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Article
Publication date: 5 March 2018

Mahendrawathi ER, Noval Arsad, Hanim Maria Astuti, Renny Pradina Kusumawardani and Rivia Atmajaningtyas Utami

The purpose of this paper is to present the result of using process mining to model the production planning (PP) process of a manufacturing company that is supported by…

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1361

Abstract

Purpose

The purpose of this paper is to present the result of using process mining to model the production planning (PP) process of a manufacturing company that is supported by enterprise resource planning (ERP) systems.

Design/methodology/approach

This paper uses event logs obtained from the case company’s ERP database. The steps for this research are planning process mining implementation, extraction and construction of event log, discovering process model with Heuristic Miner and analysis.

Findings

Process model obtained from process mining shows how the PP is actually conducted. It shows the loop in materials requirement planning and create plan order process. Furthermore, the occurrences of changing plan order date and production line indicate the schedule instability in the case company. Further analysis of the material management (MM) event log shows the implication of production plan changes on MM. Continuous change in the plan affects material allocation priority and may result in a mismatch between production needs and the materials available.

Research limitations/implications

The study is only conducted in a single and specific case. Therefore, even though the findings provide good insight, the use of solitary case study does not imply a general result applied to other cases. Hence, there is a need to conduct similar studies on various cases so that a more generic conclusion can be drawn.

Practical implications

The result provides insights into how the current company’s policy of adjusting the production plan to accommodate changing demand impacts their operation. It can help the company to consider a better balance between flexibility and efficiency to improve their process.

Originality/value

The paper demonstrates the use of process mining to capture the real progression of PP based on the data stored in the company’s ERP database, which give an insight into how a real company conducts their PP process, the implication of schedule instability on MM and production. The novelty of this research lies in the use of process mining to attest to the schedule nervousness issue at a process level.

Details

Journal of Enterprise Information Management, vol. 31 no. 2
Type: Research Article
ISSN: 1741-0398

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Article
Publication date: 1 May 1977

Richard A. Lancioni and James Palmquist

The classical definition of PDM focuses on the broad spectrum of distribution activity, from the inbound raw materials; to the finished product flow; and to the end user…

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1454

Abstract

The classical definition of PDM focuses on the broad spectrum of distribution activity, from the inbound raw materials; to the finished product flow; and to the end user. The definition is often stated as “all of the activities involved in the flow of goods from the manufacturer to the consumer which include inventory control, transportation, warehousing, order processing, materials management, and purchasing”. But despite the broad view described in the definition, little attention is given to the raw materials flow and to the entire area of Materials Management. Physical Distribution managers tend to disregard the inbound flow and regard it as the responsibility of some other management group in the company, specifically purchasing and/or production. The need for a well co‐ordinated and efficient distribution system demands that the PD manager pay more attention to the inbound material flow. The outcome of the decisions that a PD manager makes depends to a great degree on how well materials management and PDM are co‐ordinated in a firm:

Details

International Journal of Physical Distribution, vol. 8 no. 2
Type: Research Article
ISSN: 0020-7527

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Book part
Publication date: 28 June 1991

Sara C. Heitsbu

Abstract

Details

Library Technical Services: Operations and Management
Type: Book
ISBN: 978-1-84950-795-0

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Article
Publication date: 7 May 2020

Hessa Almatroushi, Moncer Hariga, Rami As'ad and AbdulRahman Al-Bar

This paper proposes an integrated approach that seeks to jointly optimize project scheduling and material lot sizing decisions for time-constrained project scheduling problems.

Abstract

Purpose

This paper proposes an integrated approach that seeks to jointly optimize project scheduling and material lot sizing decisions for time-constrained project scheduling problems.

Design/methodology/approach

A mixed integer linear programming model is devised, which utilizes the splitting of noncritical activities as a mean toward leveling the renewable resources. The developed model minimizes renewable resources leveling costs along with consumable resources related costs, and it is solved using IBM ILOG CPLEX optimization package. A hybrid metaheuristic procedure is also proposed to efficiently solve the model for larger projects with complex networks structure.

Findings

The results confirmed the significance of the integrated approach as both the project schedule and the material ordering policy turned out to be different once compared to the sequential approach under same parameter settings. Furthermore, the integrated approach resulted in substantial total costs reduction for low values of the acquiring and releasing costs of the renewable resources. Computational experiments conducted over 240 test instances of various sizes, and complexities illustrate the efficiency of the proposed metaheuristic approach as it yields solutions that are on average 1.14% away from the optimal ones.

Practical implications

This work highlights the necessity of having project managers address project scheduling and materials lot sizing decisions concurrently, rather than sequentially, to better level resources and minimize materials related costs. Significant cost savings were generated through the developed model despite the use of a small-scale example which illustrates the great potential that the integrated approach has in real life projects. For real life projects with complex network topology, practitioners are advised to make use of the developed metaheuristic procedure due to its superior time efficiency as compared to exact solution methods.

