There is a growing need for more responsive order fulfilment in the auto industry, months of stock and the failure to provide the right vehicle in a timely fashion are the unfortunate reality for most new vehicle customers in Europe, a practice which also compromises the vehicle manufacturer's profitability. Whilst manufacturers have already announced their intentions to reduce order-to-delivery lead-times and build more vehicles to order, so far no major breakthrough has been achieved. The complexity of this task should not be underestimated, as c. 4,000 components per vehicle need to be co-ordinated and assembled. However, this research has identified there are only a few major inhibitors. The key issue is the information flow from order entry to the factory, which needs to be shortened drastically. A revised IT system will need to be integrated into any e-commerce activities, allowing for online ordering by the customer, as well as online procurement of the manufacturer. Furthermore, customer demand will have to be understood and managed proactively, rather reactive scheduling to cope with current sales fluctuations. Potential solutions could include incentives for early order placement and leasing with fixed (predictable) cycles. The car plant itself will see the least changes in a build-to-order system. A decade of lean manufacturing has readied factories to handle greater product variety. In the plant line balancing will have to change, as currently these constraints pose a significant obstacle for the scheduling process at a marginal return. A flexible line will be essential.


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    Title :

    Responsive manufacturing in the automotive industry - what it really takes to build a three-day car


    Additional title:

    Kundenorientierte Fertigung in der Automobilindustrie - tatsächlicher Aufwand für den Bau eines Drei-Tage-Autos


    Contributors:
    Holweg, M. (author) / Hines, P. (author)


    Publication date :

    2001


    Size :

    6 Seiten, 2 Bilder, 2 Tabellen, 29 Quellen



    Type of media :

    Conference paper


    Type of material :

    Print


    Language :

    English