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Cost impact analysis of rush orders using line simulations

Moix, Júlia LU (2013) MTT920 20131
Packaging Logistics
Abstract
PURPOSE -The purpose of this thesis is two folded. The first purpose is to propose, define and validate a process for Tetra Pak to evaluate the cost impact of a rush order using simulation. The second purpose is to conduct some analysis to understand the impact different kinds of rush orders’ scenarios have, by analysing the costs that they entail in the Arganda factory.
DESIGN/APPROACH -To provide information on how to insert a rush order so that the impact is minimum, a good understanding of the converting line machines set-ups, of the block production strategy, and of the planner procedures, is required. A process has been defined to be able to run the simulation model once the rush order has been inserted, so that its impacts can be... (More)
PURPOSE -The purpose of this thesis is two folded. The first purpose is to propose, define and validate a process for Tetra Pak to evaluate the cost impact of a rush order using simulation. The second purpose is to conduct some analysis to understand the impact different kinds of rush orders’ scenarios have, by analysing the costs that they entail in the Arganda factory.
DESIGN/APPROACH -To provide information on how to insert a rush order so that the impact is minimum, a good understanding of the converting line machines set-ups, of the block production strategy, and of the planner procedures, is required. A process has been defined to be able to run the simulation model once the rush order has been inserted, so that its impacts can be evaluated.
VALUE -The process provided in this thesis will allow managers in Arganda evaluate the cost impact that inserting a rush order entails. Also, the report will inform them about how much money are the rush orders currently entailing. Besides, this project is valuable for the VE Dept. since it continuous proving the value of simulation capabilities. Finally the report includes a wide description of the converting line, what can become useful documentation to keep modelling factories.
LIMITATIONS -The scope of this project is limited to one of the company’s factories, which is the one in Arganda (Spain).
FINDINGS -The proposed evaluation process succeeds on providing a cost assessment report about the impact the insertion of a rush order has. The way a rush order is inserted in the planning definitely makes an impact on efficiency and cost. A good understanding of the blocks’ specifications is essential to minimize these impacts. The impacts can be translated into costs for the factory. (Less)
Please use this url to cite or link to this publication:
author
Moix, Júlia LU
supervisor
organization
alternative title
Kostnadsanalys för snabborder genom händelsestyrd simulering
course
MTT920 20131
year
type
H2 - Master's Degree (Two Years)
subject
keywords
Rush orders, production planning, production blocks, converting line, set-up, waste
other publication id
LUTMDN/TMFL-13/5108-SE
language
English
id
3879104
date added to LUP
2013-06-25 09:46:00
date last changed
2013-06-25 09:46:00
@misc{3879104,
  abstract     = {PURPOSE -The purpose of this thesis is two folded. The first purpose is to propose, define and validate a process for Tetra Pak to evaluate the cost impact of a rush order using simulation. The second purpose is to conduct some analysis to understand the impact different kinds of rush orders’ scenarios have, by analysing the costs that they entail in the Arganda factory.
DESIGN/APPROACH -To provide information on how to insert a rush order so that the impact is minimum, a good understanding of the converting line machines set-ups, of the block production strategy, and of the planner procedures, is required. A process has been defined to be able to run the simulation model once the rush order has been inserted, so that its impacts can be evaluated.
VALUE -The process provided in this thesis will allow managers in Arganda evaluate the cost impact that inserting a rush order entails. Also, the report will inform them about how much money are the rush orders currently entailing. Besides, this project is valuable for the VE Dept. since it continuous proving the value of simulation capabilities. Finally the report includes a wide description of the converting line, what can become useful documentation to keep modelling factories.
LIMITATIONS -The scope of this project is limited to one of the company’s factories, which is the one in Arganda (Spain).
FINDINGS -The proposed evaluation process succeeds on providing a cost assessment report about the impact the insertion of a rush order has. The way a rush order is inserted in the planning definitely makes an impact on efficiency and cost. A good understanding of the blocks’ specifications is essential to minimize these impacts. The impacts can be translated into costs for the factory.},
  author       = {Moix, Júlia},
  keyword      = {Rush orders,production planning,production blocks,converting line,set-up,waste},
  language     = {eng},
  note         = {Student Paper},
  title        = {Cost impact analysis of rush orders using line simulations},
  year         = {2013},
}