Simulation analysis of initial inventory in BSSs

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Adrian Ramirez-Nafarrate ◽  
Luis Antonio Moncayo-Martinez ◽  
Gerardo Steve Munguía-Williams

Purpose This paper aims to propose an alternate, efficient and scalable modeling framework to simulate large-scale bike-sharing systems using discrete-event simulation. This study uses this model to evaluate several initial bike inventory policies inspired by the operation of the bike-sharing system in Mexico City, which is one of the largest around the world. The model captures the heterogeneous demand (in time and space) and this paper analyzes the trade-offs between the performance to take and return bikes. This study also includes a simulation-optimization algorithm to determine the initial inventory and present a method to deal with the bias caused by dynamic rebalancing on observed demand. Design/methodology/approach This paper is based on the analysis of an alternate and efficient discrete-event simulation modeling framework. This framework captures the heterogeneity of demand and allows one to experiment with large-scale models. This study uses this model to test several initial bike inventory policies and also combined them with an optimization engine. The results, provide valuable insights not only for the particular system that motivated the study but also for the administrators of any bike-sharing system. Findings The findings of this paper include: most of the best policies use a ratio of bikes: docks near to 1:2; however, it is important the way they are initially allocated; a policy that contradicts the demand profile of the stations can lead to poor performance, regardless the quick and dynamic changes of bike locations during the morning period; the proposed simulation-optimization algorithm achieves the best results. Research limitations/implications The findings are limited to the initial inventory of the system under study. The model assumes a homogeneous probability distribution function for the travel time. This assumption seems reasonable for the system under study. This paper limits the tested inventory policies to simple practical rules. There might be other sophisticated methods to obtain better solutions, but they might be system-specific. Practical implications The insights of this paper are valuable for operators of bike-sharing systems because this study focuses on the analysis of the impact of the initial inventory assuming that dynamic rebalancing may not be existing during the morning peak-time. This paper finds that initial inventory has a great impact on the performance, regardless of how quickly the bikes are dispersed across the system. This study also provides insights into the effect of dynamic rebalancing on observed demand. Social implications Increasing knowledge about the operation of the bike-sharing system has a positive effect on society because more cities around the world could consider implementing these systems as a public transportation mode. Furthermore, delivering suggestions on how to increase the user service level could incentivize people to adopt bikes as a mobility option, which would contribute to improve their health and also reduce air pollution caused by motorized vehicles. Originality/value This paper considers that the contributions of this work to existing literature are the following: this study proposes a novel efficient and scalable simulation framework to evaluate initial bike inventory policies; the analysis presented in the paper includes an approach to deal with the bias in the observed demand caused by dynamic rebalancing and the analysis includes the value of demand information to determine an effective initial bike inventory policy.

2016 ◽  
Vol 7 (1) ◽  
pp. 35-61 ◽  
Author(s):  
Stephan J. de Jong ◽  
Wouter W.A. Beelaerts van Blokland

Purpose – Implementation of lean manufacturing is currently performed in the production industry; however, for the airline maintenance service industry, it is still in its infancy. Indicators such as work in process, cycle time, on-time performance and inventory are useful indicators to measure lean implementation; however, a financial economic perspective taking fixed assets into consideration is still missing. Hence, the purpose of this paper is to propose a method to measure lean implementation from a fixed asset perspective for this type of industry. With the indicators, continuous improvement scenarios can be explored by value stream discrete event simulation. Design/methodology/approach – From literature, indicators regarding asset specificity to measure lean implementation are found. These indicators are analysed by a linear least square method to know if variables are interrelated to form a preliminary model. The indicators are tested by value stream-based discrete event simulation regarding continuous improvement scenarios. Findings – With the new found lean transaction cost efficiency indicators, namely, turnover, gross margin and inventory pre-fixed asset (T/FA, GM/FA and I/FA, respectively), it is possible to measure operation performance from an asset specificity perspective under the influence of lean implementation. Secondly, the results of implementing continuous improvement scenarios are measured with the new indicators by a discrete event simulation. Research limitations/implications – This research is limited to the airline maintenance, repair and overhaul (MRO) service industry regarding component repair. Further research is necessary to test the indicators regarding other airline MRO service companies and other sectors of complex service industries like health care. Practical implications – The lean transaction cost efficiency model provides the capability for a maintenance service company to simulate the effects of process improvements on operation performance for service-based companies prior to implementation. Social/implications – Simulation of a Greenfield process can involve employees with possible changes in processes. This approach supports the adoption of anticipated changes. Originality/value – The found indicators form a preliminary model, which contributes to the usage and linkage of theories on lean manufacturing and transaction cost theory – asset specificity.


2016 ◽  
Vol 29 (7) ◽  
pp. 733-743 ◽  
Author(s):  
Kenneth Yip ◽  
Suk-King Pang ◽  
Kui-Tim Chan ◽  
Chi-Kuen Chan ◽  
Tsz-Leung Lee

