Showing papers in "International Journal of Production Research in 2007"

The moderating effects of institutional pressures on emergent green supply chain practices and performance

Abstract: While building their reputation as a major manufacturing prowess, Chinese industry has experienced increasing ecological pressures from a variety of institutional players including market, governmental, and competitive sources. In response to these pressures some organizations initiate emergent green supply chain management (GSCM) practices. A moderated hierarchical regression analysis of data provided by 341 Chinese manufacturer respondents was completed to examine the relationships between GSCM practice, environmental and economic performance, incorporating three moderating factors market, regulatory, and competitive institutional pressures. The results reveal that: (1) Chinese manufacturers have experienced increasing environmental pressure to implement GSCM practices; (2) the existence of market (normative) and regulatory (coercive) pressures influences organizations to have improved environmental performance, especially when these pressures cause adoption of eco-design and green purchasing practices;...

Performance measures and metrics in logistics and supply chain management: a review of recent literature (1995–2004) for research and applications

Abstract: Performance measures and metrics are essential for effectively managing logistics operations, particularly in a competitive global economy. The global economy is featured with global operations, outsourcing and supply chain and e-commerce. The real challenge for managers of this new enterprise environment is to develop suitable performance measures and metrics to make right decisions that would contribute to an improved organizational competitiveness. Now the question is whether traditional performance measures can be used and out of them which ones should be given priority for measuring the performance in a new enterprise environment. Some of the traditional measures and metrics may not be suitable for the new environment wherein many activities are not easily identifiable. Measuring intangibles and nonfinancial performance measures pose the greater challenge in the so-called knowledge economy. Nevertheless, measuring them is so critical for the successful operations of companies in this environment. Con...

Operational methods for minimization of energy consumption of manufacturing equipment

Abstract: This paper develops operational methods for the minimization of the energy consumption of manufacturing equipment. It is observed that there can be a significant amount of energy savings when non-bottleneck (i.e. underutilized) machines/equipment are turned off when they will be idle for a certain amount of time. Using this fact, several dispatching rules are proposed. A detailed performance analysis indicates that the proposed dispatching rules are effective in decreasing the energy consumption of especially underutilized manufacturing equipment. In addition, a multi-objective mathematical programming model is proposed to minimize the energy consumption and total completion time. Using this approach, a production manager will have a set of non-dominated solutions (i.e. the set of efficient solutions) which he/she can use to determine the most efficient production sequence which will minimize the total energy consumption while optimizing the total completion time.

Green supply chain practices and the selection of environmental technologies

Abstract: The pressure on manufacturing organizations to adopt benign processes and to develop greener products has increased significantly over the last decade. As such, several manufacturing organizations have turned to their suppliers and customers to find innovative solutions to environmental issues. Using the data from a survey of the Canadian and United States package printing industry, the linkage between green supply chain practices and the selection of environmental technologies is examined. This paper differs from other studies that have linked supply chain management to environmental technologies as it focuses specifically on green interactions between organizations in the supply chain. In particular, the paper explores the possible relation between environmental collaboration and environmental monitoring in the supply chain and the form of environmental investment characterized by three categories: pollution prevention, pollution control, and management systems. The results suggest that environmental co...

Environmental principles applicable to green supplier evaluation by using multi-objective decision analysis

Abstract: The recent shift from buying products to purchasing sets of services makes the re-use of recovered materials, parts and products desirable. In response to heightened governmental regulations and rising public awareness of the effect of industrial production on the environment, many organizations are now undertaking major initiatives to transform their supply chain processes. In contrast with the reverse logistic models, the green supply chain (GSC) is a broad concept that refers to a variety of methods by which companies work with their suppliers to improve the environmental performance of their products or manufacturing processes of the suppliers, customers or both. Two primary goals of GSC include: (1) consistently meeting specified environmental performance criteria among the participants in the supply chain, and promoting responsible corporate environmental behaviour among all the players in the chain of products and services, and (2) helping suppliers to recognize the importance of resolving environm...

