. of Mechanical Engineering; in conjunction with the Leaders for Manufacturing Program at MIT, 2007. / Includes bibliographical references (p. 60-61). / Intel Corporation's Fab17 located at Hudson, MA underwent a large scale manufacturing ramp-up, increasing its production volume by over 50%. As a result of this manufacturing ramp-up, the factory is faced with various capacity issues. These capacity issues along with current work-in-progress inventory (WIP) management strategies lead to an unbalanced inventory flow within the factory. The unbalanced WIP flow results in wafers accumulating in front of certain operations/areas. This WIP accumulation or "WIP bubbles" creates unexpected demand for the various resources on the shop floor, putting an undue strain on them. This strain is felt the most in the bottleneck area. The objective of this project is to develop a sustainable solution methodology to alleviate the strain on the bottleneck. The scope of this project falls under Fab 17's lean manufacturing organization, known as the manufacturing excellence (mX) group, and, the analysis used in this internship utilizes lean manufacturing concepts and principles. The solution methodology analyzes the wafer fabrication process in layers rather than in segments. This approach clarifies WIP movement and identifies problem areas that cause WIP bubbles. Further, the thesis applies the concept of production leveling to wafer fabrication in order to alleviate (and eliminate) the pressure on the bottleneck. / by Nima Subramanian. / S.M. / M.B.A.

Thesis (M.B.A.)--Massachusetts Institute of Technology, Sloan School of Management; and, (S.M.)--Massachusetts Institute of Technology, Dept. of Mechanical Engineering; in conjunction with the Leaders for Manufacturing Program at MIT, 2007. / Includes bibliographical references (p. 77-78). / The production of aerospace grade titanium alloys is concentrated in a relatively small number of producers. The market for these materials has always been cyclical in nature. During periods of high demand, metal producers claim to operate near full capacity utilization. During periods of reduced demand, metal producers struggle to remain profitable. Additionally, the manufacturing processes for aerospace grade titanium alloys are capital intensive and require long lead-times in order to bring new capacity online. The combination of these factors often results in an inflexible titanium alloy raw material supply chain for Pratt & Whitney. At the same time, Pratt & Whitney experiences a variety of rare but disruptive events within the supply chain that affect their raw material requirements. Examples of these disruptive events include customer drop-in orders, manufacturing complications resulting in scrapped material, and planning deficiencies. In order to protect engine and spare part customers from delayed deliveries due to long lead-time raw materials, Pratt & Whitney holds a strategic inventory of various titanium alloy raw material. / (cont.) This thesis presents a mathematical model utilizing a Compound Poisson Process that can be used to optimize the amount of strategic titanium alloy raw material held by Pratt & Whitney. The associated mathematical algorithms were programmed into Microsoft Excel creating the Strategic Raw Material Inventory Calculator. Historical data was then collected and used with this unique tool to calculate service levels at current inventory levels as well as optimized inventory levels under various scenarios. / by Robin L. Vacha, Jr. / S.M. / M.B.A.

Thesis (M.B.A.)--Massachusetts Institute of Technology, Sloan School of Management; and, (S.M.)--Massachusetts Institute of Technology, Dept. of Civil and Environmental Engineering; in conjunction with the Leaders for Manufacturing Program at MIT, 2007. / Includes bibliographical references (p. 69-70). / Novartis is one of the largest pharmaceutical companies in the world, with their research headquarters (Novartis Institutes for BioMedical Research) located in Cambridge MA. In this thesis, I explore Novartis's process for developing drugs, specifically the earlier stages of research leading to high throughput screening. During the course of a 6.5 month, on-site project, Novartis's processes were identified, data were collected and relevant literature in product development and organizational structure were surveyed. Based on the accumulation of this information, several opportunities for improvement were identified and from these, recommendations were developed and implemented. This thesis considers the improvements Novartis could see in their drug discovery process by improving communication between organizations. In particular, I suggest that the company could benefit in cycle time and quality by designing and following more robust lateral processes and by moving their communication mode closer to integrative problem solving. / (cont.) Following these recommendations, I investigated why Novartis did not already have these processes in place. I hypothesize that the main reason for this is because the research organization at Novartis is focused primarily on exploration, therefore their ability and need to coordinate has not been an area of focus. Novartis has made a very deliberate effort to design an organization that promotes novel drug discovery; perhaps sacrificing cycle time and process efficiency. Because of this strong focus on drug discovery, Novartis has not had opportunity to design and implement efficient processes. By bring in interns from MIT's Leaders for Manufacturing Program, the company is beginning to explore ways to improve their processes without sacrificing their ability to develop novel drugs. / by Rebecca Anne Roberts. / S.M. / M.B.A.

