Optimization of physical distribution problem in logistics management

Physical distribution plays an imporant role in contemporary logistics management. Both satisfaction level of of customer and competitiveness of company can be enhanced if the distribution problem is solved optimally. The multi-depot vehicle routing problem (MDVRP) belongs to a practical logistics distribution problem, which consists of three critical issues: customer assignment, customer routing, and vehicle sequencing. According to the literatures, the solution approaches for the MDVRP are not satisfactory because some unrealistic assumptions were made on the first sub-problem of the MDVRP, ot the customer assignment problem. To refine the approaches, the focus of this paper is confined to this problem only. This paper formulates the customer assignment problem as a minimax-type integer linear programming model with the objective of minimizing the cycle time of the depots where setup times are explicitly considered. Since the model is proven to be MP-complete, a genetic algorithm is developed for solving the problem. The efficiency and effectiveness of the genetic algorithm are illustrated by a numerical example.

A solution for information management in logistics operations of modern manufacturing chains

One dominant feature of the modern manufacturing chains is the movement of goods. Manufacturing companies would remain an unprofitable investment if the supplies/logistics of raw materials, semi-finished products or final goods are not handled in an effective way. Both levels of a modern manufacturing chain-actual production and logistics-are characterized by continuous data creation at a much faster rate than they can be meaningfully analyzed and acted upon manually. Often, instant and reliable decisions need to be taken based on huge, previously inconceivable amounts of heterogeneous, contradictory or incomplete data. The paper will highlight aspects of information flows related to business process data visibility and observability in modern manufacturing networks. An information management platform developed in the framework of the EU FP7 project ADVANCE will be presented.

Engineering education research - the UK perspective at a time of change

Engineering education in the United Kingdom is at the point of embarking upon an interesting journey into uncharted waters. At no point in the past have there been so many drivers for change and so many opportunities for the development of engineering pedagogy. This paper will look at how Engineering Education Research (EER) has developed within the UK and what differentiates it from the many small scale practitioner interventions, perhaps without a clear research question or with little evaluation, which are presented at numerous staff development sessions, workshops and conferences. From this position some examples of current projects will be described, outcomes of funding opportunities will be summarised and the benefits of collaboration with other disciplines illustrated. In this study, I will account for how the design of task structure according to variation theory, as well as the probe-ware technology, make the laws of force and motion visible and learnable and, especially, in the lab studied make Newton's third law visible and learnable. I will also, as a comparison, include data from a mechanics lab that use the same probe-ware technology and deal with the same topics in mechanics, but uses a differently designed task structure. I will argue that the lower achievements on the FMCE-test in this latter case can be attributed to these differences in task structure in the lab instructions. According to my analysis, the necessary pattern of variation is not included in the design. I will also present a microanalysis of 15 hours collected from engineering students' activities in a lab about impulse and collisions based on video recordings of student's activities in a lab about impulse and collisions. The important object of learning in this lab is the development of an understanding of Newton's third law. The approach analysing students interaction using video data is inspired by ethnomethodology and conversation analysis, i.e. I will focus on students practical, contingent and embodied inquiry in the setting of the lab. I argue that my result corroborates variation theory and show this theory can be used as a 'tool' for designing labs as well as for analysing labs and lab instructions. Thus my results have implications outside the domain of this study and have implications for understanding critical features for student learning in labs. Engineering higher education is well used to change. As technology develops the abilities expected by employers of graduates expand, yet our understanding of how to make informed decisions about learning and teaching strategies does not without a conscious effort to do so. With the numerous demands of academic life, we often fail to acknowledge our incomplete understanding of how our students learn within our discipline. The journey facing engineering education in the UK is being driven by two classes of driver. Firstly there are those which we have been working to expand our understanding of, such as retention and employability, and secondly the new challenges such as substantial changes to funding systems allied with an increase in student expectations. Only through continued research can priorities be identified, addressed and a coherent and strong voice for informed change be heard within the wider engineering education community. This new position makes it even more important that through EER we acquire the knowledge and understanding needed to make informed decisions regarding approaches to teaching, curriculum design and measures to promote effective student learning. This then raises the question 'how does EER function within a diverse academic community?' Within an existing community of academics interested in taking meaningful steps towards understanding the ongoing challenges of engineering education a Special Interest Group (SIG) has formed in the UK. The formation of this group has itself been part of the rapidly changing environment through its facilitation by the Higher Education Academy's Engineering Subject Centre, an entity which through the Academy's current restructuring will no longer exist as a discrete Centre dedicated to supporting engineering academics. The aims of this group, the activities it is currently undertaking and how it expects to network and collaborate with the global EER community will be reported in this paper. This will include explanation of how the group has identified barriers to the progress of EER and how it is seeking, through a series of activities, to facilitate recognition and growth of EER both within the UK and with our valued international colleagues.

