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Analysis of form postponement based on optimal positioning of the differentiation point and stocking decisions
Jönköping University, School of Engineering, JTH, Industrial Engineering and Management. Jönköping University, School of Engineering, JTH. Research area Industrial Engineering and Management.
2009 (English)In: International Journal of Production Research, ISSN 0020-7543, E-ISSN 1366-588X, Vol. 47, no 5, 1201-1224 p.Article in journal (Refereed) Published
Abstract [en]

In this paper we analyse the use of form postponement based on the positioning of the differentiation point and stocking policy. Six classes of manufacturing configurations are identified based on the choice of whether or not form postponement is employed and the decision regarding the stocking policy for the final product configurations as well as for the generic component. Analytical evaluation methods based on queuing models are used to assess operational measures for each class of configuration and solution algorithms are developed todetermine the optimal positioning of the differentiation point and the optimalstocking levels. This allows us to compare the relative merits of all manufacturingconfigurations based on their respective best performances. The results of anumerical experiment show how different operational parameters may influencethe choice of optimal configuration, the preference of early or late postponement,and the relative cost savings obtained from employing form postponement.

Place, publisher, year, edition, pages
Taylor & Francis , 2009. Vol. 47, no 5, 1201-1224 p.
Keyword [en]
supply chain management; inventory control; postponement; stochastic model
National Category
Production Engineering, Human Work Science and Ergonomics
Identifiers
URN: urn:nbn:se:hj:diva-7399DOI: 10.1080/00207540701549608OAI: oai:DiVA.org:hj-7399DiVA: diva2:133730
Available from: 2009-01-14 Created: 2009-01-14 Last updated: 2012-05-28Bibliographically approved

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Wikner, Joakim

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