The application of workload control in assembly job shops: an assessment by simulation

Workload control (WLC) is a production planning and control concept developed to meet the needs of small- and medium-sized make-to-order companies, where a job shop configuration is common. Although simulation has shown WLC can improve job shop performance, field researchers have encountered significant implementation challenges. One of the most notable challenges is the presence of ‘assembly job shops’ where product structures are more complex than typically modelled in simulation and where the final product consists of several sub-assemblies (or work orders) which have to be co-ordinated. WLC theory has not been developed sufficiently to handle such contexts, and the available literature on assembly job shops is limited. In response, this paper extends the applicability of WLC to assembly job shops by determining the best combination of: (i) WLC due date (DD) setting policy, (ii) release method and (iii) policy for coordinating the progress of work orders. When DDs are predominantly set by the company, the DD setting policy should play the leading role while the role of order release should be limited and the progress of work orders should not be co-ordinated in accordance with the DD of the final product. But when DDs are predominantly specified by customers, the importance of order release as a second workload balancing mechanism increases and work orders should be coordinated by backward scheduling from the DD of the final product. Results indicate that WLC can improve performance in assembly job shops and outperform alternative control policies. Future research should implement these findings in practice.     

Successful implementation of an order release mechanism based on workload control: a case study of a make-to-stock manufacturer

This paper deals with improving the lead-time performance of a large crystal manufacturer that uses a state-of-the-art commercial Enterprise Resource Planning system. Since the company encountered some limitations of the standard production planning and control (PPC) system it sought for improvements by implementing an order release mechanism based on workload control (WLC). WLC employs certain rules for releasing orders in order to maintain a certain level of work in process to achieve a certain utilisation of the production system and thus control the flow times in order to meet the required due dates of the orders. We describe the successful implementation of an order release mechanism based on the WLC concept in this make-to-stock company. The paper describes the implemented order release mechanism, the implementation process and its impact on the company’s performance. We show that the core function of WLC – the order release mechanism – can be integrated successfully into an existing PPC system. Furthermore, this study highlights the applicability of WLC to a wider range of companies, especially to make-to-stock manufacturers.     

Three decades of workload control research: a systematic review of the literature

The workload control (WLC) concept has received much attention in the past three decades; however, a comprehensive literature review has not been presented. In response, this article provides a systematic review of the conceptual, analytical, empirical and simulation-based WLC literature. It explores the evolution of WLC research, determines the current state-of-the-art and identifies key areas for further study. The research finds that the field has evolved substantially. Early research focused on theoretical development and experimental testing of order release strategies; order release was then integrated with other planning stages, e.g., the customer enquiry stage, making the concept more suitable for customised manufacturing and leading to a comprehensive concept which combines input and output control effectively; recent attention has focused on implementing the resulting concept in practice and refining theory. While WLC is well placed to meet the needs of producers of customised products, future research should include: conducting further action research into how WLC can be effectively implemented in practice; studying human factors that affect WLC; and feeding back empirical findings to simulation-based WLC research to improve the applicability of WLC theory to real-life job shops.     

Multi-agent-based workload control for make-to-order manufacturing

Workload control is a production planning and control concept designed to meet the need of the make-to-order industry. In this paper, a multi-agent workload control methodology that simultaneously addresses due date setting, job release and scheduling is proposed. To be consistent with just-in-time production, the objective of minimizing weighted job earliness and tardiness is used. Two new rules are developed, by introducing a feedback mechanism, to set job due dates dynamically. These two new rules implicitly include job pool times and, thus, eliminate the need to estimate job pool times in the presence of workload control. At the critical norm defined in this paper job release control can reduce average job flowtime and work-in-process inventory, without worsening earliness and tardiness, and lead-time performances. The proposed methodology is implemented in a flexible job shop environment. The computational results indicate that the proposed methodology is very effective for production planning and control in make-to-order companies. In addition, the proposed methodology is extremely fast and can be implemented in real time.     

