Modelling lateness and schedule reliability: How companies can produce on time
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In: Production Planning & Control. The Management of Operations, Vol. 25, No. 1, 02.01.2014, p. 59-72.
Research output: Journal contributions › Journal articles › Research › peer-review
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TY - JOUR
T1 - Modelling lateness and schedule reliability
T2 - How companies can produce on time
AU - Lödding, Hermann
AU - Nyhuis, Peter
AU - Schmidt, Matthias
AU - Kuyumcu, Arif
PY - 2014/1/2
Y1 - 2014/1/2
N2 - Schedule reliability is a very important target in operations management: if a company cannot produce and deliver on time, it has to make up for it by incurring a penalty on delays and using high cost express delivery. If that option is not available, customer dissatisfaction is inevitable. When the customer's production system operates with low inventories and just-in-time deliveries, low schedule reliability of the suppliers will eventually ruin that customer's schedule reliability as well. In spite of this high importance, industry analyses show that the schedule reliability of many factories is quite low: a part of the orders is completed late and endangers the delivery reliability of the company; other orders are completed before the scheduled date and increase finished goods inventories. This article shows how lateness can be modelled and it describes the application of the models using an industry example. Appropriate measures to enhance schedule reliability result from the analysis.
AB - Schedule reliability is a very important target in operations management: if a company cannot produce and deliver on time, it has to make up for it by incurring a penalty on delays and using high cost express delivery. If that option is not available, customer dissatisfaction is inevitable. When the customer's production system operates with low inventories and just-in-time deliveries, low schedule reliability of the suppliers will eventually ruin that customer's schedule reliability as well. In spite of this high importance, industry analyses show that the schedule reliability of many factories is quite low: a part of the orders is completed late and endangers the delivery reliability of the company; other orders are completed before the scheduled date and increase finished goods inventories. This article shows how lateness can be modelled and it describes the application of the models using an industry example. Appropriate measures to enhance schedule reliability result from the analysis.
KW - Backlog
KW - Lateness
KW - Manufacturing control
KW - Schedule reliability
KW - Sequence deviation
KW - Engineering
UR - http://www.scopus.com/inward/record.url?scp=84889838087&partnerID=8YFLogxK
UR - https://www.mendeley.com/catalogue/af62e67b-af2c-3967-8a61-2e45ea810139/
U2 - 10.1080/09537287.2012.655803
DO - 10.1080/09537287.2012.655803
M3 - Journal articles
AN - SCOPUS:84889838087
VL - 25
SP - 59
EP - 72
JO - Production Planning & Control. The Management of Operations
JF - Production Planning & Control. The Management of Operations
SN - 0953-7287
IS - 1
ER -