Originality/value

The sequential approach, wherein a project schedule is established first followed by allocating the needed resources, is proven to yield a nonoptimized project schedule and materials ordering policy, leading to an increase in the project's total cost. The integrated approach proposed hereafter optimizes both decisions at once ensuring the timely completion of the project at the least possible cost. The proposed metaheuristic approach provides a viable alternative to exact solution methods especially for larger projects.

Details

Engineering, Construction and Architectural Management, vol. 27 no. 9
Type: Research Article
ISSN: 0969-9988

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Article
Publication date: 1 September 2006

Patrik Jonsson and Stig‐Arne Mattsson

The paper seeks to describe the state‐of‐the‐art, reasons for selecting various material planning methods, and modes of applying methods for initiating inventory…

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2493

Abstract

Purpose

The paper seeks to describe the state‐of‐the‐art, reasons for selecting various material planning methods, and modes of applying methods for initiating inventory replenishment of purchased items. It also identifies trends from 1993 to 2005.

Design/methodology/approach

Empirical survey data are collected from Swedish manufacturing companies in 1993, 1999 and 2005. The MRP, re‐order point, fixed interval ordering, run‐out time, and Kanban methods are studied.

Findings

MRP is the most commonly used method and its position has strengthened since 1993. A common way of determining parameters such as order quantities and safety stocks is to use judgment and experience. Parameters used in material planning methods are reviewed relatively infrequently. The planning frequency has increased, with daily planning now being typical.

Research limitations/implications

The major limitation is that different data collection techniques were used in 1993 compared with 1999 and 2005. An important research implication is that the state‐of‐the‐art applications differ from theoretically appropriate application modes. The trends are towards less appropriate modes among the most widespread applications.

Practical implications

The frequency of reviewing planning variables is relatively low in industry, and should in most situations be increased. The paper implies that more user‐friendly software applications need to be developed and implemented. It could serve as guidelines when designing and developing training and education programs and function as a benchmark.

Originality/value

The paper provides a longitudinal state‐of‐the‐art description of materials planning usage and identifies application modes with positive and negative performance impact.

Details

International Journal of Operations & Production Management, vol. 26 no. 9
Type: Research Article
ISSN: 0144-3577

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Article
Publication date: 1 April 1988

PROF. DR.‐ING. D. SANKARAN

Considerable effort is needed to design the software and the material‐flow system to meet the needs of manufacturing which is driven by customer demand. Top management…

Abstract

Considerable effort is needed to design the software and the material‐flow system to meet the needs of manufacturing which is driven by customer demand. Top management initiative and support is required throughout. Here, Prof. Dr. Sankaran describes the concept developed by Siemens in two major projects.

Details

Logistics World, vol. 1 no. 4
Type: Research Article
ISSN: 0953-2137

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Book part
Publication date: 7 October 2015

Md Nuruzzaman

The objective of this study is to investigate how country risk, different political actions from the government and bureaucratic behavior influence the activities in…

Abstract

The objective of this study is to investigate how country risk, different political actions from the government and bureaucratic behavior influence the activities in industry supply chains (SCs) in emerging markets. The main objective of this study is to investigate the influence of these external stakeholders’ elements to the demand-side and supply-side drivers and barriers for improving competitiveness of Ready-Made Garment (RMG) industry in the way of analyzing supply chain. Considering the phenomenon of recent change in the RMG business environment and the competitiveness issues this study uses the principles of stakeholder and resource dependence theory and aims to find out some factors which influence to make an efficient supply chain for improving competitiveness. The RMG industry of Bangladesh is the case application of this study. Following a positivist paradigm, this study adopts a two phase sequential mixed-method research design consisting of qualitative and quantitative approaches. A tentative research model is developed first based on extensive literature review. Qualitative field study is then carried out to fine tune the initial research model. Findings from the qualitative method are also used to develop measures and instruments for the next phase of quantitative method. A survey is carried out with sample of top and middle level executives of different garment companies of Dhaka city in Bangladesh and the collected quantitative data are analyzed by partial least square-based structural equation modeling. The findings support eight hypotheses. From the analysis the external stakeholders’ elements like bureaucratic behavior and country risk have significant influence to the barriers. From the internal stakeholders’ point of view the manufacturers’ and buyers’ drivers have significant influence on the competitiveness. Therefore, stakeholders need to take proper action to reduce the barriers and increase the drivers, as the drivers have positive influence to improve competitiveness.

This study has both theoretical and practical contributions. This study represents an important contribution to the theory by integrating two theoretical perceptions to identify factors of the RMG industry’s SC that affect the competitiveness of the RMG industry. This research study contributes to the understanding of both external and internal stakeholders of national and international perspectives in the RMG (textile and clothing) business. It combines the insights of stakeholder and resource dependence theories along with the concept of the SC in improving effectiveness. In a practical sense, this study certainly contributes to the Bangladeshi RMG industry. In accordance with the desire of the RMG manufacturers, the research has shown that some influential constructs of the RMG industry’s SC affect the competitiveness of the RMG industry. The outcome of the study is useful for various stakeholders of the Bangladeshi RMG industry sector ranging from the government to various private organizations. The applications of this study are extendable through further adaptation in other industries and various geographic contexts.

