Management Science Letters

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1 Management cence Letters 4 (2014) Contents lsts avalable at Growngcence Management cence Letters homepage: Identcaton and weghtng actors nluencng the establshment o a sngle mnute exchange o des n plastc necton ndustry usng VIKOR and hannon Entropy Gholam Reza Hashemzadeh, Masomeh Khoshtarkb and aeed Hazadeh Assst. Pro. & Faculty Member, Department o Management, outh Tehran Branch, Islamc Azad Unversty, Tehran, Iran C H R O N I C L E A B T R A C T Artcle hstory: Receved 5 January 2014 Receved n revsed ormat 8 March 2014 Accepted 16 March 2014 Avalable onlne 18 March 2014 Keywords: ngle Mnute Exchange o Des etup tme Internal actvtes External actvtes VIKOR ngle mnute exchange o des (MED) s one o the most mportant tools to acheve lean producton system. The man dea o ths system s to provde methods and to use creatve and nnovatve solutons or contnuous mprovement. Due to the mportance o ths ssue and ts eect on reducng waste durng the producton process, ths study presents a method to denty and to weght actors n the establshment o a sngle mnute exchange o des n 14 plastc necton actores. In ths study, ourteen actores n necton ndustry were chosen and the actors nluencng the mplementaton o sngle mnute exchange o des were dented. Followng data collecton, decson matrx was ormed and the weght o each actor was determned by usng hannon Entropy. Then, n order to determne the readness o actores, VIKOR method was used to rank companes. The results ndcate prortes o the ollowng actors n establshng MED that nclude: enor management support, techncal capabltes, techncal knowledge o sta and consultants, knowledge o mold desgn, manuacturng nrastructure, team work, combnaton o the proect team work, benchmarkng, tranng, clear understandng o proect obectves, rewards and motvaton, proper management expectaton, proect management, teamwork and organzatonal culture. Practcal mplcatons: Due to the actors, Top manager can make the best decson or mplementng o MED technque. Ths study develops actors nluencng on MED mplementaton based on hannon and VIKOR methods or rankng parameters and plants Growng cence Ltd. All rghts reserved. 1. Introducton Recently, due to wdespread o producton systems, t s necessary to mplement ecent and eectve methods to control and to benet rom all the eatures o these systems. On the other hand, n recent decades, ndustral organzatons have been changed and producton ssues have aced partcular complexty through applcaton o nnovatve technologes n the ndustry. Hence, n terms o the comprehensveness, the ust n tme producton systems, as producton plannng system and nventory control, has been at the top o the pyramd o nnovatve systems o plannng and control Correspondng author. E-mal addresses: gh_hashemzadeh@aol.com (R. Hashemzadeh) 2014 Growng cence Ltd. All rghts reserved. do: /.msl

