Managing Quality and Delivery Reliability of Suppliers by Using Incentives and Simulation Models
:
Patrick Neise
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Managing Quality and Delivery Reliability of Suppliers by Using Incentives and Simulation Models
:
Herbert Utz Verlag
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9783831608782
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1
:
CHF 31.00
:
:
Management
:
English
:
227
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DRM
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PC/MAC/eReader/Tablet
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PDF
The environment of today`s production enterprises is characterized by shortened product life cycles, a rapidly growing number of products and variants, and fast technological advancements.
The resulting complexity in production has led manufacturing companies of various industries towards a continuous reduction in the amount of in-house value creation . Components, subassembly groups, or even entire products are increasingly provided by suppliers. As a consequence, vendors are seeking identical actions, which has led to complex networks or supply chains. Thus, many researchers emphasize competition between supply chains rather than rivalry among individual firms. This leads to strong interdependencies, as the capabilities of suppliers significantly determine the success of the buyer respectively the procuring production enterprise.
7 Simulation Models for Assessing Delivery Risk
(S. 87-88)
7.1 Introduction
To fulfill the requirements listed in the previous section, this chapter focuses on deriving a supplier assessment tool. A brief discussion of the methodology used for creating the tool is given at the beginning of this chapter. Next, the general structure of the developed tool is elaborated and the tests to ensure the model’s functionality are detailed. The chapter concludes with a discussion of the guideline for the practical application of the supplier assessment tool.
7.2 Basics of System Dynamics
As a basis for creating a tool for assessing supplier delivery reliability, the System Dynamics methodology (see Forrester 1958, Forrester 1996) was selected. Considering the generic structure of System Dynamics models, it became evident that the requirement for easy adaptability and extendibility is well satisfied. The requirement for a low aboriginal cost of the SD software is met, since the purchase price of the required software is around 10% of the cost of standard discrete event simulation packages.
To ensure easy applicability of the model for end-users, System Dynamics software in addition to a modeling layer encompasses an operating layer that can be designed to accommodate any potential user. As shown in Figure 30, a System Dynamics (SD) model (modeling layer) consists of stocks and flows, and information feedback. In the model structure, a clear distinction is made between the physical flows through the stock-and-flow network and the information feedback that couples the stocks to the flows and closes the loops in the system by passing information from one element to other relevant elements.
Stocks are generic and can represent tangible quantities such as people, money or material, but also resemble intangible variables such as employee morale or perceived inventory, which are important characteristics when considering the extendibility of the supplier assessment tool. Inflows and outflows can be controlled by other stocks, flows, auxiliary variables, external inputs, or constants, where auxiliary variables are calculated from a constant and a flow or stock value, and external inputs are variables that are intentionally excluded from the model. The mathematical representation of a stock level, at time t, is thus.
Vorwort
12
Table of Contents
14
List of Figures
20
List of Tables
24
List of Abbreviations
26
List of Notations
28
1 Introduction
32
1.1 Motivation and Objectives
32
1.2 Focus and Delimitation
35
1.3 Thesis Structure
38
2 Review of Supplier Quality Management in Practice and Literature
40
2.1 Introduction
40
2.2 Supplier Quality Management in Industrial Practice
40
2.3 Implications from Industrial Practice
42
2.4 Supplier Quality Management Research
44
2.5 Implications from Research
49
3 Incentive Structures for the Management of Supplier Quality
52
3.1 Introduction to Game Theory
52
3.2 Repeated Games and Quality Management
52
3.3 Incentive Structure based on a Grimm Trigger Strategy
54
3.4 Incentive Structure based on the Limited Retaliation Strategy
60
4 Industrial Application of the Incentive Structure
64
4.1 Introduction
64
4.2 Foil Supplier
64
4.3 Plastic Card Supplier
66
4.4 Managerial Implications
69
4.5 Tool for Case Study Conduct
69
5 Review of Literature on Delivery Reliability
72
5.1 Introduction
72
5.2 Qualitative Description of Supply Chains
73
5.3 Summary of Qualitative Supply Chain Research
81
5.4 Quantitative Assessment of Supply Chains
83
5.5 Summary of Quantitative Supply Chain Research
97
6 Empirical Investigation of the Management of Delivery Reliability
100
6.1 Introduction
100
6.2 Theoretical Derivation of a Bilateral Determinant Model
100
6.3 Empirical Investigation
102
6.4 Requirements for an Assessment Tool for Potential Suppliers
116
7 Simulation Models for Assessing Delivery Risk
118
7.1 Introduction
118
7.2 Basics of System Dynamics
118
7.3 Description of the Developed SD Model
120
7.4 Model Application
131
8 Industrial Assessment of Delivery Reliability
134
8.1 Supplier of Magnetic Valves
134
8.2 Simulative Investigation
135
8.3 Managerial Implications
138
9 Summary and Outlook
140
9.1 Summary
140
9.2 Outlook
142
10 References
144
11 Appendix
160
11.1 Questionnaire
160
11.2 Survey Determinants
168
11.3 Statistical Results
172
11.4 Methods for Throughput Time Calculation
197
11.5 System Dynamics Code
203
11.6 Utilized Software Products
212
