Abstract

Rapid globalization has created a very challenging and competitive environment in the auto industry. High competition put Original Equipment Manufacturers (OEMs) and their suppliers under tremendous pressure to deliver products in a short time with high quality and competitive prices. The major goal of any manufacturing corporation is to achieve the highest level of flexibility, which can only be attained by using new technologies, tools, and processes.

      The aim of this study is to build a robust simulation model of a new manufacturing system for a new plant to produce 1200 engine blocks per day. Carrying out an optimization study for all proposed models will help the company to make the optimal decision before implementing a new system. Simulation optimization studies were performed to examine different kinds of CNCs, equipment, configurations, and set up by using Arena software to simulate four different scenarios.                                                                                                                                      Results showed that Scenario 4 (automated system with single spindle machines and cooling tunnel) was the optimal configuration, producing significant improvement on throughput. A 9.75% increase in net throughput from 1200 to 1317 units per day