Card-based delivery date promising in pure flow shops with order release control

Card-based systems are simple, effective means of controlling production. Yet most systems concentrate on controlling the shop floor. They neglect other planning tasks, like estimating short, feasible due dates during customer enquiry management. A card-based version of the workload control concept for job shops – COBACABANA (COntrol of BAlance by CArd-BAsed Navigation) – was proposed in the literature to overcome this shortcoming. COBACABANA uses cards for due date setting and order release, making it a potentially important solution for small shops with limited resources. But many such firms operate as flow shops rather than job shops. Research demonstrated that COBACABANA’s release mechanism must be adapted if applied to a pure flow shop, but its approach to due date setting has not been evaluated in such an environment. We show COBACABANA has the potential to improve pure flow shop performance, but its due date setting procedure should be adapted compared to job shops. In a flow shop, due date estimation can also be further simplified by considering the load awaiting release to the first (gateway) station only while maintaining most performance benefits. The results are important for all card-based systems that aim to stabilise work-in-process, including kanban and ConWIP (Constant Work-in-Process).     

面向订货生产的生产计划与控制技术

生产负荷控制是一种面向订货生产方式的生产计划与控制技术．它以输入输出控制为基本思想,通过设置订单交货期和控制订单进入生产车间的时间以及调整机器生产能力来控制各台机器的生产负荷,能够降低在制品库存,控制生产提前期并改善交货表现,从而增强制造企业的竞争力．本文介绍了生产负荷控制技术的理论、控制结构,并综述了相关研究文献,提出了今后的研究方向．     

On the combined effect of due date setting,order release,and output control: an assessment by simulation

Workload Control is a production control concept for high-variety shops built on the principle of input/output control. The literature, however, has argued that input/output control overemphasises throughput improvements to the detriment of the timing of individual orders and, consequently, that it needs to be supplemented by a preceding customer enquiry stage where due dates are set. Yet, although there are broad separate literature streams on due date setting, order release, and output control, there is a lack of research on the three functions together. In response, this study uses simulation to assess the combined performance effect of all three functions. Results show that each control function can be related to a specific performance objective. The degree of emphasis that should be placed on each function, therefore, depends on a company’s specific performance needs. Due date setting and capacity adjustments (output control) are shown to support each other as they address different performance objectives. Meanwhile, order release (input control) is effective in reducing work-in-process and can play a role in making throughput improvements when capacity adjustments are not possible. Findings enhance existing literature on the diagnosis of delivery reliability performance in high-variety shops, with important implications for research and practice.     

Integrating load-based order release and priority dispatching

Workload control (WLC) is a well-established production control concept for job shops that put primary emphasis on load-based order release. Recent advances in load-based order release research have led to an improved delivery performance at reduced shop floor workloads. But although order release is the primary focus of WLC research, it must be coupled with priority dispatching on the shop floor if order progress is to be regulated. Prior simulation research suggests that load-based order release methods should only be coupled with simple dispatching rules because other, more powerful rules can conflict with the functioning of the release method. Yet, recent empirical research suggests that powerful priority dispatching rules – such as due date-oriented dispatching rules – are in fact needed for a high level of delivery performance to be obtained in practice. This paper focuses on overcoming the conflict between order release and dispatching, so load-based order release can be combined with due date-oriented dispatching. Preliminary analysis reveals that part of the conflict is because existing due date-oriented dispatching rules overcompensate for schedule deviations that occur when orders are either released earlier or later than planned. Two alternative new dispatching rules based on an improved method of determining operation due dates are then developed to better account for schedule deviations and overcome the conflict with load-based order release. Further improvements in delivery performance are obtained, while the large workload reductions achieved by recently developed load-based order release methods are retained.     

