Interrelationship among resilience, robustness, and bullwhip effect in an inventory and order based production control system

Kybernetes ◽  
2019 ◽  
Vol 49 (3) ◽  
pp. 732-752 ◽  
Author(s):  
A.V. Thomas ◽  
Biswajit Mahanty
Keyword(s):  
Supply Chain ◽  
Control System ◽  
Design Methodology ◽  
Production Control ◽  
Bullwhip Effect ◽  
Control Engineering ◽  
Content Type ◽  
Production Control System ◽  
Supply Chain Dynamics ◽  
Selection Of

Purpose This study aims to examine the interrelationship between resilience, robustness and bullwhip effect using an inventory- and order-based production control system being subjected to operational disruption in the customer demand process. Design/methodology/approach Control engineering techniques and simulation are employed for the supply chain dynamics study. Findings The results show that resilience and robustness are two conflicting performance characteristics and therefore, a tradeoff can be established between them. It is also observed that improvement in resilience and reduction of bullwhip effect can be achieved simultaneously through a proper selection of control parameters. Originality/value The work establishes a relationship between the resilient behavior of a supply chain and bullwhip effect.

Dynamics analysis of a production-inventory control system with two pipelines feedback

Kybernetes ◽  
2017 ◽  
Vol 46 (10) ◽  
pp. 1632-1653
Author(s):  
Huthaifa AL-Khazraji ◽  
Colin Cole ◽  
William Guo
Keyword(s):  
Control System ◽  
Dynamic Model ◽  
Inventory Control ◽  
Production Control ◽  
Bullwhip Effect ◽  
Inventory Level ◽  
Content Type ◽  
Production Control System ◽  
Customer Service Level ◽  
Production Inventory

Purpose The purpose of this study is to propose a new dynamic model of a production-inventory control system. The objective of the new model is to maximise the flexibility of the system so that it can be used by decision makers to design inventory systems that adopt various strategies that provide a balance between reducing the bullwhip effect and improving the responsiveness of inventory performance. Design/methodology/approach The proposed production-inventory control system is modelled and analysed via control theory and simulations. The production-inventory feedback control system is modelled through continuous time differential equations. The simulation experiments design is conducted by using the state-space model of the system. The Automatic Pipeline Inventory and Order-Based Production Control System (APIOBPCS) model is used as a benchmark production-inventory control system. Findings The results showed that the Two Automatic Pipelines, Inventory and Order-Based Production Control System (2APIOBPCS) model outperforms APIOBPCS in terms of reducing the bullwhip effect. However, the 2APIOBPCS model has a negative impact on Customer Service Level. Therefore, with careful parameter setting, it is possible to design control decisions to be suitably responsive while generating smooth order patterns and obtain the best trade-off of the two objectives. Research limitations/implications This research is limited to the dynamics of single-echelon production-inventory control systems with zero desired inventory level. Originality/value This present model is an extension and improvement to Towill’s (1982) and John et al.’s (1994) work, since it presents a new dynamic model of a production-inventory control system which utilises an additional flow of information to improve the efficiency of order rate decisions.

Towards greater supply chain stability

2019 ◽  
Vol 35 (6) ◽  
pp. 33-35
Keyword(s):  
Supply Chain ◽  
Design Methodology ◽  
Bullwhip Effect ◽  
Global Supply Chain ◽  
Global Supply Chains ◽  
Content Type ◽  
Pertinent Information ◽  
The Stability ◽  
Practical Implications ◽  
Chain Increase

Purpose This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies. Design/methodology/approach This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context. Findings Building a regional rather than a global supply chain can help firms guard against the damaging impact of the bullwhip effect and increase the stability of their supply chain. The possibility of better communication, greater flexibility, and ability to respond more quickly are factors that can appease the bullwhip severity. The benefits of a regional supply chain increase further in times of economic certainty, when the risk to global supply chains intensifies. Originality/value The briefing saves busy executives and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.

