Why Do Plant Managers Struggle to Synchronize Production Capacity and Costs with Demand in Face of Volatility and Uncertainty? - IFIP-AICT-459 Access content directly
Conference Papers Year : 2015

Why Do Plant Managers Struggle to Synchronize Production Capacity and Costs with Demand in Face of Volatility and Uncertainty?

Abstract

Production plants are currently facing an increase in volatility and uncertainty of demand volumes. This environmental condition comes with highly fixed costs and capacity structures, which are mostly planned on the basis of forecasts and demand projections. Thereby, changing demand causes variances in manufacturing unit costs, endangering production plants’ profitability, competitiveness and liquidity. Hence, synchronizing capacities and costs with demand volumes becomes an essential target for plant managers in the face of demand volatility and uncertainty. Approaching this target in practice entails various obstacles due to dynamic and interdependent target conflicts as well as a lack of a dedicated and applicable strategizing approach. In this paper, these obstacles are disclosed and evaluated based on action research cases.
Fichier principal
Vignette du fichier
346972_1_En_52_Chapter.pdf (312.92 Ko) Télécharger le fichier
Origin : Files produced by the author(s)

Dates and versions

hal-01417523 , version 1 (15-12-2016)

Licence

Attribution

Identifiers

Cite

Manuel Rippel, Johannes Schmiester, Paul Schönsleben. Why Do Plant Managers Struggle to Synchronize Production Capacity and Costs with Demand in Face of Volatility and Uncertainty?. IFIP International Conference on Advances in Production Management Systems (APMS), Sep 2015, Tokyo, Japan. pp.422-430, ⟨10.1007/978-3-319-22756-6_52⟩. ⟨hal-01417523⟩
46 View
73 Download

Altmetric

Share

Gmail Facebook X LinkedIn More