2 978 (Chu et al., 2007). Thereore, the hgh startup tme s consdered as a serous problem n achevng the prmary goals o the system. ngle mnute exchange o des (MED) s assocated wth preparaton work n less than 10 mnutes. In other words, when we swtch rom producton o a pece to another one, ths must be accomplshed n the shortest possble tme. Although, we may thnk t s not always possble, but n most cases, t s achevable. The prmary concern n most developng countres s that not only manuacturers have nsucent resources but also the proper use o the exstng resources may not happen due to unavalablty o the requred techncal knowledge. Iran s not an excepton, and there s a need n producng and usng nnovatve productve methods to acheve nternatonal standards. Perhaps some thnk that preparaton s the only small aspect o producton whle reducng preparaton tme s the prmary soluton to resolve bottlenecks, to reduce cost and to mprove the qualty o products and t s the great step towards uture technologes that are robotc and automaton (Codruta et al., 2010). tudes n many Inecton Industres n Iran ndcate that n ths ndustry, producton methods and equpment, as well as many machnes are old and due to the ncreasng applcaton o ths ndustry n Iran and ncreased necessty or constant power wth oregn manuacturers, t s necessary to use nnovatve productve methods and revse on tradtonal methods. Thus, n ths study, addtonally t s attempted to denty the actors nluencng the successul mplementaton o sngle mnute exchange o des n plastc necton ndustry usng the team decson makng technques, these actors are weghted and also readness o studed actores n the establshment o the system are nvestgated. In other words, t can be sad that ths research ams to respond to ollowng questons: what are the actors nluencng MED n necton ndustry and how much does each actor weght and also how do actores n ndustry prepare to establsh MEDs? 2. Materal and methods ngle Mnute Exchange o Des (MEDs) s a process based on the prncple o nnovaton ntroduced n the md-80s, ncludng separaton and converson o nternal to external startup operatons. Experence has ndcated that by emphaszng the procedural atttudes and mplementng MEDs, the company was able to elmnate wastes, non-value added actvtes and t has been saved through the amount o nearly 360,000 Euros, about 2% o the sales volume o the company (Hwang & Yoon, 1981). MED s one o the most mportant tools o lean producton n order to decrease waste and mprove lexblty n producton process to reduce the manuacturng categores and low mprovement. MED reduce the non-productve tme by standardzng operatons and reducng the usng tools and applcatons. However, the most conducted studes do not oer certan suggestons to mplement these tools. To resolve ths deect, n order to develop mplementaton outcomes o MED, common statstcal and engneerng tools can be appled, seamlessly. Proposed approach o MED s tested or necton machnery n Auto ndustry that ths mplementaton through re-engneerng and usng o nternal resources and wthout requrng sgncant nvestment causes a decrease tmng and organzaton startup. In 1969, n the orgnal actory o Toyota Motors, the necessary tme or the preparaton o the Press 1,000-ton durng preparaton work or had been about 4 hours and t was reduced to three mnutes relyng on the separaton o nternal and external preparaton operaton or 9 months. tarlght researchers ater establshng mprovement team, usng the nvestgatons results o Toyota and Mtsubsh, they reduced the startup tme rom 180 to 70 mnutes usng MED to acheve snglemnute tme (Moxham & Greatbanks, 2001). Other actors ntroduced as key actor n mplementng MED nclude clear goals and adectves, mantenance o top management o organzaton, proect

3 R. Hashemzadeh et al./ Management cence Letters 4 (2014) 979 world-beater, and consultant acquston (Alves & Tenera, 2009). In a oned study accomplshed on ecency ncrease through reducng startup tme, some actors such as structural and cultural changes lead to sgncant changes n organzatonal structure and nluence the way o dong thngs and people nteracton. Tranng all managers and sta, top management support, clear understandng o obectves and consultant acquston are nluental, sgncantly (Fawaz, 2003). Kng (2009), n ther study about development on how to decrease the startup tme n actores, stated that strong management o proect, tranng at all levels, communcaton and collaboraton between unts and process reengneerng were nluental (ousa et al., 2009). Pernć et al. (2009) perormed an nvestgaton, whch led to mplementaton o MED n castng actores o De Cast reducng the startup tme (Ulutas, 2011). In 2006, a study conducted based on usng lean producton methods or the mprovement o startup tme and t was ndcated that such actors lke clear understandng o proect obectves, consultant acquston, ntersectonal coordnaton, tranng all managers and sta were eectve to ncorporate proect teamwork and process reengneerng n MED mplementaton (McIntosh, et al, 2001). In many nvestgatons, MED, as a tool or a technque, s a consdered as a prmary key actor n the mantenance, total preventve mantenance, the process o contnuous mprovement to acheve lean producton (Oprcovc & Tzeng, 2002). In 2001, an nvestgaton about startup tme mplementaton ntroduced MED and explaned ts applcaton and stated that such actors ncludng leaders capabltes and top managers n change management, managers tranng, team personnel and sta o strong proect management, proect world beater, organzatonal culture, avalable adequate and proper normaton n organzaton and allocaton o responsbltes approprated by authorty were eectve n ts mplementaton. A survey conducted n 2001 MED could be mplemented n enterprse area and startup tme was decreased dramatcally (Nyhus et al., 2010). Accordng to the results o the survey n 2001 about lean producton and ts tools, one o the most mportant actors to acheve lean producton that was done the de exchange n less than 10 mnutes. The purpose o ths study s to answer the ollowng questons: What are the eectve actors n establshng MED n plastc necton ndustry? How much do the actors weght? Accordng to actors, what s the prorty o studed actores n ndustry about establshment o ths system? To nd out more about the mplementaton o MED technque, t s necessary that ndustry executves get acquanted wth actors so that consderng them leads to accelerate MED mplementaton and ts success or not consderng them causes to al attempts o ths system establshment Methodology nce ths study amed on weghng and prortzaton o recognzed actors, thus hannon entropy method was used to weght and VIKOR method was done n order to prortze hannon entropy Entropy s the concept o physcs, socal scences and normaton theory, as t represents the provded uncertanty level o the expected normaton content o a message. In other words, entropy n normaton theory s a crteron or expressed uncertanty level through a dscrete probablty dstrbuton as ths uncertanty were more dscrete dstrbuton than lower requency dstrbuton (Asgharpour, 2005).

