scholarly journals Using activity-based costing and simulation to reduce cost at a police communications centre

2017 ◽  
Vol 40 (2) ◽  
pp. 426-441 ◽  
Author(s):  
Andrew Greasley ◽  
Chris M. Smith
Keyword(s):  
Discrete Event ◽  
Cost Savings ◽  
Vital Role ◽  
National Standards ◽  
Activity Based Costing ◽  
Content Type ◽  
Service Levels ◽  
Event Simulation ◽  
Timely Response ◽  
The Cost

Purpose This study is based at a police force’s communications centre which undertakes a vital role in receiving and processing emergency and non-emergency telephone calls from the public and other agencies. The purpose of this paper is to evaluate a method for addressing the conflict between the need to reduce cost and the requirement to meet national standards in terms of a timely response to customer calls. Design/methodology/approach In a two-stage methodology an activity-based costing (ABC) approach is used as a framework to show how costs are generated by the three “drivers” of cost which relate to the design efficiency of the process, the demand on the process and the cost of resources used to undertake the process. The study then provides an analysis from a resource driver perspective using discrete-event simulation to model workforce staffing scenarios. Findings Cost savings within the police communications centre are identified from an analysis of the three drivers of cost. Further analysis from a resource driver viewpoint using a simulation study of an alternative workforce schedule predicted an overall reduction in staffing cost of 9.4 per cent. Originality/value The study outlines an innovative method that identifies where cost can be reduced using ABC and then provides an assessment of strategies that aim to reduce cost whilst maintaining service levels in a police operation using simulation.

Health monitoring impact on non-repairable component supply methods

2017 ◽  
Vol 23 (1) ◽  
pp. 82-94 ◽  
Author(s):  
Robert M. Vandawaker ◽  
David R. Jacques ◽  
Erin T. Ryan ◽  
Joseph R. Huscroft ◽  
Jason K. Freels
Keyword(s):  
Health Monitoring ◽  
Discrete Event ◽  
Cost Savings ◽  
Cost Benefit ◽  
Just In Time ◽  
Content Type ◽  
Event Simulation ◽  
Operating Environments ◽  
Systems Maintenance ◽  
The Impact

Purpose From on-board automotive diagnostics to real-time aircraft state of health, the implementation of health monitoring and management systems are an increasing trend. Further, reductions in operating budgets are forcing many companies and militaries to consider new operating and support environments. Combined with longer service lives for aircraft and other systems, maintenance and operations processes must be reconsidered. The majority of research efforts focus on health monitoring techniques and technologies, leaving others to determine the maintenance and logistics impact on the systems. The paper aims to discuss these issues. Design/methodology/approach This research analyzes the impact of a health monitoring system on a squadron of aircraft. Flight, maintenance and logistics operations are stochastically modeled to determine the impact of program decisions on supply metrics. An arena discrete event simulation is utilized to conduct this research on 20 components on each of the 12 aircraft modeled. Costs and availability are recorded for comparison across three sparing scenarios to include economic order quantity (EOQ) for baseline and health monitoring cases and a just-in-time (JIT) health monitoring set of simulations. Findings Data are presented for EOQ and JIT supply methods. A comparison of health monitoring enabled supply to current methods shows cost savings and availability gains. The different methodologies are compared and discussed as a trade-space for programmatic decisions. Originality/value This work demonstrates the ability of health monitoring systems and condition based maintenance to affect supply ordering decisions. The development of trade-spaces within operating environments is demonstrated along with the ability to conduct cost benefit analyses.

scholarly journals Assessing asset monitoring levels for maintenance operations

2015 ◽  
Vol 26 (5) ◽  
pp. 632-659 ◽  
Author(s):  
Abdullah A Alabdulkarim ◽  
Peter Ball ◽  
Ashutosh Tiwari
Keyword(s):  
Asset Management ◽  
Business Models ◽  
Discrete Event ◽  
Dynamic Modelling ◽  
Simulation Models ◽  
Content Type ◽  
Event Simulation ◽  
Product Service ◽  
Asset Monitoring ◽  
The Impact