Acceptability of Lean Six Sigma in a developing economy:results from exploratory research in Nigerian consulting companies

The application of Lean Six Sigma (LSS) varies in different regions of the world in terms of both level of understanding and acceptability. Employing a qualitative methodological approach, this paper aims to explore factors hindering the acceptability of the LSS initiative in organizations and list factors required for successful application and implementation in a developing economy from the perspective of LSS consultants. Using Nigeria as a case study, primary data were collected though a number of semi-structured interviews with representatives of leading continuous improvement consultancy firms in Nigeria. Finding draws out links between major factors such as drivers and motivation, LSS performance, marketability and challenges to the acceptability and applicability of LSS in Nigeria. Further findings highlight major factors such as lack of management buy-in, level of awareness, certification driven market, Nigerian environment and culture, etc as problems that hinder successful implementation of LSS in Nigeria. This paper contributes to the theoretical foundation of critical success factors required for the implementation of Lean Six Sigma, with results from the experience of a developing economy.

Examining green production and its role within the competitve strategy of manufacturers

Purpose: This paper reviews current literature and contributes a set of findings that capture the current state-of-the-art of the topic of green production. Design/methodology/approach: A literature review to capture, classify and summarize the main body of knowledge on green production and, translate this into a form that is readily accessible to researchers and practitioners in the more mainstream operations management community. Findings: The existing knowledge base is somewhat fragmented. This is a relatively unexplored topic within mainstream operations management research and one which could provide rich opportunities for further exploration. Originality/value: This paper sets out to review current literature, from a more conventional production operations perspective, and contributes a set of findings that capture the current state-of-the-art of this topic.

Uses of frontier efficiency methodologies and multi-criteria decision making for performance measurement in the energy sector