Supply chain agility: a systematic review of definitions, enablers and performance implications

2020 ◽  
Vol 50 (2) ◽  
pp. 287-312 ◽  
Author(s):  
Eias Al Humdan ◽  
Yangyan Shi ◽  
Masud Behnia
Keyword(s):  
Supply Chain ◽  
Design Methodology ◽  
Full Potential ◽  
Research Directions ◽  
Content Type ◽  
Supply Chain Agility ◽  
Performance Dimensions ◽  
And Performance ◽  
Definition Of ◽  
Selection Of

PurposeSupply chain agility (SCA) has recently received considerable attention in the literature and in practice. Despite its popularity, the concept of SCA seems to be vaguely defined and loosely structured. More specifically, definitional ambiguity and conceptual fragmentation have prevented the concept of SCA from reaching its full potential. The time is ripe to address these issues through a systematic literature review.Design/methodology/approachA review and synthesis of the literature on SCA was undertaken. The authors selected 56 top-tier related articles for further analysis after applying rigorous filtering procedures.FindingsThe results of the review confirm that several key themes surround SCA's definition and enablers. In addition, consensus needs to be reached in terms of its performance dimensions and measures. Accordingly, this study constructed an encompassing definition, scrutinized SCA enablers and outcomes and thus developed an original framework for SCA, providing a unique conceptual contribution. Several research directions were also addressed accordingly.Originality/valueThe novelty of this research lies in the selection of highly recognized publications. It also provides an encompassing definition of SCA, consolidates its enablers for better communication and synthesizes its performance implications.

Bullwhip severity in conditions of uncertainty: regional vs global supply chain strategies

2019 ◽  
Vol 15 (1) ◽  
pp. 131-148 ◽  
Author(s):  
Marcelo J. Alvarado-Vargas ◽  
Keith J. Kelley
Keyword(s):  
Supply Chain ◽  
Emerging Markets ◽  
Supply Chains ◽  
Design Methodology ◽  
Bullwhip Effect ◽  
Global Supply Chain ◽  
Global Supply Chains ◽  
Internalization Theory ◽  
Strategic Decisions ◽  
Content Type

Purpose Using a phenomenon known as the bullwhip effect, the authors explore why additional uncertainty in the marketplace can create severe disruptions in global supply chains (GSCs). The purpose of this paper is to analyze related risks in regional vs GSCs during low and high levels of uncertainty. The authors propose and discuss a number of potential implications alongside some tactics that may help mitigate disruptions in some cases before they become terminal problems for the supply chain sustainability. Design/methodology/approach Monte Carlo simulation is used to generate the conditions of uncertainty and various scenarios that may emerge to challenge GSCs. Vensim software is utilized as a tool for simulation purposes. The authors considered scenarios applicable to manufacturing and retail sectors specifically because of storability property of goods. Findings Regional supply chains, as opposed to global ones, are more stable and reliable (less risk of disruption) during low and high levels of uncertainty. During uncertain times, upstream suppliers are at greater risk in GSCs. Firms must make strategic decisions that will secure its supply chain functionality and assess the likelihood of such events since many firms entered emerging markets. Originality/value Building on internalization theory, it shows that risk and survival are components of decision making that are further complicated by supply chains now operating globally in emerging markets. The paper demonstrates with simulation that GSCs are riskier than regional supply chains in low and high levels of uncertainty, particular as it relates to the bullwhip effect. It also provides recommendations about supply chain restructure and investments in communication improvements to reduce the bullwhip effect in the supply chain.

Design of pull production control systems using axiomatic design principles

2019 ◽  
Vol 31 (3) ◽  
pp. 620-647
Author(s):  
Ozgur Kabadurmus ◽  
Mehmet Bulent Durmusoglu
Keyword(s):  
Lean Manufacturing ◽  
Design Methodology ◽  
Manufacturing System ◽  
Production Control ◽  
Real Life ◽  
Axiomatic Design ◽  
Content Type ◽  
Production Control System ◽  
Pull Production

Purpose The purpose of this paper is to contribute to the lean manufacturing literature by providing a roadmap for pull production control system (PCS) implementation. Design/methodology/approach Axiomatic Design (AD) methodology is used to develop the proposed pull PCS transformation roadmap. Findings The proposed design methodology is validated in a real-life manufacturing system. The results show that the proposed methodology significantly reduces the design efforts. The methodology effectively helps to choose the most appropriate pull PCS and determine its operational settings with respect to the manufacturing system characteristics. Research limitations/implications This study presents only one case study to test the proposed methodology. In future studies, the validity of the proposed method can be further generalized in different manufacturing sectors by real-life implementations. Practical implications In many real-life lean production projects, companies do not know where to start or how to proceed, which leads to repetitive design efforts and inefficient designs. The developed roadmap of this study minimizes incorrect or imperfect design trials and increases the success of pull production transformation projects. Originality/value The implementation of pull PCS requires extensive design knowledge and expertise. Therefore, many real-life applications fail due to costly and time-consuming trial-and-error-based design efforts. In the literature, there is no comprehensive guideline or roadmap for pull PCS implementation. To address this issue, this study provides a novel holistic roadmap to transform an existing push PCS to pull. The proposed methodology uses AD principles and combines fragmentary studies of the pull production literature.