Methodology for supply chain disruption analysis

Abstract: Given the size, complexity and dynamic nature of many supply chains, there is a need to understand the impact of disruptions on the operation of the system. This paper presents a network-based modelling methodology to determine how changes or disruptions propagate in supply chains and how those changes or disruptions affect the supply chain system. Understanding the propagation of disruptions and gaining insight into the operational performance of a supply chain system under the duress of an unexpected change can lead to a better understanding of supply chain disruptions and how to lessen their effects. The modelling approach presented, Disruption Analysis Network (DA_NET), models how changes disseminate through a supply chain system and calculates the impact of the attributes by determining the states that are reachable from a given initial marking in a supply chain network. This ability will permit better management of the supply chain and thus will allow an organization to offer quicker response times ...

Supply chain management and environmental technologies: the role of integration

Abstract: As corporations attempt to move toward environmental sustainability, management must extend their efforts to improve environmental practices across their supply chain. To date, the literature characterising environmental management within the supply chain has been slowly building, but remains sparse. Moreover, investment by plants in environmental technologies cannot be made independently of other organisations in the supply chain. The linkage between supply chain characteristics, such as the degree of integration with primary suppliers and major customers, and the resources invested in different environmental technologies is assessed with plant-level survey data. The results indicate that resources were increasingly allocated toward pollution prevention when plants developed extensive strategic-level integration with suppliers, including such aspects as product development and knowledge sharing. However, these effects were not mirrored with customers. Instead, greater supply chain integration with custom...

An application of data envelopment analytic hierarchy process for supplier selection: a case study of BEKO in Turkey

Abstract: This paper aims to apply a hybrid method of supplier selection to a well-known Turkish company operating in the appliance industry. The data envelopment analytic hierarchy process (DEAHP) methodology developed by Ramanathan, R., (Data envelopment analysis for weight derivation and aggregation in the analytic hierarchy process. Computers and Operations Research, 2006, 33, 1289–1307) was chosen as the survey method. In this method, the data envelopment analysis (DEA) approach is embedded into analytic hierarchy process (AHP) methodology. This research concluded that the DEAHP method outperforms the AHP method for supplier selection despite the findings that the AHP model suggested supplier 1 to be the best supplier, contradicting the suggestion made by the DEAHP model and the real action taken by BEKO in selecting supplier 2. These findings imply that DEAHP criteria reflect closer to the real optimum of the decision made. Drawing on a real case our study has supported Ramanathan's (2006) work confirming the...

A QFD-centred design methodology for environmentally conscious product design

Abstract: As our society becomes more environmentally conscious, manufacturers must incorporate 'environmental qualities' into products. This paper proposes a general design methodology to effectively support environmentally consciousness design of products. The methodology employs three tools: LCA (life cycle assessment), QFDE (quality function deployment for environment), and TRIZ (theory of inventive problem solving). QFDE is a tool developed by modifying and extending QFD, and is extended further in this paper. In addition, connecting two consecutive tools is realized by established relations among those tools. The presented methodology is proved through application to a hair dryer to effectively support the product planning and conceptual design stages. For instance, designers could utilize one of the LCA results that the product has a high impact on global warming through energy consumption during its use phase to define a requirement objectively in QFDE, 'reduce the energy consumption' with a high weighting. TRIZ allowed designers to generate four improvement solutions. The most highly evaluated was using resonance frequency on the motor. This was obtained from a QFDE result that 'dry quickly' and 'dry quietly' have a contradiction. The methodology has a larger benefit than is obtained from utilizing those three tools independently.

The Toyota Production System and art: making highly customized and creative products the Toyota way

Abstract: The Toyota Production System has led to a movement of ‘lean production’ focused on taking waste out of value streams. Most applications have been to high volume, and relatively standardized products. Under this system work becomes highly standardized specifying to the second what the operator should do. Buffers are precisely sized and controlled through various types of pull signals. When possible, use of one-piece flow cells result in a completely balanced production line. The performance benefits of these lean systems are often remarkable, greatly improving quality, cost, and delivery. But what of companies that are not making standardized products at high volume? What can they learn from lean? In this paper we argue there is a fundamental misunderstanding of TPS, viewing it as a specific tool kit technically implemented in a formulaic way to achieve pre-specified results. In fact, TPS is a philosophy that can be better described as a set of general principles of organizing and managing an enterprise wh...

