A study on applying FMEA to improving ERP introduction

Abstract

PurposeFacing the competition pressure of internationalization and diversification, the semiconductor industry of Taiwan has to increase the activation/utilization rate of machines, enhance flow speed and values, cut down delivery and reduce costs in an efficient way in reaction to a shortening product life cycle and the global market requirements. As a result, introduction of ERP has become a critical factor of enhancing competitiveness. The purpose of this study is establish a systematic evaluation and improvement mechanism to locate the risk priority number (RPN) of implementation items via failure mode and effects analysis (FMEA) for semiconductor related industries in Taiwan while introducing ERP.Design/methodology/approachA standardized system introduced performance matrix based on the performance evaluation matrix (PEM) will be established in accordance with the locations of severity (S), occurrence (O) and detection (D) and the three RPN indices, in the PEM. Performance levels will be assessed and the performance improvement strategy introduced by the system will be formulated. Finally, items falling within the non‐appropriate performance zone will be specified through the quality function development (QFD) method.FindingsFrom the results of the case study, the proposed systematic evaluation and improvement on the performance of introducing ERP for the semiconductor industry in Taiwan can be conducted in an efficient way.Practical implicationsAll that the management needs to do is to correspond to the positions of these RPN indices of implementation items on the performance matrix. Performance levels will be assessed and the performance improvement strategy introduced by the system will be formulated.Originality/valueThe PEM is demonstrated to be suitable to define the best countermeasure can be sought to serve as a reference for the semiconductor related industries in Taiwan to introduce ERP.

Quality improvement in the production of 'U' type clamp in sheet metal manufacturing company: a case study on the application of TFMEA

“…Likewise, international electronic commission published an exclusive standard, which was called as IEC 812 on FMEA. Thus, unlike many techniques and tools which are developed by the researchers, FMEA was developed by the practitioners, which was recognised as a standard, for preventing failures while carrying out many operations including design and production (Yang et al, 2006;Estorilio and Posso, 2010). This development indicates a strong scientific foundation and practicality on which FMEA principles are based.…”

“…Presently, adoption of FMEA has been recommended in the system standards like TS 16949 and QS -9000. Yang et al (2006) have traced the history of developing FMEA. According to these authors, Ford Company adopted FMEA from the year 1977.…”

“…The formal emanation of FMEA occurred in the aerospace industry. As a result of the success in achieving quality improvement through the application (Liu et al, 2013) of FMEA, Ford Company began to apply FMEA (Yang et al, 2006). During this period, the researchers also began to implement FMEA in companies and examined its effect on achieving continuous quality improvement.…”

Combining Monte Carlo Simulation and Bayesian Networks Methods for Assessing Completion Time of Projects under Risk

“…This framework proposed a systematic procedure for considering interdependence in the risk assessment process. Yang et al [11] suggested a systematic assessment of risks in ERP projects via the use of FMEA technique. In the developed framework, a performance matrix was built compatible with the places of the three Risk Priority Number (RPN) indicators in the performance evaluation matrix.…”

Data‐driven identification and modeling of earthquake‐excited building structures regarding soil‐structure interaction

“…The most common parametric approaches involving physical identification techniques with applicability have been recognized by many literatures, including the least square method, [20] the Kalman filter, [21] and the particle filter. [22] However, it is a rather challenging task to accurately and directly estimate the initialization condition and the gradient of the objective function.…”