Planning with uncertain materials availability: The value of workday flexibility

In this paper, we consider the problem of a manufacturer that faces uncertainty in the availability of its raw materials. This can occur, for example, in a remanufacturing setting where replacements for damaged components are not always available as needed. We examine the potential for flexible workday policies to mitigate the impact of uncertain materials availability, and present a simulation optimization approach to determine staffing levels under various levels of workday flexibility. An example implementation of the aggregate planning model we develop is provided using data from a cell phone reassembly facility in Hong Kong. Our model provides insights for managers regarding the benefits of increasing levels of workday flexibility when raw material availability is uncertain.

[1]  Wallace J. Hopp,et al.  Agile workforce evaluation: a framework for cross-training and coordination , 2004 .

[2]  Carsten Franke,et al.  Remanufacturing of mobile phones—capacity, program and facility adaptation planning , 2006 .

[3]  Jon Frye.  Labor Flexibility in Multiechelon Dual-Constraint Job Shops , 1974 .

[4]  Rasaratnam Logendran,et al.  Aggregate production planning — A survey of models and methodologies , 1992 .

[5]  H V Kher,et al.  Examination of flexibility acquisition policies in dual resource constrained job shops with simultaneous worker learning and forgetting effects , 2000, J. Oper. Res. Soc..

[6]  C. Hwang,et al.  An aggregate production planning model and application of three multiple objective decision methods , 1980 .

[7]  Moutaz Khouja,et al.  An aggregate production planning framework for the evaluation of volume flexibility , 1998 .

[8]  Adil Baykasoğlu.  MOAPPS 1.0: Aggregate production planning using the multiple-objective tabu search , 2001 .

[9]  José Rui Figueira,et al.  An interactive decision support system for an aggregate production planning model based on multiple criteria mixed integer linear programming , 2006 .

[10]  Manoj K. Malhotra,et al.  A theoretical framework for analyzing the dimensions of manufacturing flexibility , 1999 .

[11]  Manoj K. Malhotra,et al.  An evaluation of worker assignment policies in dual resource-constrained job shops with heterogeneous resources and worker transfer delays , 1994 .

[12]  Paul M. Bobrowski,et al.  An evaluation of labor assignment rules when workers are not perfectly interchangeable , 1993 .

[13]  Yolanda Carson,et al.  Simulation optimization: methods and applications , 1997, WSC '97.

[14]  Leena Suhl,et al.  Aggregate production planning in the automotive industry with special consideration of workforce flexibility , 2011 .

[15]  Timothy D. Fry,et al.  The Impact of Learning and Labor Attrition on Worker Flexibility in Dual Resource Constrained Job Shops , 1993 .