Intended learning outcomes: Identify links among the features facility layout, orientation of product structure, and (order) batch size. Disclose links among the features product variety concept, production environment, and frequency of order repetition.
In some cases, there is a relationship among characteristic features, which can even be a positive correlation. For example, the feature facility layout is — according to Figure 4.4.5.1 — closely related to other features.
Fig. 4.4.5.1 Links among facility layout, orientation of product structure, and (order) batch size.[note 410]
The figure shows that, in a first approximation, the different values of the features in the same columns appear together. For example:
- Site production, job shop production, and single-item-oriented line production have a tendency to appear together with a convergent product structure and production or procurement of single items or small batches.
- High-volume line production and continuous production tend to appear together with a combination of convergent product structure on upper levels and divergent product structure on lower levels, or a fully divergent product structure, and with large-batch production or procurement, or with production without lots ("lotless") or procurement without lots.
Both observations also hold in the reverse direction. This means that in all the following figures in Section 4.5, we can replace the feature facility layout with one of the two features orientation of product structure and (order) batch size.
A further observation is that the product variety concept is — according to Figure 4.4.5.2 — closely related to other features:
Fig. 4.4.5.2 Links among the features product variety concept, production environment, and frequency of order repetition.
The figure shows that, in a first approximation, the different values of features in the same columns appear together. For example:
- Product variety concept versus production environment: A product variety concept according to customer specification (such as the manufacturing of plant facilities) means that part of the customer order has to run through design prior to procurement or production. This is the exact meaning of engineer-to-order. Product families with many variants are generally produced using raw materials (make-to-order). The variants in a product family concept with a restricted number of variants are normally produced during assembly (assemble-to-order). Standard products are stocked at the level of end products (make-to-stock).
- Product variety concept versus frequency of order repetition: Production / procurement without order repetition is generally typical for a product variety concept according to customer specification or for product families with multiple variants. Production / procurement with infrequent order repetition is found with product families. Production / procurement with frequent order repetition is the rule with individual or standard products and with a small number of variants.
On the basis of these observations, we can see that, in all following figures in Section 4.5, the feature product variety concept can be replaced with either of the two features production environment or frequency of production or procurement order repetition.
Continuation in next subsection (4.4.5b).
Course section 4.4: Subsections and their intended learning outcomes
4.4 Characteristic Features Relevant to Planning & Control in Supply Chains
Intended learning outcomes: Produce an overview on principle and validity of characteristics in planning & control. Explain six features in reference to customer, and item or product or product family, five features in reference to logistics and production resources, as well as seven features in reference to the production or procurement order. Describe important relationships between characteristic features of transcorporate logistics in supply chains.
4.4.1 Principle and Validity of Characteristics in Planning & Control
Intended learning outcomes: Describe the characteristic in planning & control in a supply chain. Explain the use of the results of the analysis.
4.4.2 Features in Reference to a Product: Depth and Orientation of the Product Structure, and VAT Analysis
Intended learning outcomes: Present important features and possible values referring to a product. Differentiate between a convergent product structure and a divergent product structure. Disclose the VA analysis within the VAT analysis.
4.4.2b Features in Reference to Customer and Product Family: Frequency of Customer Demand and Product Variety Concept
Intended learning outcomes: Present important features and possible values referring to the customer demand and the product variety concept. Differentiate between continuous demand and discontinuous demand. Explain the product variety concept. Disclose the T analysis within the VAT analysis and its relation to the product variety concept.
4.4.2c Features in Reference to an Item: Unit Cost and Transportability
Intended learning outcomes: Present important features and possible values referring to an item: unit cost and transportability.
4.4.3 Features in Reference to Logistics and Production Resources: Production Environment and Depth of the Product Structure in the Company
Intended learning outcomes: Present important features and their possible values in reference to logistics and production resources. Explain the production environment: make-to-stock, assemble-to-order, make-to-order, and engineer-to-order. Differentiate the depth of product structure in the company from the depth of the product structure within the total supply chain.
4.4.3b Features in Reference to Production Resources: Facility Layout, Flexible Capability, Flexible Workforce, and Flexible Capacity
Intended learning outcomes: Present important features and their possible values in reference to production resources. Describe fixed-position manufacturing, job shop production, as well as single-item-oriented, high-volume and continuous line production. Differentiate flexible capability (of the production equipment), flexible workforce, and flexible capacity.
4.4.4 Features in Reference to the Production or Procurement Order: Reason for Order Release, Frequency of Order Repetition, and Flexibility of the Order Due Date
Intended learning outcomes: Present important features and possible values in reference to production or procurement order. Differentiate between order release according to demand, prediction, and consumption. Differentiate between production (or procurement) without, with infrequent, and with frequent order repetition. Identify the feature flexibility of the order due date.
4.4.4b Features in Reference to the Production or Procurement Order: Blanket Order, Lot Size or Batch Size, Lot Traceability, Loops in the Order Structure
Intended learning outcomes: Present important features and possible values in reference to production or procurement order. Identify the features type of long-term order and blanket order. Explain the concepts of lot size, lot traceability, and loops in the order structure.
4.4.5 Relationship between Facility Layout, Orientation of Product Structure, and (Order) Batch Size, and between Product Variety Concept, Production Environment, and Frequency of Order Repetition
Intended learning outcomes: Identify links among the features facility layout, orientation of product structure, and (order) batch size. Disclose links among the features product variety concept, production environment, and frequency of order repetition.
4.4.5b Relationship between the Frequency of Customer Demand and the Frequency of Order Repetition
Intended learning outcomes: Explain why the features frequency of customer demand and frequency of order repetition do not necessarily need to correspond.
4.4.6 Features of Transcorporate Logistics in Supply Chains
Intended learning outcomes: Present important features, possible values, and increasing complexity of supply chain collaboration, of supply chain coordination, and of the configuration of the supply chain.