TITLE:
Exploiting Virtual Elasticity of Production Systems for Respecting OTD-Part 1: Post-Optimality Conditions for Ergodic Order Arrivals in Fixed Capacity Regimes
AUTHORS:
Bruno G. Rüttimann, Martin T. Stöckli
KEYWORDS:
On-Time-Delivery, Production System, Lean Manufacturing, Industry 4.0, Arrival Rate, Markovian Arrival Distribution, Production Backlog, Manufacturing Elasticity, Production Capacity, Bottle Neck, Break-Even Point, Optimal Production Volume, Ergodic Processes
JOURNAL NAME:
American Journal of Operations Research,
Vol.10 No.6,
November
30,
2020
ABSTRACT: Respecting the on-time-delivery
(OTD) for manufacturing orders is mandatory. This depends, however, on the
probability distribution of incoming order rate. The case of non-equal
distribution, such as aggregated arrivals, may compromise the observance of
on-time supplies for some orders. The purpose of this paper is to evaluate the
conditions of post-optimality for stochastic order rate governed production
systems in order to observe OTD. Instead of a heuristic or a simulative
exploration, a Cartesian-based approach is applied to developing the necessary
and sufficient mathematical condition to solve the problem statement. The
research result demonstrates that increasing speed
of throughput reveals a latent capacity, which allows arrival orders above
capacity limits to be backlog-buffered and rescheduled for OTD, exploiting the
virtual manufacturing elasticity inherent to all production systems to increase
OTD reliability of non JIT-based production systems.