Using discrete event simulation to change from a functional layout to a cellular layout in an auto parts industry

Abstract

This paper presents a discrete event simulation employed in a Brazilian automotive company. There was a huge waste caused by one family scrap. It was believed one reason was the company functional layout. In this case, changing from current to cellular layout, employee synergy and knowledge about this family would increase. Due to the complexity for dimensioning a new cellular layout, mainly because of batch size and client’s demand variation. In this case, discrete event simulation was used, which made possible to introduce those effects improving accuracy in final results. This accuracy will be shown by comparing results obtained with simulation and without it (as company used to do). To conclude, cellular layout was responsible for increasing 15% of productivity, reducing lead-time in 7 days and scrap in 15% for this family.