Analysis of interactions of criteria and sub-criteria for the selection of supplier in the built-in-order supply chain environment

Abstract: The supplier decision-making problem is complicated by several criteria and sub-criteria. The criteria and sub-criteria used may vary across different product categories and situations. The aim of this article is to analyse the interaction of criteria and sub-criteria that are used to select the supplier for the built-in-order supply chain environment in the original equipment manufacturing company. The paper aims to demonstrate how the model can help in solving such decisions in practice. This paper uses the Interpretive Structural Modeling (ISM) methodology to understand the interactions among the criteria, which influences the supplier selection. The effectiveness of the ISM model is illustrated using a case study taken in a company in the southern part of India.

A strategic sustainability justification methodology for organizational decisions: a reverse logistics illustration

Abstract: The concept of sustainability has become increasingly important for organizations and has permeated a number of managerial and organizational decisions. Sustainability, as defined by its ‘triple-bottom line’ factors of economic, environmental, and social dimensions, is the underlying framework we use to develop and apply a strategic justification tool for project evaluation with sustainability implications. An activity-based management methodological framework is used as a vehicle to frame decisions using corporate sustainability. An illustrative application of this technique demonstrates how an organization could select between two competing reverse logistics providers. This process requires that we introduce issues relevant to three major sustainability factors (and their sub factors) and how they are influenced by a reverse logistics provider decision. The dual contribution of this paper includes investigating the design and development of the strategic sustainability evaluation framework and introduci...

Development of robust design-for-remanufacturing guidelines to further the aims of sustainable development

Abstract: Key manufacturing challenges include pollution, natural resource depletion, waste management and landfill space. Remanufacturing, a process of bringing used products to a 'like-new' functional state with warranty to match, is being regarded as a vital strategy in waste management and environmentally conscious manufacturing. There is a paucity of remanufacturing knowledge, particularly in design-for-remanufacturing (DFRem) because of its relative novelty in research terms. This paper outlines the elements of the remanufacturing concept, details existing design-for-remanufacturing research and describes findings from recent UK industrial case studies undertaken to verify and augment previous research. It proposes some fundamental steps required to build on past work to improve the robustness of DFRem methodologies.

Environmental innovation in industrial packaging: a supply chain approach

Abstract: Community concerns about the environmental impacts of packaging have prompted governments to introduce policies and regulations which impose eco-taxes or deposit-return systems, require companies to take-back and recover their packaging, or promote voluntary product stewardship programmes. Until recently these programmes have focused almost exclusively on consumer (retail) packaging, but increasingly companies are starting to address the environmental impacts of industrial packaging. This is being driven as much by regulation as it is by the need to reduce costs and increase efficiency in supply chains. This paper argues that environmental innovation in industrial packaging systems requires a cooperative supply chain approach to ensure that environmental and commercial costs are reduced and efficiencies optimized for the chain as a whole. This is based on a review of the literature and an industrial packaging supply chain research and demonstration programme conducted between 2003 and 2005 in Australia.

Analysing the effects of Lean manufacturing using a value stream mapping-based simulation generator

Abstract: Value stream mapping (VSM) has become a popular implementation method for Lean manufacturing in recent years. However, its limitations such as being time-consuming, its inability to detail dynamic behaviour of production processes and to encompass their complexity, have spurred us to turn to simulation. This paper introduces two new elements to the value stream mapping method. First, it describes how the value stream mapping paradigm (VSMP) can be adapted for use in simulation, introducing specially designed VSM objects. Secondly, based on the VSMP and these objects, it presents a formal modelling method and its related database structure, that drives a generator which automatically yields a simulation model of the value stream map. In this way, a model generator, using the set of objects and the model database, can generate simulation models of Current and Future VSM scenarios quickly and automatically. Additionally, algorithms for converting raw ERP data and information from a VSM drawing into tables of...