Purpose – Asset management has recently gained significance due to emerging business models such as Product Service Systems where the sale of asset use, rather than the sale of the asset itself, is applied. This leaves the responsibility of the maintenance tasks to fall on the shoulders of the manufacturer/supplier to provide high asset availability. The use of asset monitoring assists in providing high availability but the level of monitoring and maintenance needs to be assessed for cost effectiveness. There is a lack of available tools and understanding of their value in assessing monitoring levels. The paper aims to discuss these issues. Design/methodology/approach – This research aims to develop a dynamic modelling approach using Discrete Event Simulation (DES) to assess such maintenance systems in order to provide a better understanding of the behaviour of complex maintenance operations. Interviews were conducted and literature was analysed to gather modelling requirements. Generic models were created, followed by simulation models, to examine how maintenance operation systems behave regarding different levels of asset monitoring. Findings – This research indicates that DES discerns varying levels of complexity of maintenance operations but that more sophisticated asset monitoring levels will not necessarily result in a higher asset performance. The paper shows that it is possible to assess the impact of monitoring levels as well as make other changes to system operation that may be more or less effective. Practical implications – The proposed tool supports the maintenance operations decision makers to select the appropriate asset monitoring level that suits their operational needs. Originality/value – A novel DES approach was developed to assess asset monitoring levels for maintenance operations. In applying this quantitative approach, it was demonstrated that higher asset monitoring levels do not necessarily result in higher asset availability. The work provides a means of evaluating the constraints in the system that an asset is part of rather than focusing on the asset in isolation.

scholarly journals Cultivate, assess, advocate, implement, and sustain

2017 ◽  
Vol 33 (2) ◽  
pp. 100-116 ◽  
Author(s):  
Sara Mannheimer ◽  
Conor Cote
Keyword(s):  
Cost Savings ◽  
Digital Preservation ◽  
Shared Vision ◽  
Limited Resources ◽  
Shared Knowledge ◽  
Collective Knowledge ◽  
Content Type ◽  
The Cost ◽  
Ongoing Support

Purpose For libraries with limited resources, digital preservation can seem like a daunting responsibility. Forming partnerships can help build collective knowledge and maximize combined resources to achieve digital preservation goals. This paper aims to provide guidance to help libraries with limited resources achieve digital preservation goals by forming partnerships to build collective knowledge and maximize combined resources. Design/methodology/approach In 2015, librarians from four Montana institutions formed the Digital Preservation Working Group (DPWG), a collaboration to increase digital preservation efforts statewide. The group’s immediate goals were to promote digital preservation best-practices at each individual institution, and to learn about and support each other’s work. The group’s long-term goal was to implement a shared digital preservation service that would fill gaps in existing digital preservation efforts. Findings Beyond the cost savings gained by sharing a digital preservation service, the members of DPWG benefitted from shared knowledge and expertise gained during the partnership. The group also functioned as a sounding board as each institution built its digital preservation program, and it became a system of support when challenges arose. Practical/implications This paper proposes a five-point plan for creating digital preservation partnerships: cultivate a foundation of knowledge and identify a shared vision; assess the current digital preservation landscape at each institution; advocate for the value of digital preservation activities; implement shared digital preservation services; and sustain group activities and establish structures for ongoing support. Originality/value The activities of DPWG provide a model for institutions seeking to collaborate to meet digital preservation challenges. This paper shows that by implementing a structured plan, institutions can build and sustain digital preservation partnerships, thus positioning themselves to achieve digital preservation success.

scholarly journals Measuring lean implementation for maintenance service companies

2016 ◽  
Vol 7 (1) ◽  
pp. 35-61 ◽  
Author(s):  
Stephan J. de Jong ◽  
Wouter W.A. Beelaerts van Blokland
Keyword(s):  
Transaction Cost ◽  
Discrete Event Simulation ◽  
Continuous Improvement ◽  
Lean Manufacturing ◽  
Discrete Event ◽  
Asset Specificity ◽  
Lean Implementation ◽  
Content Type ◽  
Event Simulation ◽  
Maintenance Service

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.

Improving outpatient phlebotomy service efficiency and patient experience using discrete-event simulation

2016 ◽  
Vol 29 (7) ◽  
pp. 733-743 ◽  
Author(s):  
Kenneth Yip ◽  
Suk-King Pang ◽  
Kui-Tim Chan ◽  
Chi-Kuen Chan ◽  
Tsz-Leung Lee
Keyword(s):  
Discrete Event Simulation ◽  
Scenario Analysis ◽  
Performance Metrics ◽  
Discrete Event ◽  
Evidence Based ◽  
Content Type ◽  
Event Simulation ◽  
Service Efficiency ◽  
Related Service ◽  
The Relationship

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.