Details

Sustaining Competitive Advantage Via Business Intelligence, Knowledge Management, and System Dynamics
Type: Book
ISBN: 978-1-78441-764-2

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Article
Publication date: 1 September 1995

P.S. Welgama and R.G.J. Mills

Many manufacturing organizations are switching over to JITmanufacturing systems following the success of Japanese industries.Presents a case study of a simulation…

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1646

Abstract

Many manufacturing organizations are switching over to JIT manufacturing systems following the success of Japanese industries. Presents a case study of a simulation modelling approach in the design and analysis of a proposed JIT system for an Australian chemical company, which currently operates on a traditional system. The approach was used to compare two cell designs, and to estimate utilization levels for operators and materials handlers under the new system, and to determine reorder levels for raw materials at the work stations in order to operate the JIT system successfully.

Details

International Journal of Operations & Production Management, vol. 15 no. 9
Type: Research Article
ISSN: 0144-3577

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Article
Publication date: 14 March 2016

Yiyo Kuo, Taho Yang, David Parker and Chin-Hsuan Sung

The purpose of this paper is to solve an integration of customer and supplier flexibility problem in a make-to-order (MTO) industry. The flexible strategies, where…

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1335

Abstract

Purpose

The purpose of this paper is to solve an integration of customer and supplier flexibility problem in a make-to-order (MTO) industry. The flexible strategies, where delivery leadtime and unit price (or raw material cost) can be negotiated, are provided by customers and suppliers. Its effectiveness is illustrated by a practical application.

Design/methodology/approach

The present study is a rolling decision-making problem and is solved by a proposed combined mixed integer program (MIP) and simulation approach. A simulation model was developed for evaluating solutions of the MIP and will serve as the virtual factory to provide the initial work-in-process status for a new incoming order evaluation.

Findings

The experimental results show that when either customers or suppliers provide flexible strategies to the manufacturer, total profits can be increased. Moreover, when both customers and suppliers provide flexibility strategies to the manufacturer simultaneously, total profits can be significantly increased.

Research limitations/implications

An expanded experiment would be of help in realizing the relationship between the flexibility and profit. Moreover, there are other price-sensitivity functions for both customers and suppliers.

Practical implications

A fishing-net manufacturing company was used for the case study to illustrate the effectiveness and the feasibility of the proposed methodology and its application to industry.

Originality/value

The proposed methodology innovatively solved a practical application. The customer and supplier flexibility was investigated in a MTO production system that has no inventory of raw material. The experimental results are promising.

Details

Industrial Management & Data Systems, vol. 116 no. 2
Type: Research Article
ISSN: 0263-5577

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Article
Publication date: 5 April 2021

Qian Chen, Bryan T. Adey, Carl T. Haas and Daniel M. Hall

The dynamic nature and complexity of construction projects make it challenging to ensure that the engineer-to-order (ETO) materials supplied onsite match changing needs…

Abstract

Purpose

The dynamic nature and complexity of construction projects make it challenging to ensure that the engineer-to-order (ETO) materials supplied onsite match changing needs. The quick and efficient communication of required changes in material fabrication, delivery and use, due to changes in the design and construction schedules, is needed to address the challenges. This study aims to provide a novel integrated management framework with its embedded informatics to help major stakeholders efficiently absorb agility during communication to deal with required changes and improve workflows.

Design/methodology/approach

An integrated management framework is developed that integrates the milestones in look-ahead plans and structured iterative processes for major supply chain stakeholders to quickly disseminate information emanating from changes in design, schedules, production and transportation. A prototype system is devised including the informatics to support the framework, which consists of BIM-RFID functional modules and a central database and uses a client-server architecture. The usefulness of the prototype is illustrated using a construction of part of a fictive but realistic high-rise building.

Findings

The integrated management framework with the informatics provides major stakeholders with the ability to coordinate their activities efficiently and stimulate their agility (measured by process time) in planning and controlling material information. Although only a fictive example was used, it is shown that the use of the system is likely to result in a substantial reduction in the time required to deal with required changes when delivering ETO materials onsite (by 18% in the example).

Research limitations/implications

The functionalities of the prototype system can be easily scaled up to coordinate changes in the design and scheduling of other types of materials. More functional developments are needed to show the extent of the possible improvement for entire construction projects. Future work should focus on investigating the possible improvements for other types and sizes of construction projects, and eventually in real-world construction projects.

Practical implications

By fitting the look-ahead plans into structured iterative processes through digital data sharing, stakeholders increased their capability to quickly capture required change information and resolve associated problems. This is particularly useful for the management of ETO supply chain processes, where prefabricated elements such as ductwork, plumbing, and mechanical systems typically have to be modified because of last-minute design and schedule changes.

Originality/value

Unlike traditional information technology (IT) based supply chain management practices, this research is characterized by a process-centered management framework that provides explicit decision points over iterative planning processes for major stakeholders to manage material information. The iterations through digital data sharing allow stakeholders to quickly respond to last-minute changes on site, which fundamentally achieves workflow agility in the construction supply chain context.

Details

Construction Innovation , vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1471-4175

Keywords

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