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Production Planning & Control
The Management of Operations
Volume 21, 2010 - Issue 1
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Original Articles

Simulation study of availability management in a make-to-order manufacturing environment for a differentiated order system

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Pages 47-69 | Received 03 Jan 2009, Accepted 17 Jul 2009, Published online: 06 Nov 2009
 

Abstract

This article presents an analysis of a differentiated order system for a major manufacturing organisation in the context of a ‘make-to-order’ manufacturing environment. This article summarises all aspects of analysis, including creation of a simulation model used in the analysis, replications of various scenarios and the resulting conclusions. Scenarios simulated include variable buffer inventory sizes, variable order sizes, variable delta time periods and variable order rates. Based on these scenarios, the simulation results show that some form of buffer adjustment should be utilised to steer order processing availabilities. Buffer should be adjusted with predetermined ranges when the delta between availabilities of ‘C’ and ‘I’ orders leaves the optimal range.

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