The Effect of the Coefficient of Variation of Operation Times on the Allocation of Storage Space in Production Line Systems

This paper studies the effect of the coefficient of variation of operation times on the optimal allocation of storage space in production line systems. The operation times at each station are modelled by a two-stage Coxian distribution. This work extends the results of our previous study of the storage allocation problem with exponentially distributed operation times. Interpreting Stage 1 of the two-stage Coxian distribution as the normal service for an item at a station and Stage 2 as down time at the station, our model can also be used to study the effect of breakdowns on the allocation of storage space in production line systems. The results show that the “bowl effect” whereby the center stations should be given preferential treatment becomes more pronounced with higher variability in the operation times. Another general conclusion is that the overall optimal storage allocation commonly follows a “storage bowl phenomenon” whereby the allocation of buffer storage space fits an inverted bowl pattern when the total storage space is also a decision variable