An intelligent approach to ERP software selection through fuzzy ANP

Abstract: During the implementations of enterprise resource planning (ERP) systems, most companies have experienced some problems, one of which is how to determine the best ERP software satisfying their needs and expectations Because improperly selected ERP software may have an impact on the time required, and the costs and market share of a company, selecting the best desirable ERP software has been the most critical problem for a long time On the other hand, selecting ERP software is a multiple-criteria decision-making (MCDM) problem, and in the literature, many methods have been introduced to evaluate this kind of problem, one of which is the analytic hierarchy process (AHP), which has been widely used in MCDM selection problems However, in this paper, we use a fuzzy extension of an analytic network process (ANP), a more general form of AHP, which uses uncertain human preferences as input information in the decision-making process, because the AHP cannot accommodate the variety of interactions, dependencies,

Industrialization as a key element of sustainable product-service solutions

Abstract: Product-service systems are seen by many authors to offer potential for significant sustainability benefit. Manufacturing companies are said to be essential to such a change through their influence over product performance and over the use and end-of-life stages. Yet linking these stages such that the producer is incentivized to improve the performance of later stages is still a challenge. This paper argues for placing the producer at the centre of a new arrangement: by seeking to utilize the producer's knowledge of designing and the knowledge of volume production, through creation of platforms, while cooperating closely with other actors. The paper describes three case studies that have used such an approach to design and implement new food production systems. Based on 12 months of action research observations, 10 participating organizations from the cases were studied, and the implemented solutions assessed for environmental, economic and social performance. The results demonstrate a high level of sustainability benefit is achievable using platforms and partners to design product-service systems, while highlighting that changes to production arrangements are necessary but not sufficient to improve whole life-cycle environmental performance of product-service systems, and that producers need to cooperate closely with other actors to achieve the claimed benefits.

Design rules for implementing the Toyota Production System

Abstract: The Toyota Motor Company has risen to a place of world prominence in the automotive industry by redesigning the mass production system into the Toyota Production System (TPS), or what is now known worldwide as lean production. In redesigning the mass production system, they changed the final assembly into a mixed model final assembly system to level the demand on their suppliers, converted the linear subassembly lines into U-shaped subassembly cells and redesigned the job shop into manufacturing cells. Final assembly operates with a takt time, and the cells are designed to have a cycle time slightly less than the takt time and to operate on a ‘make one, check one and move one on’ (MO-CO-MOO basis). Single-cycle machine tools are used with built-in devices to check parts (poka-yokes). Between the machines are devices (decouplers) designed to assist the standing, walking workers producing the parts in the manufacturing cells. This paper will discuss four design rules for implementing the TPS.

A critical balance : collaboration and security in the IT-enabled supply chain

Abstract: Integration of information flows facilitated by advances in information technology (IT) has increased collaboration across supply chains. However, benefits of interconnectivity are not gained without risk, as IT has removed protective barriers around assets and processes. Thus, supply chains are better able to satisfy customer needs yet are potentially more vulnerable to disruption due to an array of IT-specific threats. Highly interconnected supply chains would appear to be especially prone to these hazards. Although supply chain risk and information technology risk have been studied in isolation, little has been done to define the impact of information security on supply chain management. This exploratory investigation addresses this deficiency in the literature by defining information security risk in the context of supply chain management. It identifies, categorizes, and validates information technology threats as sources of risk in the supply chain. It then establishes a conceptual framework for furt...

Lean Distribution: Concepts, Contributions, Conflicts

Abstract: Despite the fact that the benefits of lean production have been documented across many industry settings, firms find it difficult to extend lean principles downstream into their distribution systems. In this paper we review and synthesize previous contributions on lean principles towards defining a framework of lean distribution. Furthermore, based on an in-depth case study of a vehicle manufacturer's efforts to implement a lean vehicle distribution system, some of its key benefits are discussed and quantified. We further find that the attainment of responsiveness in order to reduce waste from the distribution system requires substantial commitment across the entire organization, yet such efforts may also lead to excess flexibility and the attainment of capabilities that are misaligned with actual market requirements. We use the underlying case to explore the wider conflicts between lean distribution and lean production, and highlight strategies of how these issues can be resolved. We conclude that applying differential strategies by market segment can result in a supply chain that is both responsive and efficient, suggesting that the perceived trade-off between the needs to be lean and able to respond to changes in demand can be reconciled.

