Configuration, monitoring and control of
semiconductor supply chains
Jan. 7, 2005
Factory Operations Research Center
(FORCe II)
Shi-Chung Chang (task 1) Argon Chen (task 2)
Yon Chou (task 3)
National Taiwan University
Multiple Threads of
Manufacturing Services
DesignFab C/P Packaging Final Test
Optional Captive Fab
Optional Captive C/P
Packaging Final Test
C/P Packaging Final Test
Fab C/P Packaging Final Test
control owner control point
Challenges of Manufacturing Services
Challenges of Manufacturing Services
• Effective collaboration between
engineering and manufacturing
• Reliable delivery
• Supply and service monitoring and
control
supply chain
eng
customer
monitoring & control
business
reliable
Supply Chain Configuration,
Monitoring and Control
Supply Chain Configuration,
Monitoring and Control
Supply Chains
Control
•
Robust configuration•
Monitoring•
Dynamic control Performance variation variety Objectives: to enhance•
Predictability•
Scalability•
Service differentiabilityTask 1: behavior modeling
Task 2 Task 3
Task 1: Empirical Behavior Modeling
Task 1: Empirical Behavior Modeling
PI: Shi-Chung Chang
Co-PIs: Da-Yin Liao, Argon Chen To develop methodology:
1. Definition of quality of service (QoS) metrics
– Scalability – Controllability
– Service Differentiability
2. Modeling and simulation
– Performance
– Variability (engineering and business)
– Capacity allocation & control
Empirical Behavior Modeling configuration &control uncertainties environment settings performance metrics
Mid-year Progress – Task 1
Mid-year Progress – Task 1
• Definition of Performance Metrics
– Have identified reduced set of QoS metrics from SCOR
– Have defined the QoS translation problem among nodes of
supply chain
– Is developing a queueing network-based QoS translation
method
• Fab Behavior Modeling
– Have developed a baseline model
• open queueing nework with priority • mean and variability
– Have defined a response surface fitting problem – Is developing response surface modeling method
• Simulation
– Have developed a baseline Fab simulator based on QN
Performance Metrics Definition
Performance Metrics Definition
• SCOR-based six categories
– quality, cost, cycle time, delivery, speed, and service FAB Process ProcessCP ASSY Process FT Process Demand Supply Supply Supply Supply Design Houses IDM Supply SSC Levels Service Differentiation
Chain & nodal Requirements
Average Days per Schedule Change % of Orders Scheduled to Customer Request
D Delivery Performance to Customer
Request Date
Ratio of Actual to Theoretical Cycle Time
Forecast Accuracy Forecast Cycle Make Cycle Time
Actual-to-theoretical Cycle Time
CT
Machine Wait Time
In-process Failure Rates
Finished Goods Inventory Carrying Costs Capacity Utilization
% of Downtime due to Non-availability of WIP
Co
Yield Variability Yield
Q
Responsiveness Lead Time Re-Plan Cycle Time
Schedule Interval
% Orders/Lines Received On-Time to Demand Requirement
Sv
Schedule Achievement
Delivery Performance to Customer Request Date
%Orders/Lines Received with Correct Shipping Documents
Intra-Manufacturing Re-Plan Cycle
% Schedules Generated within Suppliers’ Lead Time
% Schedules Changed within Suppliers’ Lead Time
Sp
Key Level 1 Metrics for SSC
Characterization of Variability
Characterization of Variability
• Sources
– Process varieties – Engineering changes – Operation excursions – Demand plan• Hybrid models
– Response surface – Priority queueing – Simulation Arrival Parameters Nodal Performance Measures Service Parameters Characterization by Mean & VarianceTh, Tl machine (τ, 2 s C ) (λh, C )h2 queue (λl, C ) l2 dh, dl
Behavior Modeling Methodology
Behavior Modeling Methodology
• Priority open queueing network (OQN)
– Nodal and system characterization by mean and variance – Response surface matching with empirical data
• Simulation for performance prediction/model adaptation
Response surface PQN model matching FAB Process ProcessCP ASSY Process FT Process Demand Supply Supply Supply Supply Design Houses IDM Supply Simulator Monitored actual or empirical performance Configuration & control Inputs Model adaptation Simulated performance Uncertainties Environment settings Monitoring
• Discipline : Priority Ma c h in e G ro u p 1 Ma c h in e Gr o u p 2 Ma c h in e Gr o u p M b1 b2 bM+1 bJ -M+1 bJ -M+2 bM+2 bM b2M bJ E xt e r n a l Ar r iv a ls De p a rt u r e s flo w o f ty p e A p a r ts flo w o f ty p e B p a r ts