Adopting additive manufacturing in SMEs: exploring the challenges and solutions

2018 ◽  
Vol 29 (6) ◽  
pp. 937-957 ◽  
Author(s):  
Miia Martinsuo ◽  
Toni Luomaranta
Keyword(s):  
Supply Chain ◽  
Additive Manufacturing ◽  
Supply Chains ◽  
Design Methodology ◽  
Large Scale ◽  
Content Type ◽  
Systemic Innovation ◽  
Specific Implementation ◽  
Practical Implications ◽  
Selection Of

Purpose Adopting additive manufacturing (AM) can be challenging, especially in small- and medium-sized enterprises (SMEs) and as part of the supply chains of larger firms. The purpose of this paper is to explore SMEs’ perspectives on the adoption of AM in their specific supply chain positions. The paper develops new knowledge on the challenges SMEs face across the supply chain and the actions they need to promote the adoption of AM. Design/methodology/approach An exploratory interview-based research design is used. In total, 17 interviews were conducted and analyzed in four types of SMEs in their specific positions in AM supply chains. The challenges of adopting AM were mapped, and actions to promote AM adoption were identified. Findings SMEs in different supply chain positions experience different challenges when adopting AM. Strategic and operative actions are suggested as key solutions to overcome the challenges. The benefits of AM on a large scale will be achieved only if the broader supply chain adopts AM technology and experiences its benefits. Research limitations/implications The research is limited by its single-country context, its focus on SMEs, and the selection of early-phase AM-adopter firms. The findings imply a need to understand AM adoption as a shared concern and systemic innovation in the supply chain, instead of just a firm-specific implementation task. Practical implications The findings offer a framework for categorizing AM adoption challenges and propose ways to overcome the challenges of adoption. Originality/value The study reveals that AM adoption is not only a technology issue, but also an issue of strategic, organizational and operational challenges across the supply chain. It shows that when adopting AM, SMEs face particular challenges and require specific solutions according to their supply chain position.

Centralized selection of standardized modular containers: a multi-criteria method considering freight behavior and shipper segment

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Xiang Ji ◽  
Bingru Guan ◽  
Guowei Liu
Keyword(s):  
Supply Chain ◽  
Design Methodology ◽  
Global Supply Chain ◽  
Pareto Optimal ◽  
Managerial Implication ◽  
Content Type ◽  
Physical Internet ◽  
Research Gap ◽  
Related Paper ◽  
Selection Of

PurposeSelection of standardized modular containers (SSMC) is counted as one of the most important driving factors that ensure the Physical Internet (PI) to realize the varieties of goals of sustainability simultaneously, thus overcoming the great challenge of modern logistics in nowadays global supply chain. However, previous research studies on SSMC seldom paid attention to freight behavior and shippers’ segment, which are described in several fundamental conceptual works as the most essential factors that should be taken into account when doing SSMC.Design/methodology/approachThis paper defines two preference matrices to characterize the freight behavior and shippers’ segment, and then integrates these two matrices into a centralized multi-criteria method to determine the optimal SSMC.FindingsThe SSMC derived by the proposed methodology is found to be Pareto-optimal. A managerial implication for shippers to further improve efficiency is summarized as well.Originality/valueFirst, the authors characterized the freight behavior and shippers’ segment by two preference matrices and then integrated them into a centralized multi-criteria method. To the best of the authors’ knowledge, this is the first SSMC-related paper that takes shippers' behaviors and preferences into consideration when making the selection. The authors’ attempt is expected to fill in the research gap that has existed until now. Second, the SSMC derived by the proposed methodology is found to be Pareto-optimal, ensuring the required sustainability. Finally, the authors summarized a managerial implication for shippers to further improve the efficiency from the aspects of production and design.

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