Guest editorial Ali Emrouznejad is a Senior Lecturer at the Aston Business School in Birmingham, UK. His areas of research interest include performance measurement and management, efficiency and productivity analysis as well as data mining. He has published widely in various international journals. He is an Associate Editor of IMA Journal of Management Mathematics and Guest Editor to several special issues of journals including Journal of Operational Research Society, Annals of Operations Research, Journal of Medical Systems, and International Journal of Energy Management Sector. He is in the editorial board of several international journals and co-founder of Performance Improvement Management Software. William Ho is a Senior Lecturer at the Aston University Business School. Before joining Aston in 2005, he had worked as a Research Associate in the Department of Industrial and Systems Engineering at the Hong Kong Polytechnic University. His research interests include supply chain management, production and operations management, and operations research. He has published extensively in various international journals like Computers & Operations Research, Engineering Applications of Artificial Intelligence, European Journal of Operational Research, Expert Systems with Applications, International Journal of Production Economics, International Journal of Production Research, Supply Chain Management: An International Journal, and so on. His first authored book was published in 2006. He is an Editorial Board member of the International Journal of Advanced Manufacturing Technology and an Associate Editor of the OR Insight Journal. Currently, he is a Scholar of the Advanced Institute of Management Research. Uses of frontier efficiency methodologies and multi-criteria decision making for performance measurement in the energy sector This special issue aims to focus on holistic, applied research on performance measurement in energy sector management and for publication of relevant applied research to bridge the gap between industry and academia. After a rigorous refereeing process, seven papers were included in this special issue. The volume opens with five data envelopment analysis (DEA)-based papers. Wu et al. apply the DEA-based Malmquist index to evaluate the changes in relative efficiency and the total factor productivity of coal-fired electricity generation of 30 Chinese administrative regions from 1999 to 2007. Factors considered in the model include fuel consumption, labor, capital, sulphur dioxide emissions, and electricity generated. The authors reveal that the east provinces were relatively and technically more efficient, whereas the west provinces had the highest growth rate in the period studied. Ioannis E. Tsolas applies the DEA approach to assess the performance of Greek fossil fuel-fired power stations taking undesirable outputs into consideration, such as carbon dioxide and sulphur dioxide emissions. In addition, the bootstrapping approach is deployed to address the uncertainty surrounding DEA point estimates, and provide bias-corrected estimations and confidence intervals for the point estimates. The author revealed from the sample that the non-lignite-fired stations are on an average more efficient than the lignite-fired stations. Maethee Mekaroonreung and Andrew L. Johnson compare the relative performance of three DEA-based measures, which estimate production frontiers and evaluate the relative efficiency of 113 US petroleum refineries while considering undesirable outputs. Three inputs (capital, energy consumption, and crude oil consumption), two desirable outputs (gasoline and distillate generation), and an undesirable output (toxic release) are considered in the DEA models. The authors discover that refineries in the Rocky Mountain region performed the best, and about 60 percent of oil refineries in the sample could improve their efficiencies further. H. Omrani, A. Azadeh, S. F. Ghaderi, and S. Abdollahzadeh presented an integrated approach, combining DEA, corrected ordinary least squares (COLS), and principal component analysis (PCA) methods, to calculate the relative efficiency scores of 26 Iranian electricity distribution units from 2003 to 2006. Specifically, both DEA and COLS are used to check three internal consistency conditions, whereas PCA is used to verify and validate the final ranking results of either DEA (consistency) or DEA-COLS (non-consistency). Three inputs (network length, transformer capacity, and number of employees) and two outputs (number of customers and total electricity sales) are considered in the model. Virendra Ajodhia applied three DEA-based models to evaluate the relative performance of 20 electricity distribution firms from the UK and the Netherlands. The first model is a traditional DEA model for analyzing cost-only efficiency. The second model includes (inverse) quality by modelling total customer minutes lost as an input data. The third model is based on the idea of using total social costs, including the firm’s private costs and the interruption costs incurred by consumers, as an input. Both energy-delivered and number of consumers are treated as the outputs in the models. After five DEA papers, Stelios Grafakos, Alexandros Flamos, Vlasis Oikonomou, and D. Zevgolis presented a multiple criteria analysis weighting approach to evaluate the energy and climate policy. The proposed approach is akin to the analytic hierarchy process, which consists of pairwise comparisons, consistency verification, and criteria prioritization. In the approach, stakeholders and experts in the energy policy field are incorporated in the evaluation process by providing an interactive mean with verbal, numerical, and visual representation of their preferences. A total of 14 evaluation criteria were considered and classified into four objectives, such as climate change mitigation, energy effectiveness, socioeconomic, and competitiveness and technology. Finally, Borge Hess applied the stochastic frontier analysis approach to analyze the impact of various business strategies, including acquisition, holding structures, and joint ventures, on a firm’s efficiency within a sample of 47 natural gas transmission pipelines in the USA from 1996 to 2005. The author finds that there were no significant changes in the firm’s efficiency by an acquisition, and there is a weak evidence for efficiency improvements caused by the new shareholder. Besides, the author discovers that parent companies appear not to influence a subsidiary’s efficiency positively. In addition, the analysis shows a negative impact of a joint venture on technical efficiency of the pipeline company. To conclude, we are grateful to all the authors for their contribution, and all the reviewers for their constructive comments, which made this special issue possible. We hope that this issue would contribute significantly to performance improvement of the energy sector.