• Routing : Deterministic with feedback • Arrival : General independent processes • Job Class : Part type
• Queue : Infinite buffer for each step
• Node : Group of identical failure prone machines
• Service : General time distribution (single/batch, failure)
Priority OQN Model: Fab Example
Decomposition Approximation
• Two Notions
Arrival Parameters Arrival Parameters Nodal Performance Measures Nodal Performance Measures Service Parameters Service Parameters– Each Network Node as an Independent GI/G/m Queue
– Two Parameters, Mean & SCV, to Characterize Arrival & Service Processes
Three Flow Operations
Three Flow Operations
ij j C b a C n i ai aj
∑
= + = 1 2 2 ij i 0j j q n i∑
= + = 1 λ λ λ j j i i qij • Merging ij i ij λ q λ = ij ijC q q Cij2 = di2 +1− j j i i qij • Splitting i i ) ( 2 d d C, ) ( 2 a C , λ ) , ( 2 s C τ Input Output •Departure Rate d = λ •Inter-departure Time SCV(
)
2 2 2 1 s a d C C C = −ρ2 +ρ2Traffic Equations:
F(
.
)
Traffic Equations:
F(
.
)
Performance/
Performance/
QoS
QoS
Measures
Measures
: WIP, Cycle Time, ... : WIP, Cycle Time, ...
)
,
(
τ
nC
sn2 n aλ
∑
= + = M m mn n e n 1 λ δ λ λa∑
= + = M m mn m n e q 1 a λ δ λ • Traffic Rate 2 nC
a∑
=+
=
M m mn m n nC
b
C
1 2 2 a aa
• Traffic VariabilityQoS Translation
QoS Translation
• Given
– Higher Level/Coarse QoS spec. – Service Node Parameters
– Flow Routing Information
– Priority OQN model F(
α, θ,
Q)– FCFS Discipline for Each Priority
Q
(
,Q)
Y = F α ,θ
• Derive by solving
– External control specs.
– Nodal Level QoS reponsibility y = G
(
ω,θ)
α
( , )λ
e 2 eC
=θ
=(
τ
n,
C
sn2)
Y
Response Surface Modeling
Response Surface Modeling
• Given
– Empirical I/O Characterization (I, O) – Service Node Capacity mn – Flow Routing Information
– Priority OQN model F(
α, θ,
Q)– FCFS Discipline for Each Priority
Q
• Fit F(
α, θ,
Q) to (I, O) and derive
Modeling Capacity Allocation
Modeling Capacity Allocation
Deduct Capacity Allocated to Higher Priority PULL+PCA* PUSH+PCA FLOW_IN Estimation MAX_FLOW_IN CONVERGE ? No Yes
Targets (Capac. Alloc.) & Cycle Time Estimates
for the priority
Next Priority *P.C.A: Proportional Capacity Allocation
Deliverables – task 1
Deliverables – task 1
• July 2005
– Selection and definition of key QoS metrics
– Translation algorithm of QoS from chain to nodes – Fab behavioral model
• Priority, capacity allocation, source of variation
– Fab behavioral simulator
• July 2006
– Methodology generalization to the service thread
from design house, fab to circuit probe
– Methodology and tool integration with control
Task 2: Robust Allocation and
Monitoring
Task 2: Robust Allocation and
Monitoring
PI: Argon Chen Co-PI’s: David Chiang, Andy Guo Will develop:
1. A baseline supply chain allocation strategy
– Robustness on performance
– Robustness on performance variability – Quadratic approximation
2. Supply chain sensitivity and monitoring
– 2nd moment performance of priority queueing network
– Decomposition of supply chain performance – Ranges of optimality and feasibility
Mid-year Progress – Task 2
Mid-year Progress – Task 2
• Supply chain simulation model
– Have defined environment variables and variability sources – Have defined control policies for various supply chain threads – Have built a preliminary simulation model using ARENA
• Supply chain allocation programming
– Have defined allocation decision variables – Have formulated constraints
– Have started development of implementation strategies
• Supply chain allocation optimization
– Have studied quadratic programming methodologies – Have studied Wolfe-dual based algorithm
Semiconductor Supply Chain
Semiconductor Supply Chain
Fab CP Assm FT
SC Route SC Control Point
Supply Chain Routes and Threads
Supply Chain Routes and Threads
Route (r) r=1 r=2 r=3 Thread (i) i=1 i=2 i=3
Supply Chain Allocation
Supply Chain Allocation
• X
rikq(%)
– Proportion of production for product type k at
service-level q allocated to supply chain thread i of route r Product k Service level q Route 1 Route 2 X11kq% X12kq% X21kq% X22kq%
Supply Chain Behavior Model
Supply Chain Behavior Model
yjkq : the jth performance index for product k at service level q Empirical Model
E(yjkq)=fjkq(xrikq| vrikq, erikq) SD(yjkq)=gjkq(xrikq| vrikq, erikq)
…..