4 VIKOR VIKOR method s a new one n mult scale decson developed and presented to solve problems wth mproper and opposng scales (Derent measurement unts) (Kng, 2011). Ths method s used mult scale optmzaton o complcated system (Huang et al., 2009). It also concentrates on groupng method and selectng rom a set o tems and determnes compatble answers or a problem wth opposng scales where compatble answer s the closest vald answer to deal answer (Pernć, et al., 2009). It should be noted that the proposed model consders a mult-scale rankng ndex based on approachng to the deal answer (Oprpcovc & Tzeng, 2004). The weghtng actors has been recognzed, and also statstcal populaton compromses proessonals, experts and practtoners o necton ndustry, moreover 14 man actores n ths area has been used to prortze the actors. In present study, rst we used lbrary methods and studed lterature assocated wth the topc. We also perormed as ntervew wth experts to recognze and to extract eectve actors on MED mplementaton and establshment. 19 actors has been dented whch were presented to ndustry experts personally to conrm and to determne more eectve actors; nally, 14 actors were taken plant experts n order to be weghted usng the hannon entropy method Valdty and Relablty Valdty ndcates to what extent measurng tools measures varable or stable eatures can be tested (Agustn & antago, 1996). In order to obtan test valdty n ths study, test questons were nvestgated by experts and masters opnons and tps and they elmnated uncertanty that ndcates acceptable content valdty o test. Valdty means, durng a short tme we present measurng tools to one group o ndvduals or several tmes then results are close together. Thereore, an ndex called relablty coecent has been appled to measure relablty (armad et al., 1998). Thus, the capablty coecent s nvolved n a range o 0 (non-relatonshp) to 0.01 (ull-relatonshp). Relablty ndcates to what extent measurng tools measures stable eatures can be tested or varable and temporal eatures (Agustn & antago, 1996). One way to test the nternal relablty o the questonnare s Cronbach s Alpha. Questonnare credblty was obtaned by P sotware. Thereore, the hgh valdty o the questonnare was conrmed. 3. Results Followng the opnon o experts, 14 actors were conrmed as the most mportant actors. Then the entropy method was appled to calculate the weght and the mportance o each actor was determned accordng to the experts opnon. These actors ncludes top management support, technologc capabltes, techncal knowledge sta and consultants, knowledge o de desgn, producton nrastructure, combnaton o MED proect work teams, modelng, tranng at all levels, a clear understandng o the proect obectves, rewardng and motvatng sta, proper management o expectaton, proect management, teamwork and organzatonal culture. 4. Dscusson 4.1. Calculaton o actors weght through hannon entropy Followng valdty and stablty, questonnares were dstrbuted n actores (beore dstrbuton, arrangement o presence n actores, ntervew, legslaton o the research topc and completng the questonnares were made). In addton, ulllment o each questonnare was accomplshed as ntervew, explanaton and descrpton o MED concept and benets and capabltes. Then a decson matrx was made and ater that normalzed.

5 R. Hashemzadeh et al./ Management cence Letters 4 (2014) 981 Ater normalzng, entropy or uncertanty ndex (E ) and devaton degree to each crteron (D ) were calculated (Table 1). m 1 (1) D =1-E, k E k p. LnP Ln m 1 By normalzng devaton degree, the weght o each crteron s obtaned by usng the tme approach d W n as ollowng: d 1, Table 1 Entropy, devaton degree and weght o each crteron Crteron W E D X 1 Top management support X 2 Technologcal capabltes X 3 Techncal knowledge o sta and X 4 De desgn knowledge X 5 Producton nrastructure X 6 work teams Combnaton o MED X 7 Modelng X 8 Tranng at all levels X 9 Clear understandng o proect X 10 ta rewardng and motvatng X 11 Proper management o expectatons X 12 Proect management X 13 Team work X 14 Organzatonal culture Plastc necton ndustry rankng usng VIKOR method In ths step, 14 studed actores accordng to 14 crtera have been nvestgated and selected tem must have superor percentage. In ths method the best and the least ndex value s consdered the rst and the last selected tem, respectvely. VIKOR methods nclude the ollowng steps: 4.3. VIKOR rankng steps In the rst step, decson matrx s made accordng to the number o crtera, the number o tems and also evaluaton o them or derent crtera that ndcates value o each tem or each ndex; and each matrx row shows the status o each o the tems. In second step, matrx wll be non-scale by Eucldean sotware that s shown by n d : n a m 1 a 2 (2) 4.4. Weghted normalzed matrx Weghted normalzed matrx s obtaned by multplcaton o normalzed matrx (n d ) n the dagonal matrx o ndexes weght (w n.n ), where ndexes weght s used by hannon entropy, whch s shown by V= n d.w n.n. We determne the hghest and lowest values o the normalzed weghted matrx value mn max