Thesis (S.M.)--Massachusetts Institute of Technology, Dept. of Mechanical Engineering; and, (M.B.A.)--Massachusetts Institute of Technology, Sloan School of Management; in conjunction with the Leaders for Manufacturing Program at MIT, 2007. / Includes bibliographical references (p. 99-101). / American Axle & Manufacturing, Inc. (AAM) is still in the process of transitioning to a culture of "lean manufacturing" as opposed to the current culture of "mass production". This thesis involved working with AAM employees and suppliers at various locations to understand how material flows between and within AAM's plants, the reasons for and analysis of the current state of material management, and opportunities for improvement. Attention is also given to the cultural and business context in which this work takes place, and the issues relating to efforts to implement change in large industrial organizations. This work produced two strategic-level products and one tactical-level product to improve lean material management at AAM described herein. Cultural observations are also provided. At the strategic level, one project focused upon making extended value stream maps of material flow between AAM plants and suppliers/processors. This information allows all decision-makers at AAM to objectively examine a common set of information, information which was previously unavailable to any one individual. Extended value stream mapping allowed supply chain inventory and lead time-reduction opportunities to be identified. / (cont.) The focus upon extended value streams increased awareness of the need to more fully account for costs in making part procurement decisions. Therefore, a second strategic project involved the development of a total cost decision tool, and its use in making sourcing decisions. This computer spreadsheet-based tool uses simple inputs to quickly produce a more all-encompassing estimate of the total costs of purchasing parts from a given supplier. Traditionally, only piece-price plus freight costs were used to determine sources of supply. Other, additional factors may alter the decision of which supplier to use if they are considered. The tactical-level project involved implementation of a lean pull system. This project involved coordinating teams at two separate axle shaft manufacturing plants to implement a more effective visual pull system between and within the plants, using lean concepts for material management and flow. A final aspect of the thesis was to examine the current business context in which the lean systems are to operate, as well as the strategic, cultural, and political aspects that influence change management in large organizations. / (cont.) One conclusion drawn from the internship is that the firm should start emphasizing visual control on the plant floor, and less supervisor work on paper in their offices after their shifts end. If the production boards and visual controls are in constant disarray, this needs to be resolved as quickly as a failed customer delivery, because it is fundamentally undercutting the ability of the organization to improve what it provides to customers through better quality and productivity. It also hinders efforts to reduce costs to bid for new work. Failing to attract new work is as damaging as a failed customer delivery, except that it will happen a year from now rather than today. / by Justin Harper. / M.B.A. / S.M.

Thesis (S.M.)--Massachusetts Institute of Technology, Sloan School of Management; and, (S.M.)--Massachusetts Institute of Technology, Dept. of Aeronautics and Astronautics; in conjunction with the Leaders for Manufacturing Program at MIT, 2003. / Includes bibliographical references (p. 79-80). / The airline industry downturn that began in early 2000 was exacerbated not only by the terrorist attacks in the United States on September 11, 2001, but also by other pressures for strategic change. Continued growth and competition of low cost carriers coupled with changing purchasing habits of passengers have led industry analysts, airline executives, and investors alike, to question the continued viability of the traditional hub and spoke airline strategy. The financial success of Southwest Airlines and other low cost carriers is partly attributable to its high levels of employee productivity and equipment utilization. In April 2002, American Airlines made a step toward emulating this facet of Southwest's strategy by depeaking its flight schedule at Chicago's O'Hare International Airport. American's schedule change was analyzed, and the decision was evaluated from the market share, operational reliability, and cost perspectives. Average connection times increased by 6 minutes, and the average number of connections per arriving flight decreased by 2. Computer Reservation System market share data implied a market share neutral decision. Department of Transportation on-time performance data implied an improvement in reliability. Finally, the reduction in degree of schedule peaking implied a potential cost improvement through increased equipment utilization, lower required staffing levels, and improved employee productivity. / by Laura Lynn Bogusch. / S.M.