IT support in manufacturing firms for a knowledge management dynamic capability link to performance

Abstract: Information technology (IT) is applied in many settings of knowledge management (KM) under the premise that a manufacturing organization will gain direct benefit from the investment. However, direct links from investment in IT to organizational performance have always been elusive. Strategic management research presents a concept of dynamic capabilities to model the ability of an organization to respond effectively to changes in the environment and leverage performance. By using this capability as a mediating variable, IT support of KM is shown to indirectly benefit manufacturing organizations in a sample of managers from 500 manufacturing firms in Taiwan. This link indicates firms must carefully align the IT support to strategic needs.

Optimal condition based maintenance with imperfect information and the proportional hazards model

Abstract: Condition based maintenance (CBM) is based on collecting observations over time, in order to assess equipment's state, to prevent its failure and to determine the optimal maintenance strategies. In this paper, we derive an optimal CBM replacement policy when the state of equipment is unknown but can be estimated based on observed condition. We use a proportional hazards model (PHM) to represent the system's degradation. Since equipment's state is unknown, the optimization of the optimal maintenance policy is formulated as a partially observed Markov decision process (POMDP), and the problem is solved using dynamic programming. Practical advantages of combining the PHM with the POMDP are shown.

Organizational learning, innovativeness, and organizational performance: a qualitative investigation

Abstract: In a knowledge-based economy, organizational learning and innovation are the most critical intangible assets that a manufacturer needs to acquire and exploit to achieve superior organizational performance. In this research we propose a model seeking to understand the links between organizational learning and innovativeness, and organizational performance measures. We postulate the impact of organizational learning on innovativeness, internal efficiency, customer satisfaction, and financial performance, and elaborate how such impacts are contingent on the organizational contexts of a firm. Case research was then carried out in three manufacturing companies to examine our proposed conceptual model. Our case studies showed that organizational learning happens when it is valued by senior management, and supported by an appropriate learning infrastructure and culture, leading to organizational efficiency. However, relationships among learning, innovativeness, and performance are unlikely to be established for ...

Combinatorial optimization analysis of the unary NP-complete disassembly line balancing problem

Abstract: The growing amount of waste created by products reaching the end of their useful lives poses challenges for the environment, governments and manufacturers. Processing alternatives include reuse, remanufacturing, recycling, storage and disposal. With disposal considered the least desirable, the first process required by the remaining alternatives is disassembly. Just as the assembly line is considered the most efficient way to assemble a product, the disassembly line is the most efficient way to disassemble a product. Finding the optimal balance for the multi-objective disassembly line balancing problem is computationally intensive due to exponential growth. With exhaustive search calculations quickly becoming prohibitively large, methodologies from the field of combinatorial optimization hold promise for providing solutions. The disassembly line balancing problem is described here, then defined mathematically and proven to belong to the class of unary NP-complete problems. Known optimal instances of the p...

Single machine multi-product capacitated lot sizing with sequence-dependent setups

Abstract: In production planning in the glass container industry, machine-dependent setup times and costs are incurred for switch overs from one product to another. The resulting multi-item capacitated lot-sizing problem has sequence-dependent setup times and costs. We present two novel linear mixed-integer programming formulations for this problem, incorporating all the necessary features of setup carryovers. The compact formulation has polynomially many constraints, whereas the stronger formulation uses an exponential number of constraints that can be separated in polynomial time. We also present a five-step heuristic that is effective both in finding a feasible solution (even for tightly capacitated instances) and in producing good solutions to these problems. We report computational experiments.