Purpose – The purpose of this paper is to present a simulation modeling application to reconfigure the outpatient phlebotomy service of an acute regional and teaching hospital in Hong Kong, with an aim to improve service efficiency, shorten patient queuing time and enhance workforce utilization. Design/methodology/approach – The system was modeled as an inhomogeneous Poisson process and a discrete-event simulation model was developed to simulate the current setting, and to evaluate how various performance metrics would change if switched from a decentralized to a centralized model. Variations were then made to the model to test different workforce arrangements for the centralized service, so that managers could decide on the service’s final configuration via an evidence-based and data-driven approach. Findings – This paper provides empirical insights about the relationship between staffing arrangement and system performance via a detailed scenario analysis. One particular staffing scenario was chosen by manages as it was considered to strike the best balance between performance and workforce scheduled. The resulting centralized phlebotomy service was successfully commissioned. Practical implications – This paper demonstrates how analytics could be used for operational planning at the hospital level. The authors show that a transparent and evidence-based scenario analysis, made available through analytics and simulation, greatly facilitates management and clinical stakeholders to arrive at the ideal service configuration. Originality/value – The authors provide a robust method in evaluating the relationship between workforce investment, queuing reduction and workforce utilization, which is crucial for managers when deciding the delivery model for any outpatient-related service.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Carolina Reis Gualberto ◽  
Lásara Fabrícia Rodrigues ◽  
Karine Araújo Ferreira

Purpose The purpose of this paper is to develop an approach to evaluate the partial postponement strategy and compare it with postponement and make-to-stock (MTS) strategies in the production of table wine in wineries in the state of Minas Gerais (south-eastern Brazil). Design/methodology/approach An approach based on discrete event simulation was developed to support decision-making in the wine sector. Simulation models were used to analyse partial postponement, postponement and MTS strategies in wine production. These models were inspired by a typical table wine producer selected from an exploratory study conducted in 12 wineries of Minas Gerais state in Brazil. Findings Hybrid strategies, such as partial postponement, favour the advantages of postponement and MTS depending on the portion of semi-finished and finished goods adopted. Wine production characteristics favour postponement and partial postponement with high semi-finished product levels (customer order-driven product) because this allows companies to reduce their inventory of bottles, despite possible increases in lost sales and costs. MTS and partial postponement with high finished product levels (forecast-driven product) present higher costs with bottled wine storage; however, these strategies reduce lost sales and improve agility and reliability in deliveries. Research limitations/implications Future research should analyse the production of table wines in other regions of the country and the production of fine wines. Practical implications The findings suggest promising perspectives for real-life applications in wineries in Brazil and other countries. Originality/value Simulation techniques allow the analysis of production strategies in little-known industries, such as table wine production in Brazil. The approach developed is flexible enough to support decisions and to be adapted to companies’ and markets’ characteristics and to test specific strategies.


2019 ◽  
Vol 25 (3) ◽  
pp. 476-498 ◽  
Author(s):  
Omogbai Oleghe ◽  
Konstantinos Salonitis

Purpose The purpose of this paper is to promote a system dynamics-discrete event simulation (SD-DES) hybrid modelling framework, one that is useful for investigating problems comprising multifaceted elements which interact and evolve over time, such as is found in TPM. Design/methodology/approach The hybrid modelling framework commences with system observation using field notes which culminate in model conceptualization to structure the problem. Thereafter, an SD-DEShybrid model is designed for the system, and simulated to proffer improvement programmes. The hybrid model emphasises the interactions between key constructs relating to the system, feedback structures and process flow concepts that are the hallmarks of many problems in production. The modelling framework is applied to the TPM operations of a bottling plant where sub-optimal TPM performance was affecting throughput performance. Findings Simulation results for the case study show that intangible human factors such as worker motivation do not significantly affect TPM performance. What is most critical is ensuring full compliance to routine and scheduled maintenance tasks and coordinating the latter to align with rate of machine defect creation. Research limitations/implications The framework was developed with completeness, generality and reuse in view. It remains to be applied to a wide variety of TPM and non-TPM-related problems. Practical implications The developed hybrid model is scalable and can fit into an existing discrete event simulation model of a production system. The case study findings indicate where TPM managers should focus their efforts. Originality/value The investigation of TPM using SD-DES hybrid modelling is a novelty.


2018 ◽  
Vol 28 (4) ◽  
pp. 1-25 ◽  
Author(s):  
Noah Wolfe ◽  
Misbah Mubarak ◽  
Christopher D. Carothers ◽  
Robert B. Ross ◽  
Philip H. Carns

2020 ◽  
Vol 31 (2) ◽  
pp. 291-311
Author(s):  
Paul Childerhouse ◽  
Mohammed Al Aqqad ◽  
Quan Zhou ◽  
Carel Bezuidenhout

PurposeThe objective of this research is to model supply chain network resilience for low frequency high impact disruptions. The outputs are aimed at providing policy and practitioner guidance on ways to enhance supply chain resilience.Design/methodology/approachThe research models the resilience of New Zealand's log export logistical network. A two-tier approach is developed; linear programming is used to model the aggregate-level resilience of the nation's ports, then discrete event simulation is used to evaluate operational constraints and validate the capacity of operational flows from forests to ports.FindingsThe synthesis of linear programming and discrete event simulation provide a holistic approach to evaluate supply chain resilience and enhance operational efficiency. Strategically increasing redundancy can be complimented with operational flexibility to enhance network resilience in the long term.Research limitations/implicationsThe two-tier modelling approach has only been applied to New Zealand's log export supply chains, so further applications are needed to insure reliability. The requirement for large quantities of empirical data relating to operational flows limited the simulation component to a single regionPractical implicationsNew Zealand's log export supply chain has low resilience; in most cases the closure of a port significantly constrains export capacity. Strategic selection of location and transportation mode by foresters and log exporters can significantly enhance the resilience of their supply chains.Originality/valueThe use of a two-tiered analytical approach enhances validity as each level's limitations and assumptions are addressed when combined with one another. Prior predominantly theoretical research in the field is validated by the empirical investigation of supply chain resilience.


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