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The impact of component commonality in an assemble-to-order environment under supply and demand uncertainty

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  • Mohebbi, E.
  • Choobineh, F.

Abstract

A material requirements planning simulator with a two-level bill-of-material is used to study the impact of introducing component commonality into an assemble-to-order environment when demand is subject to random variations, and component procurement orders experience random delays. By using simulated data, our ANOVA results show that component commonality significantly interacts with existence of demand and supply chain uncertainties, and benefits of component commonality are most pronounced when both uncertainties exist.

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  • Mohebbi, E. & Choobineh, F., 2005. "The impact of component commonality in an assemble-to-order environment under supply and demand uncertainty," Omega, Elsevier, vol. 33(6), pages 472-482, December.
    • Handle: RePEc:eee:jomega:v:33:y:2005:i:6:p:472-482
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    References listed on IDEAS

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    Cited by:

    1. Hong, Yoo Suk & Huh, Woonghee Tim & Kang, Changmuk, 2017. "Sourcing assemble-to-order inventories under supplier risk uncertainty," Omega, Elsevier, vol. 66(PA), pages 1-14.
    2. Tunc, Huseyin & Kilic, Onur A. & Tarim, S. Armagan & Eksioglu, Burak, 2011. "The cost of using stationary inventory policies when demand is non-stationary," Omega, Elsevier, vol. 39(4), pages 410-415, August.
    3. Guan, Xu & Ma, Shihua & Yin, Zhe, 2015. "The impact of hybrid push–pull contract in a decentralized assembly system," Omega, Elsevier, vol. 50(C), pages 70-81.
    4. Battini, Daria & Faccio, Maurizio & Persona, Alessandro & Sgarbossa, Fabio, 2009. "Design of the optimal feeding policy in an assembly system," International Journal of Production Economics, Elsevier, vol. 121(1), pages 233-254, September.
    5. Ben-Ammar, Oussama & Dolgui, Alexandre & Wu, Desheng Dash, 2018. "Planned lead times optimization for multi-level assembly systems under uncertainties," Omega, Elsevier, vol. 78(C), pages 39-56.
    6. Yeu-Shiang Huang & Hau-Wen Lo & Jyh-Wen Ho, 2021. "Effects of component commonality and perishability on inventory control in assemble-to-order systems," Operational Research, Springer, vol. 21(1), pages 205-229, March.
    7. Wenyuan Wang & Daniel Y. Mo & Yue Wang & Mitchell M. Tseng, 2019. "Assessing the cost structure of component reuse in a product family for remanufacturing," Journal of Intelligent Manufacturing, Springer, vol. 30(2), pages 575-587, February.
    8. Atan, Zümbül & Ahmadi, Taher & Stegehuis, Clara & Kok, Ton de & Adan, Ivo, 2017. "Assemble-to-order systems: A review," European Journal of Operational Research, Elsevier, vol. 261(3), pages 866-879.
    9. Kai Huang, 2014. "Benchmarking non-first-come-first-served component allocation in an assemble-to-order system," Annals of Operations Research, Springer, vol. 223(1), pages 217-237, December.
    10. ElHafsi, Mohsen, 2009. "Optimal integrated production and inventory control of an assemble-to-order system with multiple non-unitary demand classes," European Journal of Operational Research, Elsevier, vol. 194(1), pages 127-142, April.
    11. Mohebbi, E. & Choobineh, F. & Pattanayak, A., 2007. "Capacity-driven vs. demand-driven material procurement systems," International Journal of Production Economics, Elsevier, vol. 107(2), pages 451-466, June.

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