Modelling the effect of product variations on the design of Economy of Scope Manufacturing Systems

Abstract

The nature of ‘Economy of Scope and Scale (EoSS) manufacturing systems’ is described and their concepts are positioned relative to other state-of-the-art manufacturing theories. This shows a need to consider and define aspects of product dynamics that arise within the business environments in which manufacturing systems must operate. The discussion highlights a need to reprogramme and/or reconfigure manufacturing systems; and these concepts are considered in the light of implementing Economy of Scope philosophy. Also described are three generic cases of manufacturing system configuration; two of which can realise Economies of Scope. Discussion about those cases is linked to ideas on reprogramming and reconfiguration. The paper also introduces a new structured approach to designing and changing EoSS manufacturing systems. The approach is based on a coherent use of Enterprise and Simulation Modelling techniques, which facilitates understanding, analysis and prediction about characteristic and specific behaviours and performances of different manufacturing system cases. The authors believe that this modelling approach can be deployed in most manufacturing enterprises (MEs). To illustrate this point manufacturing systems used by a case study company are modelled in a systematic way. This cuts through complexity inherent in EoSS manufacturing systems, and uses key performance indicators (KPIs) to quantify business impacts of multi-product realisation when using a common manufacturing system. Case study results also illustrate how the modelling approach can systemise and inform decisions made about employing alternative choices of manufacturing paradigm.