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Institut / FIR-Bereiche
European machinery and equipment manufacturers face multiple logistical challenges in their daily business. Interacting in complex non-hierarchical production networks and thus living with the consequences of a lack of transparency, temporal instability, or imbalanced share of market power finally leads to an inadequate OEM’s delivery adherence which in many cases can be traced back to suppliers’ late deliveries.
This paper presents a framework for improving delivery reliability in non-hierarchical production networks by applying market mechanisms. Knowing the financial consequences of a supplier’s belated delivery provides useful information which can be applied in terms of financial incentives. The framework is supported by the results of a study which has been conducted by the authors throughout German, Spanish, and Italian machine tool manufacturers and their suppliers.
The efficient dealing with the dynamic environment of production industries is one of the most challenging tasks of Supply Chain Management in high-wage countries. Relevant and current information are still not used sufficiently, to handle the influence of the dynamic environment on intra- and inter-company order processing adequately. Among other things, the problem is caused by missing or delayed feedback of relevant data. As a consequence of that, planning results differ from the actual situation of production. High Resolution Supply Chain Management describes an approach aiming on high information transparency in supply chains in combination with decentralized, self-optimizing control loops for Production Planning and Control. The final objective is to enable manufacturing companies to produce efficiently and to be able to react to order-variations at any time, requiring process structures to be most flexible.
High Resolution Supply Chain Management (HRSCM) aims to stop the trend of continuously increasing planning complexity. Today, companies in high-wage countries mostly strive for further optimization of their processes with sophisticated, capital-intensive planning approaches. The capability to adapt flexibly to dynamically changing conditions is limited by the inflexible and centralized planning logic. Thus, flexibility is reached currently by expensive inventory stocks and overcapacities in order to cope with rescheduling of supply or delivery. HRSCM describes the establishment of a complete information transparency in supply chains with the goal of assuring the availability of goods through decentralized, self-optimizing control loops for Production Planning and Control (PPC). HRSCM pursues the idea of enabling organization structures and processes to adapt to dynamic conditions. The approach includes the strengths of the existing planning models as well as the process of decision making in organizations. A precondition for this decentralized adaptation is the synchronization of the objectives of the several units or process owners. The basis for this new PPC Model are information transparency, stable processes, consistent customer orientation, increased capacity flexibility and the understanding of the production system as a viable, socio-technical system.
Analysis of the Harmonizing Potential of Order Processing Attributes in Spread Production Systems
(2010)
The paper discusses an approach how to measure the competitive advantage of harmonized order processing data by making use of knowledge about the interdependencies between related benefit dimensions. Corresponding harmonization projects are all projects that strive for common structures in product attributes, classification systems or product structures. The main objective of the underlying research work is the development of a method for the estimation of the benefit potential of harmonized order processing data.