Cost saving allocation of horizontal cooperation in restructured natural gas distribution network

Kybernetes ◽  
2018 ◽  
Vol 47 (6) ◽  
pp. 1217-1241 ◽  
Author(s):  
Jafar Razmi ◽  
Anis Hassani ◽  
Ashkan Hafezalkotob
Keyword(s):  
Natural Gas ◽  
Cooperative Game ◽  
Distribution Network ◽  
Cost Savings ◽  
Gas Distribution ◽  
Content Type ◽  
Horizontal Cooperation ◽  
Gas Market ◽  
Yazd City ◽  
The Cost

Purpose Over the past two decades, in developed countries a trend towards the liberalization and restructuring of the gas market has been observed. Today, restructuring is an ongoing process. In this study, a restructured natural gas market has been considered in which several regional distribution companies have ownership of the network and are competing against each other to gain more benefits. The main purpose of this study is to achieve efficiency and economic rationality in such a market through horizontal cooperation. Design/methodology/approach A restructured natural gas distribution network is modeled as a cooperative game to estimate the potential cost savings for various collaboration scenarios. In addition, the cost savings’ allocation among collaborating companies is evaluated using the cooperative game theory. Findings The results reveal validity and efficiency of the solution of the proposed model and capabilities of the cooperative game theory for reduction in gas distribution costs and improvement in the service level. Research limitations/implications This study is limited to natural gas in one region of Yazd City in Iran. Moreover, one segment of the natural gas network (i.e. distribution network) is modeled. Moreover, long-term cooperation between companies relies on fair distribution of cooperation benefits to the participants. Practical implications For the purpose of comparison and to get an insight into properties of the cost savings game, the real case study of one region of Yazd city in Iran is implemented. Originality/value This study contributes to the competitive models in the restructured gas market, particularly, in gas distribution network. The main contribution is to provide potential benefits for the participants via the horizontal cooperation.

Evaluation of postponement strategy in the production of table wine in Brazil: a discrete event simulation approach

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Carolina Reis Gualberto ◽  
Lásara Fabrícia Rodrigues ◽  
Karine Araújo Ferreira
Keyword(s):  
Discrete Event Simulation ◽  
Discrete Event ◽  
Real Life ◽  
Minas Gerais ◽  
Future Research ◽  
Lost Sales ◽  
Wine Production ◽  
Content Type ◽  
Event Simulation ◽  
Postponement Strategy

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.

scholarly journals The application of a hybrid simulation modelling framework as a decision-making tool for TPM improvement

2019 ◽  
Vol 25 (3) ◽  
pp. 476-498 ◽  
Author(s):  
Omogbai Oleghe ◽  
Konstantinos Salonitis
Keyword(s):  
Discrete Event Simulation ◽  
Hybrid Model ◽  
Discrete Event ◽  
Simulation Modelling ◽  
Hybrid Modelling ◽  
Content Type ◽  
Event Simulation ◽  
Modelling Framework ◽  
Field Notes

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.

Analyzing the Return on Investment Associated With Prognostics and Health Management of Electronic Products

2008 ◽  
Author(s):  
Kiri Feldman ◽  
Peter Sandborn
Keyword(s):  
Health Management ◽  
Discrete Event ◽  
Prognostics And Health Management ◽  
Potential Cost ◽  
Product Usage ◽  
Cost Avoidance ◽  
Event Simulation ◽  
Business Cases ◽  
The Cost

Prognostics and Health Management (PHM) provides an opportunity for lowering sustainment costs, improving maintenance decision-making and providing product usage feedback into the product design and validation process. The adoption of PHM approaches requires consideration and planning for integration into new and existing systems, operations, and processes. However, PHM must provide a significant advantage in order to add value for the maintenance process and commitments to implement and support PHM approaches cannot be made without the development of supporting business cases. The realization of PHM requires implementation at different levels of scale and complexity. The maturity, robustness, and applicability of the underlying predictive algorithms impact the overall efficacy of PHM within an enterprise. The utility of PHM to inform decision-makers within tight scheduling constraints and under different operational profiles likewise affects the cost avoidance that can be realized. This paper presents a case study conducted using a stochastic discrete event simulation model to determine the benefits and potential cost avoidance offered by electronics PHM (e-PHM). The case study of a multifunctional display in a Boing 737 compared the life cycle costs of a system employing unscheduled maintenance approaches to the same system using a precursor to failure PHM approach.

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