A Production Control System Based on Earned Value Concepts

In the past four years, Astilleros Espafioles S.A. (AESA) has completed the implementation of its shipbuilding industrial model, based on the use of a product work breakdown structure (PWBS) for each new construction shipyard. As a logical development of this model, a new production control system has been built using earned value techniques. This paper describes the state of the implementation of this production control system. First, the basic structures of the shipbuilding model are defined as the product work breakdown structure of each ship under construction, the process breakdown structure of the shipyard, and the organizational breakdown structure. Also described is how these structures are reflected in the basic logical concepts of the production control system: product, process, organization, control accounts and control points (by product, process or organization), work packages and work orders. The functional description of the production control system is explained. Some examples of outputs are presented, stressing the method of result analysis prepared for each responsibility level of the shipyard general manager, production manager, and shop and production unit managers. Next, the development of the implementation phase in one test corporate shipyard is described, as well as the main problems found and the way in which they have been solved. Finally, some conclusions about the production control system are presented, together with several future planned developments for the system.