Production to Order Models and Rules for Production Planning

In this book, production rules are studied for situations which share some important elements. The most important one is that the products are manufactured according to customer specifications and they will not be manufactured unless they have been ordere

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333 Nico Dellaert

Production to Order Models and Rules for Production Planning

Springer-Verlag Berlin Heidelberg New York London Paris Tokyo Hong Kong

Editorial Board

H. Albach M. Beckmann (Managing Editor) P.Dhrymes G. Fandel G. Feichtinger J. Green W. Hildenbrand W. Krelle (Managing Editor) H.P. Ki.inzi K. Ritter R. Sato U. Schittko P. Schonfeld R. Selten Managing Editors

Prof. Dr. M. Beckmann Brown University Providence, RI 02912, USA Prof. Dr. W. Krelle Institut fUr Gesellschafts- und Wirtschaftswissenschaften der Universitat Bonn Adenauerallee 24-42, 0-5300 Bonn, FRG Author

Dr. ir. Nico Dellaert Erasmus University, Econometric Institute P.O. Box 1738, 3000 DR Rotterdam, The Netherlands

ISBN-13 :978-3-540-51309-4 001: 10.1007/978-3-642-46672-4

e-ISBN-13 :978-3-642-46672-4

This work is subject to copyright. All rights are reserved, whether the whole or part of the material is concerned, specifically the rights of translation, reprinting, re-use of illustrations, recitation, broadcasting, reproduction on microfilms or in other ways, and storage in data banks. Duplication of this publication or parts thereof is only permitted under the provisions of the German Copyright Law of September 9, 1965, in its version of June 24, 1985, and a copyright fee must always be paid. Violations fall under the prosecution act of the German Copyright Law.

© Springer-Verlag Berlin Heidelberg 1989 Printing and binding: Druckhaus Beltz, Hemsbach/Bergstr. 2847/3140-543210

To Marie-Jose and Babbis

Table of Contents

1. INTRODUCTION 1.1.

Production to order .. ............. ........... ....... ................. ............. ... .................

1

1.2.

Description of the problem ....................... ................................................

2

1.3.

The control rules .......................................................................................

3

1.3.1.

The control rules for the lead times ................... .......................................

3

1.3.2.

The control rules for the production planning ..........................................

5

1.4.

The performance of the control rules ........................................................

6

1.5.

Influences on the control rules .................. ................................................

8

1.5.1.

Influence of the market .............................................................................

8

1.5.2.

Influence of the production facilities ........................................................

9

1.6.

The methods ..............................................................................................

10

1.7.

Overview of the text ......... .... ........... ... .......... ........... ..... .... .... ........... .........

11

2. PRELIMINARIES 2.1.

The situation and the model.. ........... ............. ........... ............. ... .................

13

2.2.

Costs as instruments for decision making ................................................

14

2.3.

Control rules for production planning .......