In this paper manufacturing responsiveness is related to the ability of manufacturing systems to utilise its existing resources to make a rapid and balanced response to the predictable and unpredictable changes. Better understanding of the inherent (hidden) flexibility that exists within a manufacturing system can therefore lead to significant improvement in system performance and responsiveness. In the reported research a conceptual framework for representing the capabilities of machine tools and machining facilities using generic capabilities units termed “resource elements” is presented as well as a mathematical basis of calculating the manufacturing system flexibility using the resource elements. Simulations are used to examine manufacturing system performance and compare resource element‐based scheduling with conventional machine‐based approaches. The results show that significant improvements in system performance and the system’s ability to cope with disturbances can be achieved if manufacturing facilities are represented and scheduled based on the resource elements concept.
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