Uncertain Factors vrikq varieties
Allocation %
xrikq
eng changes exceptions
Performance Metrics yjkq . . . . …..
Environment Settings etikq demands capacity thread scheduling policies business mode
Supply Chain Constraints (I)
Supply Chain Constraints (I)
Product Mix Constraints
– The proportion of product type k to total production
Priority Mix Constraints
– The proportion of service-level q production to total
production rikq
X
k r i qk
ρ
=
∀
∑∑∑
rikq qX
r i kq
φ
≤
∀
∑∑∑
Supply Chain Constraints (II)
Supply Chain Constraints (II)
Demands Fulfillment Constraint
– The total production is equal to or less than the demand
95
.
0
=
∑∑∑∑
r i k q
rikq
X
1
≤
∑∑∑∑
r i k q
rikq
X
Example:Supply Chain Constraints (III)
Supply Chain Constraints (III)
Route Mix Constraints
– The proportion of production allocated to route r can not exceed a predetermined limit
Thread Mix Constraints
– The proportion of production allocated to thread i can not exceed a predetermined limit
rikq r i k q
X
≤
α
∀
r
∑∑∑
rikq i r k q X ≤β
∀i∑∑∑
Supply Chain Constraints (IV)
Supply Chain Constraints (IV)
Resource (Capacity) Constraints
– The proportion of capacity consumed by route r cannot exceed a given proportion
of route r capacity to the total capacity
Where
– mrk=Uωki : the percent use of route r by one percent of production for product type k allocated to route r
– Cr: the proportion of route r available capacity to total capacity
– ∑Cr: the proportion of available capacity to total capacity
– U(%): capacity utilization (production to total capacity ratio)
– ωki: the capacity of route r consumed by one unit of product type k
* r rikq rk r k i q X m C ≤ ∀
∑ ∑∑
∑ ≤
r rC
1
Supply Chain Allocation Optimization –
Goal Programming
Supply Chain Allocation Optimization –
Goal Programming
Goal Constraints Business Scenarios: erikq Stochastic Elements: vrikq xrik1 Service Priority (q = 1) Min fjk1(SD(yjk1)) Max or min fjk1(E(yjk1)) Service Priority (q = 2) Min fjk2(SD(yjk2)) Max or min fjk2(E(yjk2)) Service Priority (q = Q) Min fjkQ(SD(yjkQ)) Max or min fjkQ(E(yjkQ)) … xrik2 xrik(Q-1) Goal Constraints Goal Constraints Objectives: Max or MinE(yjkq)=fjkq(xrikq| vrikq, erikq)
Min
SD(yjkq)=gjkq(xrikq| riikq, erikq)
Constraints:
Resources Constraints
Demands Fulfillment Constraints Product-mix Constraints
Priority-mix Constraints Route-mix Constraints, etc
Solution Methodology
Solution Methodology
• Quadratic Stochastic Goal-Programming
– Transform the model to a piecewise
quadratic programming model
– Construct Wolfe-dual based algorithm for
the piecewise quadratic programming
model
– Develop a preemptive goal programming
approach for differentiable service priorities
– Perform sensitivity analysis through
Implementation
Case 1: Order fulfilled based on X
rikqImplementation
Case 1: Order fulfilled based on X
rikqOrder
max
r=1 r=2 Route
Thread
i=1 i=2 i=1 i=2
X11A1 X 12A1 X 21A1 X22A1 Xrikq buckets
Implementation
Case 2: Order fulfilled by a lower priority
Implementation
Case 2: Order fulfilled by a lower priority
Order
over over over over
max Route Thread Xrikq buckets r=1 r=2
i=1 i=2 i=1 i=2
X11A1 X 12A1 X 21A1 X22A1 r=3 r=4 i=1 i=1 X31A2 X41A2
Deliverables – Task 2
Deliverables – Task 2
• Supply chain quadratic goal programming model
and solution (Model, Methodology, Report)
(July-05)
– Supply chain simulation model (March-05) – Supply chain planning goals (April-05)
– Supply chain goal programs (May-05)
– Baseline supply chain allocation model and
solution (July-05)
• Supply chain sensitivity analysis and monitoring
methodology (Model, Methodology, Report)
(July-06)
Supports Needed – Task II
Supports Needed – Task II
• Supply chain network data
– Number of supply chain levels – Number of facilities at each level
– Capacity and capability of each facility – Locations of facilities, etc.