Multi-objective due-date setting in a make-to-order environment

This paper presents a new dual-objective problem of due-date setting over a rolling planning horizon in make-to-order manufacturing and proposes a bi-criterion integer programming formulation for its solution. In the proposed model the due-date setting decisions are directly linked with available capacity. A simple critical load index is introduced to quickly identify the system bottleneck and the overloaded periods. The problem objective is to select a maximal subset of orders that can be completed by the customer requested dates and to quote delayed due dates for the remaining acceptable orders to minimise the number of delayed orders or the total number of delayed products as a primary optimality criterion and to minimise total or maximum delay of orders as a secondary criterion. A weighted-sum program based on a scalarisation approach is compared with a two-level due-date setting formulation based on the lexicographic approach. In addition, a mixed-integer programming model is provided for scheduling customer orders over a rolling planning horizon to minimise the maximum inventory level. Numerical examples modeled after a real-world make-to-order flexible flowshop environment in the electronics industry are provided and, for comparison, the single-objective solutions that maximise total revenue subject to service level constraints are reported.     

Comparison between rule- and optimization-based workload control concepts: a simulation optimization approach

An important goal of Production Planning and Control systems is to achieve short and predictable flow times, especially where high flexibility in meeting customer demand is required, while maintaining high output and due-date performance. One approach to this problem is the workload control (WLC) concept. Within WLC research two directions have been developed, largely separately, over time: Rule based and optimisation-based models. If a company intends to introduce an order release concept based on WLC it first has to decide which of these two approaches should be applied. Therefore, this paper compares two of the most widely used and considered best performing periodic order release models out of both streams: the LUMS (rule based) and the clearing function model (optimisation based). The parameters of both approaches are set using simulation optimisation. The performance is compared using a simulation study of a hypothetical job shop in a rolling horizon setting. The results show that the optimisation model outperforms the rule-based mechanism in all instances with stochastic demand (exponential inter-arrival times), but is outperformed in aggregate cost of backorders and inventory holding and balancing measures by the LUMS approach for scenarios with high utilisation and seasonal demand.     

Workload control dynamics in practice

Workload control (WLC) is a well established production planning and control concept for make-to-order companies. The main insights into WLC are being gained from stationary simulation studies. Knowledge on its functioning in practice is limited, especially in a dynamic setting. The aim of this paper is to identify and classify the key issues when WLC is being used to control logistical performance in a dynamic setting. For this purpose an empirical research project in a company is carried out, in which both quantitative scanning data and qualitative workshop data are obtained and analysed over one year. Throughput diagrams and order progress diagrams support the analysis of the quantitative data obtained. Various types of dynamics could be discerned, but all implying similar requirements in terms of adaptations to the control concept. Whereas research in stationary settings addresses parameter choices, this study shows that it is issues on timing and magnitude of control adjustments that need to be addressed if WLC is to be used effectively in a dynamic setting. The empirical study shows that if the dynamics are not adequately taken into account, buffers may starve while throughput times become uncontrolled over time, despite the use of WLC.     

Due date assignment using artificial neural networks under different shop floor control strategies

Due date assignment (DDA) is the first important task in shop floor control. Due date-related performance is impacted by the quality of the DDA rules. Assigning order due dates and delivering the goods to the customer on time will enhance customer service and provide a competitive advantage. A new methodology for lead-time prediction, artificial neural network (ANN), is adopted to model new due date assignment rules. An ANN-based DDA rule, combined with simulation technology and statistical analysis, is presented. Whether or not the ANN-based DDA rule can outperform the conventional and Reg-based DDA rules taken from the literature is examined. The interactions between the DDA, order review/release (ORR), and dispatching rules significantly impact upon one another, and it is therefore very important to determine a suitable DDA rule for the various combinations of ORR and dispatching rules. From the simulation and statistical results, the ANN-based DDA rules perform better in due date prediction. The ANN-based DDA rules have a smaller tardiness rate than the other rules. ANN-based DDA rules have a better sensitivity and variance. Therefore, if system information is not difficult to obtain, the ANN-based DDA rule can perform a better due date prediction. This paper provides suggestions for DDA rules under various combinations of ORR and dispatching rules. ANN-Sep is suitable for most of these combinations, especially when ORR, workload regulation (WR) and two boundaries (TB), rules are adopted.     