6 982 where s the best value and s the worst value o th among all tems. Next, we determne the utlty ndex () and dssatsacton ndex (R) where R and values are calculated accordng as ollows, n 1 w (3) R max w The calculaton and tems rankng s as ollows, Q v (1 v) R R R R R mn R mn,, max (4) R max R (5) V s selected due to the level o group agreement o decson makers, there s a hgh agreement, n agreement wth the maorty o votes, and the low agreement, the value wll be >0.5, = 0.5 and <0.5, respectvely. Fnally, we sort the tems based on reduced values o R, and Q. An tem wll be selected as the preerred tem that known as the best tem among 3 groups. Placement order o these tems s consdered due to the reducton o R, and Q values electon o the best tem The best tem (wth the least Q) wll be acheved under the condton that the ollowng two condtons are establshed (Mahmod, 2002). 1 Q( A2 ) Q( A1 ) DQ, DQ m 1 Table 2 shows detals o the rankng or varous actores. (6) Table 2 The summary o rankng o varous actores Items rank R Rank Q Rank

7 R. Hashemzadeh et al./ Management cence Letters 4 (2014) Concluson In present study, ollowng comprehensve nvestgaton as well as accordng to dented nature o actores and applcaton o nternal and external conducted researches and studes about the dentcaton o eectve actors on successul mplementaton o MED, eectve actors and crtera were dented and ater dong poll o experts, 14 o them were conrmed. cale weghtng was calculated by hannon entropy and VIKOR algorthm that was done due to nal obtaned weghts. Certanly, we can denty many actors as eectve actors n MED mplementaton n ndustry, but the most mportant actors are ones whch can benet rom other actors and have them ( we prepare them). Thereore, 14 actors determned as the most mportant are eectve n successul establshment and mplementaton o MED n necton ndustry accordng to experts and proessonals opnons. Accordng to ndces weght calculaton, top management support s n a relatve hgh mportance and some actors such as technologcal capabltes and techncal knowledge o consultants and sta, de desgn knowledge and producton nrastructures n second level, then and n the lowest sgncant level there s organzatonal actor (Table 1). Results show that actores n hgh level o top management support and technologcal capabltes are n the head o rankng. Accordng to nal prortzaton o actores shown n Table 2, Cruse (that s located n hgher level) has more relatve sgncance than other actors n terms o top management support and technologcal capabltes. Compared wth lver (that s located n lower level), t s more prepared to mplement MED successully. Wth regard to presented results, t s suggested that durng MED mplementaton, managers should consder all lsted actors, because these nluence on managers decson-makng to set up these systems. Due to nal calculated weghts, we can observe that top management support and technologcal capabltes are the most nluental and they are n a proper tranng program or hgh support or successul mplementaton o MED to decrease mplementaton alure rsk. Also, managers should evaluate organzatonal condton or ths system mplementaton accurately. Ths causes to ncrease certanty n successul mplementaton o ths system by dentcaton o mprovement and revson opportuntes. Reerences Asgharpour,.M.J. (2005). Mult-crtera decson. Tehran unversty publcaton. Agustn, R.O., & antago F. (1996). ngle mnute exchange o de. In Proceedngs o Advanced emconductor Manuacturng Conerence Workshop, AMC 96, Theme, Innovatve Approaches to Growth n the emconductor Industry, Alves, A.., & Tenera, A. (2009). Improvng MED n the Automotve Industry: A case study. In POM 20th Annual Conerence Orlando, Flord UA, May1 to May (Vol. 4). Chu, M. T., hyu, J., Tzeng, G. H., & Khosla, R. (2007). Comparson among three analytcal methods or knowledge communtes group-decson analyss. Expert systems wth applcatons, 33(4), Carrzo Morera, A., & Campos lva Pas, G. (2011). ngle mnute exchange o de: a case study mplementaton. Journal o Technology Management & Innovaton, 6(1),

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