IDEAS home Printed from https://ideas.repec.org/a/spr/annopr/v136y2005i1p303-32710.1007-s10479-005-2061-1.html
   My bibliography  Save this article

Evaluation of Plant Focus Strategies: A Continuous Approximation Framework

Author

Listed:
  • Abdullah Dasci
  • Vedat Verter

Abstract

The concept of plant focus emphasizes a firm's ability to increase productivity and lower cost by limiting the number and variety of operations at its production lines. In this paper, we present a quantitative modeling framework to analyze the choice between product focus and market focus strategies. We also study the effect of flexible manufacturing technology on plant focus. Our methodology is based on a facility design model that uses continuous functions in representing the spatial distribution of demand and cost parameters. One of the advantages of this approach is its ability to generate closed-form solutions with relatively little data. Furthermore, it enables us derive several managerial insights into plant focus decisions as well as the impact of technology alternatives on these decisions. Finally, continuous approximation approach has potential to complement more detailed mixed integer models. Copyright Springer Science + Business Media, Inc. 2005

Suggested Citation

  • Abdullah Dasci & Vedat Verter, 2005. "Evaluation of Plant Focus Strategies: A Continuous Approximation Framework," Annals of Operations Research, Springer, vol. 136(1), pages 303-327, April.
    • Handle: RePEc:spr:annopr:v:136:y:2005:i:1:p:303-327:10.1007/s10479-005-2061-1
    DOI: 10.1007/s10479-005-2061-1
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1007/s10479-005-2061-1
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1007/s10479-005-2061-1?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Billington, CA & Davis, TC, 1992. "Manufacturing strategy analysis: Models and practice," Omega, Elsevier, vol. 20(5-6), pages 587-595.
    2. Rosenfield, Donald B. & Engelstein, Israel & Feigenbaum, David, 1992. "An application of sizing service territories," European Journal of Operational Research, Elsevier, vol. 63(2), pages 164-172, December.
    3. Cohen, Morris A. & Moon, Sangwon, 1991. "An integrated plant loading model with economies of scale and scope," European Journal of Operational Research, Elsevier, vol. 50(3), pages 266-279, February.
    4. Hall, Randolph W., 1993. "Design for local area freight networks," Transportation Research Part B: Methodological, Elsevier, vol. 27(2), pages 79-95, April.
    5. Verter, Vedat & Dasci, Abdullah, 2002. "The plant location and flexible technology acquisition problem," European Journal of Operational Research, Elsevier, vol. 136(2), pages 366-382, January.
    6. Shanling Li & Devanath Tirupati, 1994. "Dynamic Capacity Expansion Problem with Multiple Products: Technology Selection and Timing of Capacity Additions," Operations Research, INFORMS, vol. 42(5), pages 958-976, October.
    7. Dasci, Abdullah & Verter, Vedat, 2001. "A continuous model for production-distribution system design," European Journal of Operational Research, Elsevier, vol. 129(2), pages 287-298, March.
    8. Langevin, André & Mbaraga, Pontien & Campbell, James F., 1996. "Continuous approximation models in freight distribution: An overview," Transportation Research Part B: Methodological, Elsevier, vol. 30(3), pages 163-188, June.
    9. John G. Klincewicz & Hanan Luss, 1987. "A Dual-Based Algorithm for Multiproduct Uncapacitated Facility Location," Transportation Science, INFORMS, vol. 21(3), pages 198-206, August.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Jing Yao & Alan T. Murray, 2014. "Serving regional demand in facility location," Papers in Regional Science, Wiley Blackwell, vol. 93(3), pages 643-662, August.
    2. Ansari, Sina & Başdere, Mehmet & Li, Xiaopeng & Ouyang, Yanfeng & Smilowitz, Karen, 2018. "Advancements in continuous approximation models for logistics and transportation systems: 1996–2016," Transportation Research Part B: Methodological, Elsevier, vol. 107(C), pages 229-252.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Dasci, Abdullah & Verter, Vedat, 2001. "A continuous model for production-distribution system design," European Journal of Operational Research, Elsevier, vol. 129(2), pages 287-298, March.
    2. Anna Franceschetti & Ola Jabali & Gilbert Laporte, 2017. "Continuous approximation models in freight distribution management," TOP: An Official Journal of the Spanish Society of Statistics and Operations Research, Springer;Sociedad de Estadística e Investigación Operativa, vol. 25(3), pages 413-433, October.
