17,783 research outputs found

    Unified Concept of Bottleneck

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    The term `bottleneck` has been extensively used in operations management literature. Management paradigms like the Theory of Constraints focus on the identification and exploitation of bottlenecks. Yet, we show that the term has not been rigorously defined. We provide a classification of bottleneck definitions available in literature and discuss several myths associated with the concept of bottleneck. The apparent diversity of definitions raises the question whether it is possible to have a single bottleneck definition which has as much applicability in high variety job shops as in mass production environments. The key to the formulation of an unified concept of bottleneck lies in relating the concept of bottleneck to the concept of shadow price of resources. We propose an universally applicable bottleneck definition based on the concept of average shadow price. We discuss the procedure for determination of bottleneck values for diverse production environments. The Law of Diminishing Returns is shown to be a sufficient but not necessary condition for the equivalence of the average and the marginal shadow price. The equivalence of these two prices is proved for several environments. Bottleneck identification is the first step in resource acquisition decisions faced by managers. The definition of bottleneck presented in the paper has the potential to not only reduce ambiguity regarding the meaning of the term but also open a new window to the formulation and analysis of a rich set of problems faced by managers.

    A framework for smart production-logistics systems based on CPS and industrial IoT

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    Industrial Internet of Things (IIoT) has received increasing attention from both academia and industry. However, several challenges including excessively long waiting time and a serious waste of energy still exist in the IIoT-based integration between production and logistics in job shops. To address these challenges, a framework depicting the mechanism and methodology of smart production-logistics systems is proposed to implement intelligent modeling of key manufacturing resources and investigate self-organizing configuration mechanisms. A data-driven model based on analytical target cascading is developed to implement the self-organizing configuration. A case study based on a Chinese engine manufacturer is presented to validate the feasibility and evaluate the performance of the proposed framework and the developed method. The results show that the manufacturing time and the energy consumption are reduced and the computing time is reasonable. This paper potentially enables manufacturers to deploy IIoT-based applications and improve the efficiency of production-logistics systems
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