• Supply chain operations data
– Facility reliability data – Cycle time
– Dispatching policies – Control policies
– Order fulfillment policies, etc.
• Supply chain allocation practice • Supply chain performance data
Task 3: Dynamic Control
Task 3: Dynamic Control
Will develop:
1. A control model for demand support
2. A control method to enhance delivery, speed
and service
1 2 .. n C/P
Fab
dynamic events in eng. & mfg.
orders
PI: Yon Chou
Co-PI: Shi-Chung Chang
1 2 C/P
Fab Sales
channel Salient scope:
advanced info. of inventory and business plan
Microchip Company
Mid-year Progress – Task 3
Mid-year Progress – Task 3
1. A control model for demand support
– Have defined the problem scope
– Have outlined the model
2. A control method to enhance delivery,
speed and service
– Have developed a workload flow model
– Have developed an integer program (with
preliminary implementation)
3.1 Salient feature
3.1 Salient feature
• Demand (technology, product, etc.) has a life
cycle
• Demand forecasts and channel inventory are
signals. The total demand is a more reliable
estimate.
Mean-reverting model
growth mature obsolete
time true
demand
3.1 A control model for demand support
3.1 A control model for demand support
• Objectives
– To monitor demand-capacity mismatch in medium-long term – To support the demand-capacity synchronization by capacity
decisions (expansion, reservation, prioritization)
• Model scope
– Relationship between capacity, cycle time, WIP and throughput – Integrating channel inventory and demand dynamics with supply
capability 1 2 C/P Fab Channel inventory capacity capacity Demand dynamics
3.1 Elements of the model
3.1 Elements of the model
• Channel inventory:
an input, based on market intelligence data• Demand dynamics
– Demand lifecycle
– Demand learning effect
• Supply capability of the nodes
– Cycle time, WIP, throughput
• Objective functional
– Capacity allocation (to control shortage points)
t by time demand cumulative : (t) X )) ( ( ) (t k X t X• = ) )( (TH CT WIP = ) (t I
3.2 Delivery control
3.2 Delivery control
Delivery Control Schedule, Events differentiated services•
Service quality•
Feasible revision•
Delay information• Objectives:
– To assess the impact of dynamic events on the
performance under high-mix environment
– To identify feasible revision, shortfall points
and delay information in order to enhance
delivery, speed and service
3.2 Workload variation propagation
3.2 Workload variation propagation
• Elements
– Events: uncertain job arrivals, urgent orders, disrupting events, and material availability
– Modeling of capacity loss due to variety, variation and dynamic events – Cumulative workload time Cumulative workload Shop 1
…
Shop K3.2 Behavior modeling of re-allocation
3.2 Behavior modeling of re-allocation
• Entities of allocation schedule
– T time periods (weeks) – K shops (nodes) – J orders
• Variables
• Dynamic events
– Hold – Hold-release – Order insertion } 1 , 0 { , ,k t ∈ j X3.2 Variety-efficient relationship
3.2 Variety-efficient relationship
• There are many parallel machine systems in
semiconductor manufacturing.
• How to measure variety?
• How to characterize the relationship between
variety and efficiency?
Variety Efficiency