Improving production logistics through materials flow control and lot splitting

Competitive advantage of make-to-order manufacturing companies is highly dependent on their capability to offer short delivery times and on time delivery. This calls for effective production and materials flow control – a core part of production logistics. This paper applies discrete simulation to study the delivery performance of a make-to-order manufacturing system configured as a general flow shop, when operated under two card-based material flow control mechanisms: CONWIP and GKS. The influence of two lot splitting strategies on the performance of these mechanisms is also evaluated. Results show that GKS clearly outperforms CONWIP and that splitting strategies have a positive impact on the performance of both mechanisms. GKS also showed to be particularly robust to the variation of the number of production authorisation cards used. This, together with the fact that the card-based mechanisms require little data handling and simplify production control, makes GKS attractive for practical application in make-to-order companies.This study had the financial support of COMPETE: POCI-01-0145-FEDER-007043 and FCT – Fundação para a Ciência e Tecnologia within the Project Scope: UID/CEC/00319/2013.info:eu-repo/semantics/publishedVersio

Production planning and control of closed-loop supply chains

More and more supply chains emerge that include a return flow of materials. Many original equipment manufacturers are nowadays engaged in the remanufacturing business. In many process industries, production defectives and by-products are reworked. These closed-loop supply chains deserve special attention. Production planning and control in such hybrid systems is a real challenge, especially due to increased uncertainties. Even companies that are engaged in remanufacturing operations only, face more complicated planning situations than traditional manufacturing companies.We point out the main complicating characteristics in closed-loop systems with both remanufacturing and rework, and indicated the need for new or modified/extended production planning and control approaches. An overview of the existing scientific contributions is given. It appears that we only stand at the beginning of this line of research, and that many more contributions are needed and expected in the future.closed-loop supply chains;Production planning and control

Managing the trade-off implications of global supply

The cost versus response trade-off is a growing logistics issue due to many markets being increasingly characterized by demand uncertainty and shorter product life cycles. This is exacerbated further with supply increasingly moving to low cost global sources. However, the poor response implications of global supply are often not addressed or even acknowledged when undertaking such decisions. Consequently, various practical approaches to minimising, postponing or otherwise managing the impact of the demand uncertainty are often only adopted retrospectively. Even though such generic solutions are documented through case examples we lack effective tools and concepts to support the proactive identification and resolution of such trade-offs. This paper reports on case-based theory building research, involving three cases from the UK and USA used in developing a conceptual model with associated tools, in support of such a process

Ono: an open platform for social robotics

In recent times, the focal point of research in robotics has shifted from industrial ro- bots toward robots that interact with humans in an intuitive and safe manner. This evolution has resulted in the subfield of social robotics, which pertains to robots that function in a human environment and that can communicate with humans in an int- uitive way, e.g. with facial expressions. Social robots have the potential to impact many different aspects of our lives, but one particularly promising application is the use of robots in therapy, such as the treatment of children with autism. Unfortunately, many of the existing social robots are neither suited for practical use in therapy nor for large scale studies, mainly because they are expensive, one-of-a-kind robots that are hard to modify to suit a specific need. We created Ono, a social robotics platform, to tackle these issues. Ono is composed entirely from off-the-shelf components and cheap materials, and can be built at a local FabLab at the fraction of the cost of other robots. Ono is also entirely open source and the modular design further encourages modification and reuse of parts of the platform

Batch Sizing and Lot Splitting Strategies to Reduce Cycle Time in Semiconductor Assembly Process

Increasingly, products with customized features are manufactured in small batches based on demand by unique customers. Such diversity leads to high product mix, thus severely impacting both production planning and scheduling activities such as frequent equipment setup and conversion. Despite increased complexity, production continues being pressured on minimal cycle time to meet on-time delivery requirements. Focusing on the most challenging process, which is assembly, this paper presents batch sizing and lot splitting strategies to improve production cycle times. In the event of too short cycle time, overlapping technique is the most applicable, while “parallel” technique applies to normal cycle time. The commonly known “batch queue” technique works well for long cycle time such as new product qualification lot

Splitting hybrid Make-To-Order and Make-To-Stock demand profiles

In this paper a demand time series is analysed to support Make-To-Stock (MTS) and Make-To-Order (MTO) production decisions. Using a purely MTS production strategy based on the given demand can lead to unnecessarily high inventory levels thus it is necessary to identify likely MTO episodes. This research proposes a novel outlier detection algorithm based on special density measures. We divide the time series' histogram into three clusters. One with frequent-low volume covers MTS items whilst a second accounts for high volumes which is dedicated to MTO items. The third cluster resides between the previous two with its elements being assigned to either the MTO or MTS class. The algorithm can be applied to a variety of time series such as stationary and non-stationary ones. We use empirical data from manufacturing to study the extent of inventory savings. The percentage of MTO items is reflected in the inventory savings which were shown to be an average of 18.1%.Comment: demand analysis; time series; outlier detection; production strategy; Make-To-Order(MTO); Make-To-Stock(MTS); 15 pages, 9 figure

Design and Control of Warehouse Order Picking: a literature review

Order picking has long been identified as the most labour-intensive and costly activity for almost every warehouse; the cost of order picking is estimated to be as much as 55% of the total warehouse operating expense. Any underperformance in order picking can lead to unsatisfactory service and high operational cost for its warehouse, and consequently for the whole supply chain. In order to operate efficiently, the orderpicking process needs to be robustly designed and optimally controlled. This paper gives a literature overview on typical decision problems in design and control of manual order-picking processes. We focus on optimal (internal) layout design, storage assignment methods, routing methods, order batching and zoning. The research in this area has grown rapidly recently. Still, combinations of the above areas have hardly been explored. Order-picking system developments in practice lead to promising new research directions.Order picking;Logistics;Warehouse Management