    3. Ansari, Sina & Başdere, Mehmet & Li, Xiaopeng & Ouyang, Yanfeng & Smilowitz, Karen, 2018. "Advancements in continuous approximation models for logistics and transportation systems: 1996–2016," Transportation Research Part B: Methodological, Elsevier, vol. 107(C), pages 229-252.
    4. Bouchery, Yann & Woxenius, Johan & Fransoo, Jan C., 2020. "Identifying the market areas of port-centric logistics and hinterland intermodal transportation," European Journal of Operational Research, Elsevier, vol. 285(2), pages 599-611.
    5. Michael K. Lim & Achal Bassamboo & Sunil Chopra & Mark S. Daskin, 2013. "Facility Location Decisions with Random Disruptions and Imperfect Estimation," Manufacturing & Service Operations Management, INFORMS, vol. 15(2), pages 239-249, May.
    6. Geunes, Joseph & Shen, Zuo-Jun Max & Emir, Akin, 2007. "Planning and approximation models for delivery route based services with price-sensitive demands," European Journal of Operational Research, Elsevier, vol. 183(1), pages 460-471, November.
    7. Verter, Vedat & Dasci, Abdullah, 2002. "The plant location and flexible technology acquisition problem," European Journal of Operational Research, Elsevier, vol. 136(2), pages 366-382, January.
    8. A Dasci & G Laporte, 2005. "An analytical approach to the facility location and capacity acquisition problem under demand uncertainty," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 56(4), pages 397-405, April.
    9. Yu-Chung Tsao & Qinhong Zhang & Tsung-Hui Chen, 2016. "Multi-item distribution network design problems under volume discount on transportation cost," International Journal of Production Research, Taylor & Francis Journals, vol. 54(2), pages 426-443, January.
    10. Tingting Cui & Yanfeng Ouyang & Zuo-Jun Max Shen, 2010. "Reliable Facility Location Design Under the Risk of Disruptions," Operations Research, INFORMS, vol. 58(4-part-1), pages 998-1011, August.
    11. H K Smith & G Laporte & P R Harper, 2009. "Locational analysis: highlights of growth to maturity," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 60(1), pages 140-148, May.
    12. Chowdhury, Sudipta & Emelogu, Adindu & Marufuzzaman, Mohammad & Nurre, Sarah G. & Bian, Linkan, 2017. "Drones for disaster response and relief operations: A continuous approximation model," International Journal of Production Economics, Elsevier, vol. 188(C), pages 167-184.
    13. Tsao, Yu-Chung & Lu, Jye-Chyi, 2012. "A supply chain network design considering transportation cost discounts," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 48(2), pages 401-414.
    14. Pujari, Nikhil A. & Hale, Trevor S. & Huq, Faizul, 2008. "A continuous approximation procedure for determining inventory distribution schemas within supply chains," European Journal of Operational Research, Elsevier, vol. 186(1), pages 405-422, April.
    15. Yu-Chung Tsao & Vu-Thuy Linh & Jye-Chyi Lu & Vincent Yu, 2018. "A supply chain network with product remanufacturing and carbon emission considerations: a two-phase design," Journal of Intelligent Manufacturing, Springer, vol. 29(3), pages 693-705, March.
    16. Jakubovskis, Aldis, 2017. "Flexible production resources and capacity utilization rates: A robust optimization perspective," International Journal of Production Economics, Elsevier, vol. 189(C), pages 77-85.
    17. Jakubovskis, Aldis, 2017. "Strategic facility location, capacity acquisition, and technology choice decisions under demand uncertainty: Robust vs. non-robust optimization approaches," European Journal of Operational Research, Elsevier, vol. 260(3), pages 1095-1104.
    18. Langevin, André & Mbaraga, Pontien & Campbell, James F., 1996. "Continuous approximation models in freight distribution: An overview," Transportation Research Part B: Methodological, Elsevier, vol. 30(3), pages 163-188, June.
    19. Max Shen, Zuo-Jun & Qi, Lian, 2007. "Incorporating inventory and routing costs in strategic location models," European Journal of Operational Research, Elsevier, vol. 179(2), pages 372-389, June.
    20. Tsao, Yu-Chung & Mangotra, Divya & Lu, Jye-Chyi & Dong, Ming, 2012. "A continuous approximation approach for the integrated facility-inventory allocation problem," European Journal of Operational Research, Elsevier, vol. 222(2), pages 216-228.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:annopr:v:136:y:2005:i:1:p:303-327:10.1007/s10479-005-2061-1. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.