Multi-objective master production scheduling in make-to-order manufacturing

In this paper a multi-objective, long-term production scheduling in make-to-order manufacturing is considered and a lexicographic approach with a hierarchy of integer programming formulations is proposed. The problem objective is to allocate customer orders with various due dates among planning periods with limited capacities to minimize the number of tardy orders as a primary optimality criterion. Then, the maximum level of the input and output inventory is minimized as a secondary criterion, and finally the aggregate production is leveled over the planning horizon as an auxiliary criterion. A close relation between minimizing the maximal inventory and the maximum earliness of customer orders is shown and used to simplify the inventory leveling problem. Numerical examples, modeled after a real-world make-to-order flexible flowshop in a high-tech industry, are provided and some computational results are reported. The paper indicates that the maximum earliness of customer orders is an important managerial decision variable, and its minimum value can be applied to control the inventory of purchased materials and finished products to maximize the customer service level and minimize production costs.     

Capacity-based order review/release strategies to improve manufacturing performance

Given the increased emphasis by manufacturing organizations to reduce work-in-progress inventories thereby shortening their manufacturing lead times, more attention is being given to the control of the materials released to the shop floor. The control of input into the shop is one of the activities associated with order review/release (ORR). A common assumption of the published literature on ORR is that all orders received by the shop will be accepted, regardless of shop conditions. In this paper, this assumption is relaxed such that in times of high shop congestion, it may be better to reject an order to allow the customer to seek another supplier than to accept the order and deliver it to the customer late. When the shop is highly congested, accepting all orders will jeopardize the ability of the shop to meet customer due dates. In an industry that demands fast and reliable turnaround of customer orders, not meeting due dates may result in customers placing their orders with other more reliable suppliers. Of course, rejecting the order outright will also have some negative effects. The best alternative would depend on the preferences by managers and the tradeoffs involved between rejecting the order or accepting the order and then not meeting the customer due date. Three methods to determine whether or not to accept the order were tested in this research. Results suggest the consideration of shop loads is better than a random rejection in determining whether an order should be accepted or rejected by the shop. Also, an analysis of the load on the orders routeing is more effective than considering the overall load in the shop.     

A review of production planning and control: the applicability of key concepts to the make-to-order industry

The paper reviews ‘classic approaches’ to Production Planning and Control (PPC) such as Kanban, Manufacturing Resource Planning (MRP II) and Theory of Constrains (TOC), and elaborates upon the emergence of techniques such as Workload Control (WLC), Constant Work In Process (CONWIP), Paired cell Overlapping Loops of Cards with Authorization (POLCA) and web- or e-based Supply Chain Management (SCM) solutions. A critical assessment of the approaches from the point of view of various sectors of the Make-To-Order (MTO) Industry is presented. The paper considers factors such as the importance of the customer enquiry stage, company size, degree of customization and shop floor configuration and shows them to play a large role in the applicability of planning and control concepts. The paper heightens the awareness of researchers and practitioners to the PPC options, aids managerial system selection decision-making, and highlights the importance of a clear implementation strategy. WLC emerges as the most effective Job Shop solution; whilst for other configurations there are several alternatives depending on individual company characteristics and objectives. The paper outlines key areas for future research, including the need for empirical research into the use of Workload Control in small and medium sized MTO companies.     

Integrating order acceptance decisions with flexible due dates in a production planning model with load-dependent lead times

We consider a tactical planning problem, which integrates production planning decisions together with order acceptance decisions, while taking into account the dependency between workload and lead times. The proposed model determines which orders to accept and in which period they should be produced, so that they can be delivered to the customer within the acceptable flexible due dates. When the number of accepted orders increases, the workload and production lead time also increase, and this may result in the possibility of missing customer due dates. This problem is formulated as a mixed integer linear programme for which two relax-and-fix heuristic solution methods are proposed. The first one decomposes the problem based on time periods, while the second decomposes it based on orders. The performances of these heuristics are compared with that of a state-of-the-art commercial solver. Our results show that the time-based relax-and-fix heuristic outperforms the order-based relax-and-fix heuristic, and the solver solution as it yields better integrality gaps for much less CPU effort.     

