Integration of supply networks for customization with modularity in cloud and make-to-upgrade strategy

Abstract

Today, integration of supply networks (SNs) out of heterogeneous entities is quite challenging for industries. Individualized demands are getting continuously higher values in the global business and this fact forces traditional businesses for restructuring their organizations. In order to contribute to new performances in manufacturing networks, in this paper a collaborative approach is recommended out of modularity structure, cloud computing, and make-to-upgrade concept for improving flexibility as well as coordination of entities in networks. A cloud-based framework for inbound and outbound manufacturing is introduced for complying with the production of individualized products in the turbulent global market, with local decision-makings and integrated performances. Additionally, the complementary aspects of these techniques with new features of products are conceptually highlighted. The compatibility of this wide range of theoretical concepts and practical techniques is explained here. A discrete-event simulation out of an exemplary cloud-based SN is set up to define the applicability of the cloud and the recommended strategy.