Browsing by Subject "Strategic planning"

Now showing 1 - 9 of 9

Open Access
Age-based vs. stock level control policies for a perishable inventory system
(2001) Tekin, E.; Gürler Ü.; Berk, E.
In this study, we investigate the impact of modified lotsize-reorder control policy for perishables which bases replenishment decisions on both the inventory level and the remaining lifetimes of items in stock. We derive the expressions for the key operating characteristics of a lost sales perishable inventory model, operating under the proposed age-based policy, and examine the sensitivity of the optimal policy parameters with respect to various system parameters. We compare the performance of the suggested policy to that of the classical (Q,r) type policy through a numerical study over a wide range of system parameters. Our findings indicate that the age-based policy is superior to the stock level policy for slow moving perishable inventory systems with high service levels.
Open Access
Analysis of reactive scheduling problems in a job shop environment
(Elsevier, 2000) Sabuncuoğlu, İ.; Bayız, M.
In this paper, we study the reactive scheduling problems in a stochastic manufacturing environment. Specifically, we test the several scheduling policies under machine breakdowns in a classical job shop system. In addition, we measure the effect of system size and type of work allocation (uniform and bottleneck) on the system performance. The performance of the system is measured for the mean tardiness and makespan criteria. We also investigate a partial scheduling scheme under both deterministic and stochastic environments for several system configurations.
Open Access
Assessment of strategy formulation: how to ensure quality in process and outcome
(Emerald Publishing, 2006) Acur, N.; Englyst, L.
Purpose - Today, industrial firms need to cope with competitive challenges related to innovation, dynamic responses, knowledge sharing, etc. by means of effective and dynamic strategy formulation. In light of these challenges, the purpose of the paper is to present and evaluate an assessment tool for strategy formulation processes that ensures high quality in process and outcome. Design/methodology/approach - A literature review was conducted to identify success criteria for strategy formulation processes. Then, a simple questionnaire and assessment tool was developed and used to test the validity of the success criteria through face-to-face interviews with 46 managers, workshops involving 40 managers, and two in-depth case studies. The success criteria have been slightly modified due to the empirical results, to yield the assessment tool. Findings - The resulting assessment tool integrates three generic approaches to strategy assessment, namely the goal-centred, comparative and improvement approaches, as found in the literature. Furthermore, it encompasses three phases of strategy formulation processes: strategic thinking, strategic planning and embedding of strategy. The tool reflects that the different approaches to assessment are relevant in all phases of strategy formulation, but weighted differently. Managerial perceptions expressed in particular that learning from experience should be accommodated in strategic thinking. The strategic planning stage is mainly assessed based on the goal-centred approach, but cases and managerial perceptions indicate that the need for accurate and detailed plans might be overrated in the literature, as implementation relies heavily on continuous improvement and empowerment. Concerning embedding, key aspects relate both to the goal-centred and improvement approaches, while the comparative approach appears to play a more modest role, related to monitoring external changes and enabling the organization to respond adaptively. Research limitations/implications - The proposed assessment tool is general in the sense that it does not take into account relationships between the strategic context and the assessment of strategy formulation processes. The investigated cases indicate that contingencies matter, and call for further investigation of particular applications. The present research maintained a focus on formal and relatively top-down-oriented strategy formulation processes. Practical implications - The integration of three different strategy assessment approaches has been made to obtain a holistic, multi-perspective reflection on strategy formulation. Such reflection is assumed to enable managers to proactively evaluate the potential outcome and performance of their chosen strategy. Originality/value - The originality of the paper lies in the combination and compilation of multiple approaches to strategy assessment, which draws on a wide range of literature, and in the proactive perspective on strategy assessment. Furthermore, the validity of the proposed assessment tool or checklist is based on multiple sources of empirical evidence.
Open Access
Concurrent consideration of product design, process planning and production planning activities
(1998) Adil, Gajendra Kumar
In manufacturing engineering, product design, process planning and production planning activities are often considered independently. However, in order to effectively respond to changes in business situations, such as changes in demand forecast, product mix and technology, it is desirable to consider them concurrently. For this purpose, a large-scale linear programming model has been developed. The model considers minimization of the sum of processing cost, late shipment cost and inventory holding cost as the objective, and concurrently selects product designs, and generates process plans and production plans. The number of columns in the formulation can be large and, hence, an efficient column generation scheme is developed to solve the model. The model and solution procedure are illustrated with examples.
Open Access
How elephants learn the new dance when headquarters changes the music: three case studies on innovation strategy change
(Wiley-Blackwell Publishing, 2008) Durmuşoğlu, S. S.; McNally, R. C.; Calantone, R. J.; Harmancioglu, N.
