Abstract

This paper presents a mathematical programming model for dynamic cell formation to minimize changeover-related costs (i.e., machine relocation costs and machine setup cost) and inter-cell material handling cost to cope with the volatile production environments in apparel manufacturing industry. The model is formulated through findings of a comprehensive literature review. Developed model is validated based on data collected from three different factories in apparel industry, manufacturing fast fashion products. A program code is developed using Lingo 16.0 software package to generate optimal cells for developed model and to determine the possible cost-saving percentage when the existing layouts used in three factories are replaced by generated optimal cells. The optimal cells generated by developed mathematical model result in significant cost saving when compared with existing product layouts used in production/assembly department of selected factories in apparel industry. The developed model can be considered as effective in minimizing the considered cost terms in dynamic production environment of fast fashion apparel manufacturing industry. Findings of this paper can be used for further researches on minimizing the changeover-related costs in fast fashion apparel production stage.

Highlights

  • Fast fashion apparels are highly fashionable products with affordable prices in the mid-to-low range, which demands for quick response and frequent assortment changes (Vecchi and Buckley 2016; Elavia 2014; Caro and Martınez-de-Albeniz 2015; Cachon and Swinney 2011)

  • In order to remain competitive in dynamic market conditions of fast fashion apparel industry, the apparel manufacturers are under immense pressure to achieve high degree of manufacturing flexibility (Caro and Martınez-deAlbeniz 2015; Jovanovic et al 2014)

  • This paper presents a mathematical programming model developed for the Dynamic Cell Formation (DCF) that aims to generate optimal cells that can minimize the costs of machine relocation, machine setup and inter-cell material handling of production environment with machine reliability issues in a labor-intensive apparel manufacturing industry under volatile demand conditions of fast fashion apparels

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Summary

Introduction

Fast fashion apparels are highly fashionable products with affordable prices in the mid-to-low range, which demands for quick response and frequent assortment changes (Vecchi and Buckley 2016; Elavia 2014; Caro and Martınez-de-Albeniz 2015; Cachon and Swinney 2011). Incorporating flexible layouts that can accommodate dynamic production environments while ensuring minimum manufacturing cost is vital to be competitive in Journal of Industrial Engineering International (2019) 15:1–16 volatile market conditions (De Carlo et al 2013; Hamedi et al 2012). Several authors have stated that dynamic cellular layouts show promising results in minimizing changeover times of industries with volatile demand conditions (Bayram and Sahin 2016; Dalfard 2013; Asgharpour and Javadian; 2004). This paper presents a mathematical programming model developed for the Dynamic Cell Formation (DCF) that aims to generate optimal cells that can minimize the costs of machine relocation, machine setup and inter-cell material handling of production environment with machine reliability issues in a labor-intensive apparel manufacturing industry under volatile demand conditions of fast fashion apparels. Numerical results of developed model show that dynamic cellular layouts lead to significant cost saving when it is applied to volatile production environments that are currently using product layout

Literature review
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Results and discussion
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