Manufacturing knowledge sharing in PLM: a progression towards the use of heavy weight ontologies

Abstract: The drive to maximize the potential benefits of decision support systems continues to increase as industry is continually driven by the competitive needs of operating in dynamic global environments. The more extensive information support tools which are becoming available in the PLM world appear to have great potential but require a substantial overhead in their configuration. However, sharing information and knowledge in cross-disciplinary teams and across system and company boundaries is not straightforward and there is a clear need for more effective frameworks for information and knowledge sharing if new product development processes are to have effective ICT support. This paper presents a view of the current status of manufacturing information sharing using light-weight ontologies and goes on to discuss the potential for heavyweight ontological engineering approaches such as the Process Specification Language (PSL). It explains why such languages are needed and how they provide an important step towards process knowledge sharing. Machining examples are used to illustrate how PSL provides a rigorous basis for process knowledge sharing and subsequently to illustrate the value of linking foundation and domain ontologies to provide a basis for multi-context knowledge sharing.

Knowledge management in 21st century manufacturing

Abstract: As markets have become global, more and more manufacturing companies achieve global operations through various strategic business alliances including joint ventures and outsourcing, etc. Since manufacturing has become global to address the needs of the global market, companies take advantage of advanced information technologies in achieving their global supply chain. It is not enough to just establish an integrated information system such as enterprise resource planning (ERP); it is also important to see to what extent this has been used to facilitate innovation and knowledge diffusion along the supply chain for an ultimate improvement of productivity and quality and in turn manufacturing organizational competitiveness. Without the integration of people and information technology/information systems (IT/IS), it is very hard to achieve any significant improvement in organizational performance. However, there are not many articles or reports that deal with knowledge management in advanced manufacturing orga...

Distance-based consensus method for ABC analysis

Abstract: A distance-based multi-criteria consensus framework on the concepts of ideal and negative-ideal solutions is presented for the ABC analysis of inventory items. This article demonstrates a way of classifying inventory items using the TOPSIS (‘Technique for Order Preference by Similarity to Ideal Solution’) model. The methodology has been applied in a pharmaceutical company located in the heart of Kolkata, India. The technique takes into account various conflicting criteria having incommensurable units of measurement. Unit cost, lead time, consumption rate, perishability of items and cost of storing of raw materials have been considered for the case study. By using TOPSIS, the items are ranked in categories A, B and C. The suitability, practicability and effectiveness of the TOPSIS method used in ABC classification have been judged using the analysis of variance (ANOVA) technique. A simulation model has been used to compare the proposed model with that of the traditional ABC classification technique.

Development of a sustainable product lifecycle in manufacturing firms: a case study

Abstract: This study discusses a methodology for integrating Design for Environment (DfE) and life cycle assessment (LCA) techniques both into new product development and into the process of redesigning a set of existing products. The article explains the reasons for developing DfE in general, and pays particular attention to a specific, chosen product, a class of electrical distribution boards, to illustrate the concept. The main process steps in the development of the DfE are outlined, and the development of a LCA that satisfies the requirements of the ISO 14040 standard is illustrated. A major benefit of the DfE methodology proposed in this work is the possibility to use LCA data both during new product development and when modifying old products, with the aim of continuously reducing the overall environmental impact of products during their life cycle. This improvement cycle begins with the attempt to find new design solutions (for assembly and set-up in the case of electrical distribution boards), continues wi...

Overall throughput effectiveness (OTE) metric for factory-level performance monitoring and bottleneck detection

Abstract: Seiichi Nakajima provided overall equipment effectiveness (OEE) to measure productivity and perform diagnostics at the equipment level However, a literature review indicates that such metrics are lacking at the factory level In order to address this gap, an overall throughput effectiveness (OTE) metric is developed The purpose of OTE is twofold: it measures factory-level performance and can also be used for performing factory-level diagnostics such as bottleneck detection and identifying hidden capacity The task of coming up with such a metric was achieved by defining a set of commonly occurring predefined subsystems including series, parallel, assembly and expansion OTE was developed for each of these predefined subsystems It also accounts for subsystems processing multiple products and performing rework Any factory layout can be modelled using a combination of the predefined subsystems, which allows determination of the overall factory effectiveness (OFE) More importantly, OTE has the potential