Thesis (M.B.A.)--Massachusetts Institute of Technology, Sloan School of Management; and, (S.M.)--Massachusetts Institute of Technology, Engineering Systems Division; in conjunction with the Leaders for Manufacturing Program at MIT, 2008. / Includes bibliographical references (leaf 73). / Raytheon recently won a large order for one of its programs (Program X) leading to a doubling of monthly production. With a relatively larger order, Raytheon reduced the acquisition unit price to the customer. Thus, there is a burning platform to evaluate the current program assessment tools and ensure that the future assessment tools are adequate for a smooth production schedule. In addition, there is a need to create a more robust and automated manner of identifying risks and opportunities in the production process. The main approach is to use the Raytheon Six Sigma process (visualize, commit, prioritize, characterize, improve, and achieve) to solving major projects, which is similar to the original Six Sigma DMAIC process (define, measure, analyze, improve, control). Using the aforementioned process, this thesis explores whether introducing visual analytics and controls to the Program Management Office (PMO) can improve the overall communication between the PMO and the manufacturing work centers, and ultimately eliminate the various wastes and improve Program X's production process. In addition, this thesis examines if driving Lean behavior to the PMO, can indirectly drive Lean behavior across the manufacturing value chain leading to cost savings and increased productivity. / by Charalambos J. Antoniou. / S.M. / M.B.A.

Thesis (M.B.A.)--Massachusetts Institute of Technology, Sloan School of Management; and, (S.M.)--Massachusetts Institute of Technology, Dept. of Mechanical Engineering; in conjunction with the Leaders for Manufacturing Program at MIT, 2008. / Includes bibliographical references (p. 59). / Most product cost reduction in industry occurs during new product introduction (NPI). However, for some firms, a case can be made that product cost reduction efforts can be devoted towards products already in sustained production. These firms face a set of business conditions that often preclude exhaustive product cost reduction during NPI. These conditions include fast time to market requirements and the necessity of devoting engineering resources to a pipeline of innovative products needed to remain competitive in the market. These firms' products also possess characteristics that make cost reduction during sustained production viable. Products have sufficiently long lifecycles in which to realize project savings and a market that will continue paying prices that enable continued profitability. However, as expected, these firms often must devote resources to more pressing NPI needs, leaving sustained product cost reduction savings under-realized.Cisco Systems is a firm that faces these business conditions and has products that have these characteristics. Cisco Worldwide Manufacturing has thus devoted itself to improving Cisco's value engineering capabilities to a world class level. Value engineering at Cisco refers to product cost reduction activities that occur during sustained manufacturing. The research in this thesis set out to validate the hypothesis that Cisco could improve value engineering savings by funding cost reduction projects directly through Worldwide Manufacturing, rather than through the typical budget of a Cisco business unit. Cisco business units often have to prioritize NPI over value engineering. This thesis will discuss the process and results of a model that was established to provide value engineering project funding through Manufacturing. Results show that value engineering savings can be increased with this funding model. / by James P. Thome. / S.M. / M.B.A.

Thesis (M.B.A.)--Massachusetts Institute of Technology, Sloan School of Management; and, (S.M.)--Massachusetts Institute of Technology, Dept. of Materials Science and Engineering; in conjunction with the Leaders for Manufacturing Program at MIT, 2008. / Includes bibliographical references (p. 83-85). / As companies continue to outsource large portions of their manufacturing, managing costs in the supply chain is increasingly important in reducing overall costs and remaining competitive. Low-cost sourcing has become an increasingly prevalent way for companies to reduce total costs. This thesis develops a methodology for evaluating cost-reduction alternatives and low-cost sourcing opportunities. This thesis is intended to provide procurement managers with assistance in making informed and well-thought out decisions regarding cost-reduction and low-cost sourcing choices. Six criteria are established to compare cost-reduction alternatives and evaluate the fit of an alternative with the company's supply chain strategy. A framework is developed to aid procurement managers in evaluating low-cost sourcing opportunities. This framework involves the utilization of filters to screen parts, countries, and companies for fit with the supply chain strategy. A model that can provide recommended sourcing locations is developed to evaluate domestic low-cost sourcing options. / by Amber J. Obermoller. / S.M. / M.B.A.