What really matters in international operations?

Despite having generated a growing body of literature the subject of international operations is only vaguely defined and lacks any common and accepted frameworks. The aim of this paper is to introduce some clarity into the arena by examining international operations from the perspective of the body of research, the content of some seminal texts, and the practical considerations of firms that have set up and are managing operations in foreign countries. Research output in International Operations is analysed using a model, the dimensions of which have been identified from the core literature and cases of industrial companies. The analysis highlights the range of problems and issues that have been of interest to the community involved in International Operations research and teaching.

Theoretical perspectives in operations management:an analysis of the literature

Purpose - It is important to advance operations management (OM) knowledge while being mindful of the theoretical developments of the discipline. The purpose of this paper is to explore which theoretical perspectives have dominated the OM field. This analysis allows the authors to identify theory trends and gaps in the literature and to identify fruitful areas for future research. A reflection on theory is also practical, given that it guides research toward important questions and enlightens OM practitioners. Design/methodology/approach - The authors provide an analysis of OM theory developments in the last 30 years. The study encompasses three decades of OM publications across three OM journals and contains an analysis of over 3,000 articles so as to identify which theories, over time, have been adopted by authors in order to understand OM topics. Findings - The authors find that the majority of studies are atheoretical, empirical, and focussed upon theory testing rather than on theory development. Some theories, such as the resource-based view and contingency theory, have an enduring relevance within OM. The authors also identify theories from psychology, economics, sociology, and organizational behavior that may, in the future, have salience to explain burgeoning OM research areas such as servitization and sustainability. Research limitations/implications - The study makes a novel contribution by exploring which main theories have been adopted or developed in OM, doing so by systematically analyzing articles from the three main journals in the field (the Journal of Operations Management, Production and Operations Management, and the International Journal of Operations and Production Management), which encompass three decades of OM publications. In order to focus the study, the authors may have missed important OM articles in other journals. Practical implications - A reflection on theories is important because theories inform how a researcher or practicing manager interprets and solves OM problems. This study allows the authors to reflect on the collective OM journey to date, to spot trends and gaps in the literature, and to identify fruitful areas for future research. Originality/value - As far as the authors are aware, there has not been an assessment of the main theoretical perspectives in OM. The research also identifies which topics are published in OM journals, and which theories are adopted to investigate them. The authors also reflect on whether the most cited papers and those winning best paper awards are theoretical. This gives the authors a richer understanding of the current state of OM research.

Project risk management in analytic framework

Risks and uncertainties are part and parcel of any project as projects are planned with many assumptions. Therefore, managing those risks is the key to project success. Although risk is present in all most all projects, large-scale construction projects are most vulnerable. Risk is by nature subjective. However, managing risk subjectively posses the danger of non-achievement of project goals. This study introduces an analytical framework for managing risk in projects. All the risk factors are identified, their effects are analyzed, and alternative responses are derived with cost implication for mitigating the identified risks. A decision-making framework is then formulated using decision tree. The expected monetary values are derived for each alternative. The responses, which require least cost is selected. The entire methodology has been explained through a case study of an oil pipeline project in India and its effectiveness in managing projects has been demonstrated. © INTERNATIONAL JOURNAL OF INDUSTRIAL ENGINEERING.

Towards an operations strategy for product-centric servitization

Purpose – This paper aims to present a framework that will help manufacturing firms to configure their internal production and support operations to enable effective and efficient delivery of products and their closely associated services. Design/methodology/approach – First, the key definitions and literature sources directly associated with servitization of manufacturing are established. Then, a theoretical framework that categorises the key characteristics of a manufacturer's operations strategy is developed and this is populated using both evidence from the extant literature and empirical data. Findings – The framework captures a set of operations principles, structures and processes that can guide a manufacturer in the delivery of product-centric servitized offering. These are illustrated and contrasted against operations that deliver purely product (production operations) and those which deliver purely services (services operations). Research limitations/implications – The work is based on a review of the literature supported by data collected from an exploratory case study. Whilst it provides an essential platform, further research will be needed to validate the framework. Originality/value – The principal contribution of this paper is a framework that captures the key characteristics of operations for product-centric servitized manufacture.

