Open AccessSimulation Model Development for Determination of Components Production Quantity and Lead Time Reduction in Mass Customisation of Single Production Stage
Author(s) -
Muhammad Ridwan Andi Purnomo,
Riadho Clara Shinta
Publication year - 2019
Publication title -
iop conference series. materials science and engineering
Language(s) - English
Resource type - Journals
eISSN - 1757-899X
pISSN - 1757-8981
DOI - 10.1088/1757-899x/528/1/012065
Subject(s) - lead time , build to order , decoupling (probability) , computer science , agile software development , production (economics) , rivalry , product (mathematics) , order (exchange) , new product development , industrial engineering , production planning , manufacturing engineering , engineering , operations management , business , control engineering , mathematics , marketing , economics , geometry , software engineering , finance , macroeconomics
Market rivalry forces manufacturing companies to be customer focus and have an agile system. In manufacturing companies that produce semi-common products based on customer order, the pressure from customers are usually faster delivery, reasonable price and higher product variability. This paper presents the use of Mass Customisation (MC) concept in order to cope with faster delivery and higher product variability. The MC concept is realised by determining Customer Order Decoupling Point (CODP). Besides MC, Theory of Constraint (TOC) concept is also applied in order to address problem that may occurred after MC implementation. Based on a simulation analysis, it shows that CODP implementation could improve delivery lead time and product variability performance dramatically up to 5.15 times compared to existing system. An optimisation algorithm is also proposed for further study in order to improve cost performance of the products.