Does a product innovation strategy change at company headquarters resonate the same way at different strategic business units (SBUs)? What factors play a role in differing implementation of new innovation strategies? A collective case study was conducted at three SBUs of an international conglomerate to investigate why the SBUs implement the same corporate innovation charter in vastly different manners, both in strategic processes and in organizing for new product development (NPD). This study's contribution to the literature is twofold. First, it develops initial insights into how three SBUs implement diverse SBU-level innovation strategies in response to the same product innovation charter. Second, it extends the findings of previous studies on NPD strategy by presenting how three SBUs reshape their structure and resource allocation, changing various dimensions of their innovation strategy while also fitting the competitive structure in their individual, non-high-tech, traditional manufacturing industries as they respond to the corporate mandate. In this study, several factors were observed to influence a firm when formulating a new product innovation strategy. First, past performance and strategic typology constrain the innovation paths available. Poor past performance limits available resources whereas the strategic typology managers use limits their ability to recognize other opportunities. Next, capacity constraints provide a catalyst in moving toward process improvements. Third, management involvement in the day-to-day implementation of change is necessary to ensure that the new processes are implemented. Finally, corporate performance metrics are quite influential in how SBUs adapt to change. This study identifies that even with the immense power corporate has over these SBUs, some still dance to their own tune, ignorant of their deviation from the corporate mandate because the metric is not sufficient to detect these deviations. This study suggests the use of multiple types of metrics to minimize the likelihood of nearsighted responses to innovation charter changes.
Open Access
Match-up scheduling under a machine breakdown
(Elsevier, 1999) Aktürk, M. S.; Görgülü, E.
When a machine breakdown forces a modified flow shop (MFS) out of the prescribed state, the proposed strategy reschedules part of the initial schedule to match up with the preschedule at some point. The objective is to create a new schedule that is consistent with the other production planning decisions like material flow, tooling and purchasing by utilizing the time critical decision making concept. We propose a new rescheduling strategy and a match-up point determination procedure through a feedback mechanism to increase both the schedule quality and stability. The proposed approach is compared with alternative reactive scheduling methods under different experimental settings. © 1999 Elsevier Science B.V. All rights reserved.
Embargo
Multi-plant manufacturing assortment planning in the presence of transshipments
(Elsevier BV, 2023-05-31) Dolgan, Nagihan Çömez; Dağ, Hilal; Ünver, Nilgün Fescioğlu; Şen, Alper
In this study, we consider the assortment planning problem of a manufacturing firm with multiple plants. Making a plant capable of producing a product is costly, therefore the firm cannot manufacture every product in every plant. In case a customer’s order in a particular region is not available in the closest plant, another plant can ship the product using transshipment, but at an extra transportation cost. If a demanded product is not produced in any plant, substitution from first choice to a second choice is also considered, which can be either satisfied by the closest plant, or by transshipment. The problem is to jointly determine assortments in all plants such that total profit after assortment and transshipment costs is maximized. The resulting problem is complex as transshipments and substitutions are intertwined to affect assortment decisions. We show that the optimal assortments are nested, i.e., the assortment of a plant with a smaller market share is a subset of the assortment of a plant with a larger share. The common assortment of all locations is shown to be in the popular set (i.e., no leapfrogging in product popularities), and a sufficient condition on substitution rate is derived for each individual assortment to be in the popular set. We conduct an extensive numerical study to understand the effects of allowing transshipments on resulting assortments. Moreover, we introduce approximate assortment planning algorithms that benefit from the derived structural properties, which are shown to generate near-optimal assortments in a broad range of instances tested.
Open Access
New product success: is it really controllable by managers in highly turbulent environments?
(Wiley-Blackwell Publishing, 2008) Droge, C.; Calantone, R.; Harmancioglu, N.
This research proposes and tests a model of direct and indirect effects linking four antecedents to new product success: (1) a proactive strategic orientation along with enabling (2) organic organizational structures should lead to more (3) innovativeness and (4) market intelligence. Innovativeness and market intelligence should in turn lead to greater new product success. The relationships among the four antecedents are not hypothesized to be moderated by environmental turbulence because their domain is intraorganizational. However, the relationships from intraorganizational constructs to new product success are hypothesized to be moderated by environmental turbulence because success depends in part on the environment in which the new product must compete. The model was tested using a sample composed of 202 small business units of manufacturers on the Fortune 500. The sample was heavily involved in new product development: Their average annual research and development budget was $360.4 million, and approximately 8.2% of sales came from products introduced in the last five years. A two-group structural equation model analysis supports the moderation model overall and reveals the pattern of direct, indirect, and total effects. The results show that innovativeness (but not market intelligence) directly predicts new product success when turbulence is high, whereas market intelligence (but not innovativeness) directly engenders new product success in low turbulence. Environmental turbulence also affects the total indirect impact of strategy proactiveness and organizational organicity on new product success. These indirect effects operate through innovativeness and market intelligence as complete mediators.
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Tacit coordination games, strategic uncertainty, and coordination failure
(1990) Van Huyck, John B.