The servitization of manufacturing:a systematic literature review of interdependent trends

Purpose: The servitization of manufacturing is a diverse and complex field of research interest. The purpose of this paper is to provide an integrative and organising lens for viewing the various contributions to knowledge production from those research communities addressing servitization. To achieve this, the paper aims to set out to address two principal questions, namely where are the knowledge stocks and flows amongst the research communities? And what are generic research concerns being addressed by these communities? Design/methodology/approach: Using an evidenced-based approach, the authors have performed a systematic review of the research literature associated with the servitization of manufacturing. This investigation incorporates a descriptive and thematic analysis of 148 academic and scholarly papers from 103 different lead authors in 68 international peer-reviewed journals. Findings: The work proposes support for the existence of distinct researcher communities, namely services marketing, service management, operations management, product-service systems and service science management and engineering, which are contributing to knowledge production in the servitization of manufacturing. Knowledge stocks within all communities associated with research in the servitization of manufacturing have dramatically increased since the mid-1990s. The trends clearly reveal that the operations community is in receipt of the majority of citations relating to the servitization of manufacturing. In terms of knowledge flows, it is apparent that the more mature communities are drawing on more locally produced knowledge stocks, whereas the emergent communities are drawing on a knowledge base more evenly distributed across all the communities. The results are indicative of varying degrees of interdependency amongst the communities. The generic research concerns being addressed within the communities are associated with the concepts of product-service differentiation, competitive strategy, customer value, customer relationships and product-service configuration. Originality/value: This research has further developed and articulated the identities of distinct researcher communities actively contributing to knowledge production in the servitization of manufacturing, and to what extent they are pursuing common research agendas. This study provides an improved descriptive and thematic awareness of the resulting body of knowledge, allowing the field of servitization to progress in a more informed and multidisciplinary fashion. © Emerald Group Publishing Limited.

Research on reliability evaluation of reconfigurable manufacturing system

It is a crucial task to evaluate the reliability of manufacturing process in product development process. Process reliability is a measurement of production ability of reconfigurable manufacturing system (RMS), which serves as an integrated performance indicator of the production process under specified technical constraints, including time, cost and quality. An integration framework of manufacturing process reliability evaluation is presented together with product development process. A mathematical model and algorithm based on universal generating function (UGF) is developed for calculating the reliability of manufacturing process with respect to task intensity and process capacity, which are both independent random variables. The rework strategies of RMS are analyzed under different task intensity based on process reliability is presented, and the optimization of rework strategies based on process reliability is discussed afterwards.

A value-oriented model for managing service supply chains

Service supply chain (SSC) has attracted more and more attention from academia and industry. Although there exists extensive product-based supply chain management models and methods, they are not applicable to the SSC as the differences between service and product. Besides, the existing supply chain management models and methods possess some common deficiencies. Because of the above reasons, this paper develops a novel value-oriented model for the management of SSC using the modeling methods of E3-value and Use Case Maps (UCMs). This model can not only resolve the problems of applicability and effectiveness of the existing supply chain management models and methods, but also answer the questions of ‘why the management model is this?’ and ‘how to quantify the potential profitability of the supply chains?’. Meanwhile, the service business processes of SSC system can be established using its logic procedure. In addition, the model can also determine the value and benefits distribution of the entire service value chain and optimize the operations management performance of the service supply.

Sales resource management training:a guide to developing effective salespeople

This paper adopts a sales resource management (SRM) framework to provide guidance on how to develop effective salespeople via sales training. SRM can be used to identify the individual training needs based on the individual-based modelling data. The individual-based modelling data can also be used to evaluate the outcome of sales training. This paper also gives some suggestions on the forms of sales training which are most likely to develop effective salespeople. © 2010 IEEE.