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Lecture 28: Supply Chain Scheduling 2. Outline. Discrete Manufacturing vs Continuous Manufacturing What Difference Does It Make? A Typical Framework for Supply Chain Optimization Medium Term Planning Short Term Scheduling Information System Issues. Supply Chain Scheduling.

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Lecture 28: Supply Chain Scheduling 2


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lecture 28 supply chain scheduling 2

Lecture 28: Supply Chain Scheduling 2

© J. Christopher Beck 2005

outline
Outline
  • Discrete Manufacturing vs Continuous Manufacturing
    • What Difference Does It Make?
  • A Typical Framework for Supply Chain Optimization
    • Medium Term Planning
    • Short Term Scheduling
    • Information System Issues

© J. Christopher Beck 2005

supply chain scheduling
Supply Chain Scheduling

© J. Christopher Beck 2005

discrete vs continuous manufacturing
Discrete vs. Continuous Manufacturing
  • Continuous (process) production
    • Main inventory/products are finely divisible
      • Steel, shampoo, paper
  • Discrete production
    • Main inventory/products are individually countable
      • Cars, computers, consumer electronics
  • Scheduling problems are different

© J. Christopher Beck 2005

continuous 1 main processing
Continuous:1. Main Processing
  • Raw materials aretransformed to intermediate products
  • Machines have high start-up/shutdown costs and
  • High changeover costs
  • Often fixed batch sizes
  • Usually run 24/7

© J. Christopher Beck 2005

continuous 2 finishing
Continuous:2. Finishing
  • Products of mainprocesses are “specialized”
    • Cut, bent, extruded, painted, printed, …
  • Often these are commodities
    • Many clients
    • Mix of make-to-stock, make-to-order
  • Due dates, sequence dependent changeovers, and inventory management are important

© J. Christopher Beck 2005

discrete 1 primary conversion
Discrete:1. Primary Conversion
  • Like finishing in continuous
    • Stamping, bending, cutting
  • Process is generally pretty simple
  • Output is often a part
    • Car body part, computer case, …
  • Schedule is often integrated with downstream processes

© J. Christopher Beck 2005

discrete 2 main production
Discrete:2. Main Production
  • Many differentoperations of many tools
    • 100 step process for semiconductors!
  • Machines are very expensive
  • Often organized like a job shop
  • Each order has its own route, quantity, due date
  • Sequence dependent changeovers

© J. Christopher Beck 2005

discrete 3 assembly
Discrete:3. Assembly
  • Put together parts
  • Machines are cheap but material handling is important
  • Assembly lines
    • cars or consumer electronics
  • Due dates, changeovers, sequencing, …

© J. Christopher Beck 2005

table 8 1
Table 8.1

© J. Christopher Beck 2005

table 8 2
Table 8.2

© J. Christopher Beck 2005

supply chain decomposition
Supply Chain Decomposition

© J. Christopher Beck 2005

medium term aggregation
Medium-term Aggregation
  • Time abstraction
    • 1 unit = 1 day or 1 week
  • Product abstraction
    • Work at product “family” level
      • e.g., Tuborg beer, not 6-pack, 12, 24, keg, …
  • Cost/job/capacity abstraction
    • Average processing times
    • Sequence dependencies ignored
    • Factory treated as a single resource

© J. Christopher Beck 2005

medium term planning results
Medium-term Planning Results
  • Daily or weekly
    • Demand for product families at each facility
    • Inventory levels
    • Transportation requirements
  • No detailed scheduling has been done!

© J. Christopher Beck 2005

medium term constrains short term
Medium-term Constrains Short-term

© J. Christopher Beck 2005

medium term decouples short term
Medium-term Decouples Short-term

© J. Christopher Beck 2005

short term scheduling uses more precise data
Short-term Scheduling Uses More Precise Data
  • Time in minutes or seconds
  • Horizon ≈ week, 2 weeks
  • Jobs and resources are detailed
  • Set-up time/cost are taken into account
  • Products not just product families
    • Demand for each product is represented

© J. Christopher Beck 2005

problem
Problem
  • Short term schedule solution may not exist!
    • Why?
  • May require feedback of information to the medium-term and a resolve
    • Carlsberg takes 10-12 hours for a medium-term solve …

© J. Christopher Beck 2005

feedback mechanism needed
Feedback Mechanism Needed

© J. Christopher Beck 2005

information infrastructure requirements
Information Infrastructure Requirements

© J. Christopher Beck 2005