Global supply chains of high value low volume products

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From ERP to advanced resource planning: Improving the operational performance by getting the inputs right.

In this paper, we show that the planning and decision support capabilities of the MPC (Manufacturing Planning and Control) system, which forms the core of any ERP package, may be greatly enhanced by including an Advanced Resource Planning (ARP) module as an add-on at the midterm planning level. This ARP module enables to estimate the impact of variability, complexity and dynamic system behavior on key planning parameters. As such, it yields realistic information both for short-term planning purposes and for reliable lead time quotations. We show how dynamic behavior impacts the operational performance of a manufacturing system, and discuss the framework for incorporating the ARP module into the ERP system.Planning; Operational performance; Performance; International; Science;

Energy efficiency in discrete-manufacturing systems: insights, trends, and control strategies

Since the depletion of fossil energy sources, rising energy prices, and governmental regulation restrictions, the current manufacturing industry is shifting towards more efficient and sustainable systems. This transformation has promoted the identification of energy saving opportunities and the development of new technologies and strategies oriented to improve the energy efficiency of such systems. This paper outlines and discusses most of the research reported during the last decade regarding energy efficiency in manufacturing systems, the current technologies and strategies to improve that efficiency, identifying and remarking those related to the design of management/control strategies. Based on this fact, this paper aims to provide a review of strategies for reducing energy consumption and optimizing the use of resources within a plant into the context of discrete manufacturing. The review performed concerning the current context of manufacturing systems, control systems implemented, and their transformation towards Industry 4.0 might be useful in both the academic and industrial dimension to identify trends and critical points and suggest further research lines.Peer ReviewedPreprin

Advanced resource planning as decision support module to ERP.

In this paper, we show that the planning and decision-support capabilities of the MPC (Manufacturing Planning and Control) system, which forms the core of any ERP (Enterprise Resource Planning) package, may be substantively enhanced by including a Decision Support Module (DSM) as an add-on at the midterm planning level. This DSM, called Advanced Resource Planning (ARP), serves as parameter setting process as well as tool for improving the structure of the ERP system itself. The ultimate goal of the DSM is to yield realistic information both for scheduling, sales and marketing, strategic and operational decision making and suppliers and customers.

A survey of variants and extensions of the resource-constrained project scheduling problem

The resource-constrained project scheduling problem (RCPSP) consists of activities that must be scheduled subject to precedence and resource constraints such that the makespan is minimized. It has become a well-known standard problem in the context of project scheduling which has attracted numerous researchers who developed both exact and heuristic scheduling procedures. However, it is a rather basic model with assumptions that are too restrictive for many practical applications. Consequently, various extensions of the basic RCPSP have been developed. This paper gives an overview over these extensions. The extensions are classified according to the structure of the RCPSP. We summarize generalizations of the activity concept, of the precedence relations and of the resource constraints. Alternative objectives and approaches for scheduling multiple projects are discussed as well. In addition to popular variants and extensions such as multiple modes, minimal and maximal time lags, and net present value-based objectives, the paper also provides a survey of many less known concepts. --project scheduling,modeling,resource constraints,temporal constraints,networks

Solving Lotsizing Problems on Parallel Identical Machines Using Symmetry Breaking Constraints

Production planning on multiple parallel machines is an interesting problem, both from a theoretical and practical point of view. The parallel machine lotsizing problem consists of finding the optimal timing and level of production and the best allocation of products to machines. In this paper we look at how to incorporate parallel machines in a Mixed Integer Programming model when using commercial optimization software. More specifically, we look at the issue of symmetry. When multiple identical machines are available, many alternative optimal solutions can be created by renumbering the machines. These alternative solutions lead to difficulties in the branch-and-bound algorithm. We propose new constraints to break this symmetry. We tested our approach on the parallel machine lotsizing problem with setup costs and times, using a network reformulation for this problem. Computational tests indicate that several of the proposed symmetry breaking constraints substantially improve the solution time, except when used for solving the very easy problems. The results highlight the importance of creative modeling in solving Mixed Integer Programming problems.Mixed Integer Programming;Formulations;Symmetry;Lotsizing

Production planning under dynamic product environment: a multi-objective goal programming approach

Production planning is a complicated task that requires cooperation among multiple functional units in any organization. In order to design an efficient production planning system, a good understanding of the environment in terms of customers, products and manufacturing processes is a must. Although such planning exists in the company, it is often incorrectly structured due to the presence of multiple conflicting objectives. The primary difficulty in modern decision analysis is the treatment of multiple conflicting objectives. A formal decision analysis that is capable of handling multiple conflicting goals through the use of priorities may be a new frontier of management science. The objective of this study is to develop a multi objective goal programming (MOGP) model to a real-life manufacturing situation to show the trade-off between different some times conflicting goals concerning customer, product and manufacturing of production planning environment. For illustration, two independent goal priority structures have been considered. The insights gained from the experimentation with the two goal priority structures will guide and assist the decision maker for achieving the organizational goals for optimum utilization of resources in improving companies competitiveness. The MOGP results of the study are of very useful to various functional areas of the selected case organization for routine planning and scheduling. Some of the specific decision making situations in this context are: (i). the expected quality costs and production costs under identified product scenarios, (ii).under and over utilization of crucial machine at different combinations of production volumes, and (iii). the achievement of sales revenue goal at different production volume combinations. The ease of use and interpretation make the proposed MOGP model a powerful communication tool between top and bottom level managers while converting the strategic level objectives into concrete tactical and operational level plans.

Agent-based transportation planning compared with scheduling heuristics

Here we consider the problem of dynamically assigning vehicles to transportation orders that have di¤erent time windows and should be handled in real time. We introduce a new agent-based system for the planning and scheduling of these transportation networks. Intelligent vehicle agents schedule their own routes. They interact with job agents, who strive for minimum transportation costs, using a Vickrey auction for each incoming order. We use simulation to compare the on-time delivery percentage and the vehicle utilization of an agent-based planning system to a traditional system based on OR heuristics (look-ahead rules, serial scheduling). Numerical experiments show that a properly designed multi-agent system may perform as good as or even better than traditional methods

Restless bandit marginal productivity indices II: multiproject case and scheduling a multiclass make-to-order/-stock M/G/1 queue

This paper develops a framework based on convex optimization and economic ideas to formulate and solve approximately a rich class of dynamic and stochastic resource allocation problems, fitting in a generic discrete-state multi-project restless bandit problem (RBP). It draws on the single-project framework in the author's companion paper "Restless bandit marginal productivity indices I: Single-project case and optimal control of a make-to-stock M/G/1 queue", based on characterization of a project's marginal productivity index (MPI). Our framework significantly expands the scope of Whittle (1988)'s seminal approach to the RBP. Contributions include: (i) Formulation of a generic multi-project RBP, and algorithmic solution via single-project MPIs of a relaxed problem, giving a lower bound on optimal cost performance; (ii) a heuristic MPI-based hedging point and index policy; (iii) application of the MPI policy and bound to the problem of dynamic scheduling for a multiclass combined MTO/MTS M/G/1 queue with convex backorder and stock holding cost rates, under the LRA criterion; and (iv) results of a computational study on the MPI bound and policy, showing the latter's near-optimality across the cases investigated