Enabling adaptability and resilience of a global production network: A model to evaluate capital and operational expenses of reconfigurable production systems. (February 2023)

• Record Type: Journal Article
• Authors: Kjeldgaard, Stefan; Andersen, Ann-Louise; Brunoe, Thomas Ditlev
• Is Part Of: Journal of manufacturing systems. Volume 66(2023)
• Page Start: 142
• Page End: 162
• Publication Date: 2023-02
• Subjects: Global production network -- Reconfigurable manufacturing -- Changeability -- Investment analysis -- Economic justification; Manufacturing processes -- Periodicals; Production engineering -- Data processing -- Periodicals; Robots, Industrial -- Periodicals; Production, Technique de la -- Informatique -- Périodiques; Robots industriels -- Périodiques; Electronic journals; 670.42
• DOI: 10.1016/j.jmsy.2022.12.003
• Languages: English
• ISSNs: 0278-6125

Abstract

Abstract: The objective of this paper is to construct and apply a model to evaluate the expected performance impact with respect to capital and operational expenses of reconfigurable designs of production systems within a global production network. The case results suggest that reconfigurable production systems improve the operational and economic performance, especially the capital and transportation expenses, by facilitating increased adaptability and resilience of the global production network. A major conclusion is the importance of considering the drivers and potentials on the network level in quantitative empirical models for the economic evaluation of reconfigurable production systems in industrial cases. Highlights: An objective was to construct an economic evaluation model for reconfigurable designs. An objective was to apply the model to a case with a global production network. The results show improved adaptability and resilience of a web-structure phenotype. The results show reduced capital and transportation expenses by 7.3 m€/y and 5.4 m€/y. A conclusion is the importance of network potentials in quantitative empirical models.