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Apr 2 2017

The Boeing 787 Development Story

Employees cheering 1st 787/10 in 2/2017

Today, the Boeing 787 is a successful product, with production rates at 12 units/month, and a total of 521 flying just over 5 years from launch. By comparison, in 49 years of production, Boeing built 1,528 units of the 747. And, having just flown in a 787 from San Francisco to Paris and back, I can attest that it was for me less tiring than in any other plane, which I attribute to the higher air pressure. It is close to that of Lake Tahoe (6225′) while other planes are closer to Squaw Valley High Camp (8200′).

Back in 2008-2011, however, the news coverage of the 787 was not so positive, as the plane’s product launch accumulated a delay of more than three years, with analysts pondering what had gone wrong. To keep this event in perspective, we should remember that multiyear delays in product launches have recently been the rule rather than the exception in commercial aircraft, worldwide. In Europe, the Airbus A380 was 2 years late and, in Russia, so was the regional Superjet 100. But the question remained of how Boeing, an organization with 100 years of experience in designing and building airplanes, could not have done better.

I would like to present here a few explanations that have been proposed, without passing judgment as to whether any or all of them are accurate.

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By Michel Baudin • Management • 2 • Tags: 787, Airbus, Boeing, Commercial aircraft, Dreamliner, Global Supply Chain, Product development

Mar 22 2017

Saturation In Manufacturing Versus Service

In Capacity Planning For 1st Responders, we considered the problem of dimensioning a group so that there is at least one member available when needed. Not all service groups, however, are expected to respond immediately to all customers. Most, from supermarket check stands and airport check-in counters to clinics for non-emergency health care, allow some amount of queueing, giving rise to the question of how long the queues become when the servers get busy.

Patients waiting in Emergency Room

At one point in his latest book, Andy and Me And The Hospital, Pascal Dennis writes that the average number of patients in an emergency room is inversely proportional to the availability of the doctors. The busier the doctors are, the more dramatic the effect. For example, if they go from being busy 98% of the time to 99%, their availability drop by half from 2% to 1%, and the mean number of patients doubles. Conversely, any improvement in emergency room procedures that, to provide the same service, reduces the doctors’ utilization from 99% to 98%, which cuts the mean number of patients —  and their mean waiting time — in half.

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By Michel Baudin • Laws of nature • 0 • Tags: Airport Check-in, Hospitals, Queueing theory, Service, Supermarkets

Mar 12 2017

Meeting with Christoph Roser in Paris

With Christoph Roser

Christoph Roser, who blogs at AllAboutLean.com, is another on-line correspondent whom I had a chance to meet on this trip. We discussed our backgrounds and shared interests over a brasserie lunch in Paris, across from the Luxembourg gardens, where we walked afterward, among Parisians enjoying the early spring, playing tennis, and watching puppet shows. At one edge of the gardens is the seat of the French Senate; at the opposite, my alma mater, Mines-Paristech.

Brasserie Le Luxembourg

As authors, Christoph and I have been working with the same publisher, Taylor & Francis, and even with the same editor. His “Faster, Better, Cheaper” in the History of Manufacturing came out last year, covering the period “from the stone age to Lean Manufacturing and beyond,” which is very ambitious. I confessed to not having read it cover to cover, but the parts I did read seemed carefully researched. Unfortunately, the way things are made hasn’t been as thoroughly documented as wars and revolutions, and it’s a challenge to trace back the origins of ideas in this area that we apply every day.

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By Michel Baudin • News • 1 • Tags: Christoph Roser, History of technology

Mar 11 2017

Lecture On Global Supply Chains At ETH Zürich on 3/8

Torbjørn Netland, professor of Operations Management at ETH Zürich,  blogger at Better Operations, and an on-line correspondent of many years, had invited me to deliver a guest lecture in his course on Global Operations Strategy.

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By Michel Baudin • News • 1 • Tags: ETH, Global Supply Chain, Operations Management, Torbjørn Netland

Feb 17 2017

Variability, Randomness, And Uncertainty in Operations

This elaborates on the topics of randomness versus uncertainty that I briefly touched on in a prior post. Always skittish about using dreaded words like “probability” or “randomness,” writers on manufacturing or service operations, even Deming, prefer to use “variability” or “variation” for the way both demand and performance change over time, but it doesn’t mean the same thing. For example, a hotel room that goes for $100/night in November through March and $200/night from April to October has a price that is variable but not random. The rates are published, and you know them ahead of time.

By contrast, to a passenger, the airfare from San Francisco to Chicago is not only variable but random. The airlines change tens of thousands of fares every day in ways you discover when you book a flight. Based on having flown this route four times in the past 12 months, however, you expect the fare to be in the range of $400 to $800, with $600 as the most likely. The information you have is not complete enough for you to know what the price will be but it does enable you to have a confidence interval for it.

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By Michel Baudin • Laws of nature • 0 • Tags: Deming, Mississippi flood of 1993, Randomness, Toyota, Uncertainty, Variability, Variation

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