A methodology for planning and controlling workload in a job-shop: a four-way decision-making problem

There has been extensive research on workload and input–output control with the objective of improving manufacturing operations in job-shops. In this paper, a multiple decision-making scheme is proposed to plan and control operations in a general job-shop, and to improve delivery and workload related performance measures. The job-shop characteristics reinforce the need for designing a global system that controls both the jobs entering (order acceptance, due date setting and job release) and the work-in-process (dispatching), leading to an improvement of operational measures. Previous research has concentrated on scheduling a set of orders through the shop floor, according to some decision mechanism, in order to optimise some measure of performance (usually total lead time). This means that, since only a part of the decision-making system is being optimised, the resulting decision may be sub-optimal. In this paper it is shown that the performance of the different decision rules changes when they are considered simultaneously. Hence, a higher level approach, where the four decisions (order acceptance, due date setting, job release and dispatching) are considered at the same time, should be adopted to improve job-shop operational performance.     

Improving the applicability of workload control (WLC): the influence of sequence-dependent set-up times on workload controlled job shops

Simulation has demonstrated that the workload control (WLC) concept can improve performance in job shops, but positive empirical results are scarce. A key reason for this is that the concept has not been developed to handle a number of practical considerations, including sequence-dependent set-up times. This paper investigates the influence of sequence-dependent set-up times on the performance of a workload-controlled job shop. It introduces new set-up-oriented dispatching rules and assesses the performance impact of controlled order release. Simulation results demonstrate that combining an effective WLC order release rule with an appropriate dispatching rule improves performance over use of a dispatching rule in isolation when set-up times are sequence dependent. The findings improve our understanding of how this key implementation challenge can be overcome. Future research should investigate whether the results hold if set-up time parameters are dynamic and set-up times are not evenly distributed across resources.     

Book review

Workload control (WLC) is a leading production planning and control (PPC) solution for small to medium sized enterprises (SMEs) and make-to-order (MTO) companies, but when WLC is implemented, practitioners find it difficult to determine suitable workload norms to obtain optimum performance. Theory has provided some solutions (e.g., based on linear programming) but, to remain optimal, these require the regular feedback of detailed information from the shop floor about the status of work-in-process (WIP), and are therefore often impractical. This paper seeks to predict workload norms without such feedback requirements, analysing the influence of shop floor characteristics on the workload norm. The shop parameters considered are flow characteristics (from an undirected pure job shop to a directed general flow shop), and the number of possible work centres in the routing of a job (i.e., the routing length). Using simulation and optimisation software, the workload norm resulting in optimum performance is determined for each work centre for two aggregate load-oriented WLC approaches: the classical and corrected load methods. Results suggest that the performance of the classical approach is heavily affected by shop floor characteristics but no direct relationship between the characteristics and norm to apply could be established. In contrast, results suggest that the performance of the corrected load approach is not influenced by shop floor characteristics and the workload norm which results in optimum performance is the same for all experiments. Given the changing nature of MTO production and the difficulties encountered with the classical approach, the corrected load approach is considered a better and more robust option for implementation in practice. Future simulations should investigate the influence of differing capacities across work centres on the workload norm while action research should be conducted to apply the findings in practice.     

Reducing feedback requirements of workload control

The workload control concept is known as a robust shop floor control concept. It is especially suited for the dynamic environment of small- and medium-sized enterprises (SMEs) within the make-to-order sector. Before orders are released to the shop floor, they are collected in an ‘order pool’. To make the release decision, information regarding the actual situation on the shop floor is required. Within SMEs, this information is often incomplete, incorrect or delayed. However, the workload control approaches discussed in the literature assume precise feedback information. The paper discusses the opportunities for information feedback from the shop floor for centralized order release within SMEs and analyses the information requirements of workload control approaches. These approaches are adapted based on more realistic assumptions regarding information supply within SMEs. The different approaches are compared and assessed by a simulation study. Results show that additional investments in more accurate information supply lead to decreasing marginal improvements in overall shop performance. Additionally, they indicate that the choice of the right workload control approach might have important effects on performance.