System dynamics model for flow time and lot sizes optimization according to Quick Response Manufacturing (QRM) strategy

Abstract

The aim of this paper is to propose a simulation model based on system dynamics and the elements that compose Quick Response Manufacturing (QRM) strategy. The developed model is a very useful decision-making tool, since it facilitates the obtaining of process flow times and lot sizes in manufacturing environments that focus their competitive strategy on markets that demand a high variability and product customization. Through simulating four different scenarios, the effects of variability and machine resources utilization are evaluated. The results show that a minimal change in machine resources utilization causes a high impact on process flow times and consequently, on another critical QRM variable such as Manufacturing Critical-Path Time (MCT).