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Integrating value stream mapping and discrete events simulation as decision making tools in operation management

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Abstract

Focusing on competitiveness, many companies seek methodologies in order to increase the productive performance. Process optimization focused on quality, productivity improvement, and cost reduction tools has excelled in industrial environments based on the results achieved by many companies. However, the lack of a production simulation system to evaluate advanced scenarios does not effectively address numerous solutions. As a result, this paper aimed to apply the value stream mapping (VSM) and discrete events simulation as decision-making tools to direct the management invest in the best option among the available scenarios generated by simulation system. The analysis was realized in a manufacturing cell part of a Brazil’s metal industry that needs to increase the production capacity in a context of high fluctuation of demand. The results showed the efficiency of VSM and simulation integration as decision making tools. It was possible to display a table with all data sets for both current and future scenarios. From process data, it was possible to calculate the production, unit cost for each piece produced, investment cost, productivity (total of operators), and layout.

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