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General introduction
Published in Adedeji B. Badiru, Handbook of Industrial and Systems Engineering, 2013
In both build-to-stock and build-to-order policies, the unexpected may happen. Machines break down, trucks get caught in traffic delays, materials are found to be defective, and workers do not show up. The plan and schedule must be repaired. A basic plan to illustrate repair is to assign workers to the bottleneck one at a time, then find the new bottleneck and assign the next worker there. Repairing, regaining feasibility, and extending the plan when new work arrives requires software if the system is large ("large" meaning that hand computation is simply not doable). An illustration of repair occurs when some jobs are not ready in an n/m/G or F/Cmax problem at time 0 . One then goes ahead and solves, assuming all ready times are 0 . If the solution requires a job to start before it is ready, repair must be done. These needs form the criteria for selecting commercial software from an available list. The software must be algorithmically correct and computationally efficient with good structures for search and information retrieval. Professional magazines such as IE solutions provide lists of vendors to assess.
Lean manufacturing implementation in time of crisis: the case of Estaleiro Atlântico Sul
Published in Production Planning & Control, 2021
Marcos A. M. Primo, Frank L. DuBois, Maria de L. M. C. de Oliveira, Elidiane S. D. de M. Amaro, Daniela D. N. Moser
LM implementation at shipbuilding operations may be affected by the uniqueness of the final product. It is often the case that a shipyard receives a contract for multiple units of ships with identical characteristics, size, usage, propulsion and navigation systems for example. Unlike other Build to Order (BTO) or Engineer to Order (ETO) processes a shipyard might have some characteristics of a Build to Stock or (BTS) production environment albeit with much smaller lot sizes (Jünge et al. 2019). This may to some extent offer advantages in terms of scale economies in purchasing, and simultaneous production of identical product components. However, given long lead times, changes in buyer needs and continual improvements in outsourced components may affect the characteristics of the final product. Also, LM implementation timing and training are important. Moments of crisis where short-term solutions are sought are not a good time for deployment (Liker and Lamb 2000b).
Hybrid make-to-stock and make-to-order systems: a taxonomic review
Published in International Journal of Production Research, 2020
Production planning and control (PPC) corresponds to the production strategy that is used to operate a manufacturing system. A PPC system determines how production is executed and aims to control a system with regard to desired key performance indicators (KPIs). Different streams of PPC research can be distinguished by the way in which the strategy fulfils demand from customers. Previous research has focused on production strategies that only produce in anticipation of demand, or only produce in reaction to demand, amongst others. These production strategies are known as make-to-stock (MTS) or build-to-stock (BTS), and make-to-order (MTO) or build-to-order (BTS), respectively. In some production settings, traditional MTS and MTO approaches are not capable of achieving the KPI requirements imposed by a company or their customers. In order to cope with these challenges, companies are adopting a combination of both MTS and MTO production. This behaviour was already described in Lee and Billington (1995) and Hopp and Spearman (2001), who observed that in practice virtually all production systems use a combination of MTS and MTO, which are also known as hybrid MTS/MTO systems. By using both MTS and MTO, the strengths of these methods can be combined, and their weaknesses mitigated. However, this combination comprises a trade-off, as it may come at the cost of complexity since more objectives and constraints have to be taken into account simultaneously. While practitioners have longer recognised the potential of hybrid MTS/MTO production control, the topic is becoming an interesting avenue for research and is attracting increasing attention from operational researchers. Unfortunately, the growth of literature in this field is largely unstructured, making it hard to identify relevant research as well as complicating discussion on the topic. In this paper we aim to address these issues by introducing a taxonomy of different types of hybrid MTS/MTO production control, and by reviewing literature on the topic of hybrid MTS/MTO production control using this taxonomy.