October 16, 2019

Retail Store - Business Digital Transformation




2019


16 October 2019

Supply Chain Conclave NITIE, Mumbai - Issues Discussed

1. Weekly Sales & Operations Planning
2. Concurrent Planning - Real Time Planning
3. Planning for Volatility
4. Planning for Uncertainty
5. Sales Force Effectiveness - Behaviour Issues

6. Triple A Supply Chain - We had discussion on 6A Supply Chain also.
7. Data - Input Data (ID) - Clustering Data (Important data point that can place the ID in a specific cluster. - Training Data (Behavior of the ID or customer) - Feedback Data (Actions taken on recommendations)
8. Cash back is investment to acquire customer ID.
9. AI vs Human - Wherever good quality data is there AI has upper hand.
10. Judgements are still done by human among alternative paths especially when human satisfaction is involved.

11. Moving to demand sensing.
12. Dynamic supply chain network paths - Not a single path optimized for a period ahead. It is now optimal path for every transaction.
13.  Changes due to digital transformation    Speed to Agility, Error Reduction to Probability of Event Determination,  Reliability to Predictability
14. Books Recommended - Predictive Machines, Meltdown
15. Reduction of transit time for perishable items

16. Item life determination using digital images - bananas
17. Reinforcement learning
18. Digital SKUs or stock flow tower similar to air traffic control towers.
19. Drones in warehouses
19. Hyper automated operation
20. Preemptive supply chain to offer extended cut-off time for next day deliveries

21. Man-Machine Cohabitation
22. Machine First - Mimicking human behavior - Augmenting human capability - Autonomous
23. Interesting algorithmic interventions in SCM
24. Integrated Digital Factory in manufacturing supply chains
25. Supply Chain Priorities - Cost - Service - Cash

July 5, 2019
TCS Named an IoT Leader in Digital Transformation in the Retail Industry by NelsonHall
TCS' Domain Expertise, Industry-specific Assets, and IoT-related Intellectual Property Positioned it as a Leader in the Retail and Travel, Transportation & Logistics Industries
https://www.tcs.com/tcs-named-an-iot-leader-in-digital-transformation-retail-industry-nelsonhall

The Future of Retail: Winning Models for a New Era
Absolute scale, rapid innovation and data-analytics expertise are now as important as local leadership.
By Marc-André Kamel, Suzanne Tager, Jonathon Ringer, Aaron Cheris and Charles Ormiston
June 10, 2019
https://www.bain.com/insights/the-future-of-retail-winning-models-for-a-new-era/


Not just tools, reimagine retail through eStrategy
‘digital transformation’ is more than ‘digitalization’ of business. Here’s a lowdown on how to get it right.
ET CONTRIBUTORS|Apr 05, 2019
http//economictimes.indiatimes.com/articleshow/68734208.cms

12 examples of digital technology in retail stores
By Nikki Gilliland  January 23rd 2019
https://econsultancy.com/examples-digital-technology-in-retail-stores/

Top Four Digital Trends in Retail
https://www.forbes.com/sites/danielnewman/2018/12/16/top-4-digital-transformation-trends-in-retail-for-2019

Business 4.0

BUSINESS 4.0

https://www.business4.tcs.com/

A year ago, following a TCS analyst event in Boston, the theme of which was Business 4.0: Intelligent, Agile, Automated, and on the Cloud (29 November 2018)
https://research.nelson-hall.com/blogs/?avpage-views=blog&type=post&post_id=877


TCS is training its associates in agile. It is focusing on multiple skills for its associated. It is also promoting machine first work environment.
https://research.nelson-hall.com/blogs/?avpage-views=blog&type=post&post_id=877


TCS Study 2019
Press Release
https://www.agilitypr.com/pr-news/public-relations/winning-in-the-business-4-0-world-4-critical-behaviors-execs-must-embrace-now/


October 11, 2019

Elements of Customer Perceived Value - Marketing Management

The 30 Things Customers
Really Value
by Eric Almquist
AUGUST 11, 2016
Harvard Business Review


Page 24

Value Creation 4.0 - Marketing Products in the 21st Century

Gábor Rekettye

Transnational Press London, 15-Aug-2019 - Business & Economics - 260 pages

Value Creation 4.0 is a marketing guide to the age of the fourth industrial revolution (‘Industry 4.0’). This title draws attention to the situation which poses new challenges and risks for the whole of humanity. The book takes an essentially practice-oriented approach. The book intends to highlight the importance of the topic, define its conceptual framework and present its practical applications. The book is therefore primarily recommended for practitioners. The topics of the book together with the supporting exhibits and cases – which also include international dimensions – provide information for them that can help increase their competitiveness. The book can also be very handy in higher education. Whole courses can be built on it, as the book comprises 4 parts and 14 chapters which can provide the basis for lectures. Each part is illustrated with cases, and some of the more than 30 exhibits could be used for the efficient processing of the material and for further reflection.
https://books.google.co.in/books?id=cI2pDwAAQBAJ

October 7, 2019

Creating Brand Equity - Kotler - Keller Chapter Summary

Creating Brand Equity - Kotler - Keller


1.What is a brand and how does branding work?

Brand is name, term, sign, symbol, or design, or a combination of them, intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors.

The purpose of branding is to create demand for the product that a particular firm is offering or marketing or selling. A satisfied buyer can repurchase the same product only when it is identified uniquely and branding provides the means through firms provide unique identification to their products targeted at various segments in the product or need market.

2. What is brand equity?

Brand equity brand value is associate with the customers. If more customers recognize the brand and show preference for the brand, the brand has more value. Customer-based brand equity is the differential effect brand has on consumer response to the marketing activities of that brand. A brand has positive customer-based brand equity or value when consumers react more favorably to a product's marketing activity conducted with the brand name in comparison to marketing activity conducted without disclosing the brand name.

3. How is brand equity measured and managed?

BrandAsset Valuator
Brandz
Brand Resonance Model

Brand audit
Brand tracking studies
Brand reinforcement
Brand revitalization

4. What are the important brand architecture decisions involved in developing a branding strategy?
Choosing Brand elements
Developing brand elements

Decisions to use either or combinations of - Corporate umbrella brand name - Separate product family brand names - Target offer brand name.



Creating Brand Equity - Chapter Sections


How Does Branding Work?

Defining Brand Equity

Building Brand Equity

Measuring Brand Equity

Managing Brand Equity

Devising a Branding Strategy

Customer Equity

Marketing Excellence of McDonald's

Marketing Excellence of Procter & Gamble



How Does Branding Work?

Defining Brand Equity


BrandAsset Valuator

Energized differentiation
Relevance
Esteem
Knowledge

Brandz

Power
Premium
Potential

Brand Resonance Model

4. Resonance
3. Judgments - Feeling
2.  Performance - Imargery
1. Salience

Building Brand Equity


Initial choices for brand elements

Product, service and marketing activities

Other associations

Measuring Brand Equity



Managing Brand Equity

Devising a Branding Strategy

Customer Equity

Marketing Excellence of McDonald's

Marketing Excellence of Procter & Gamble


Updated on 8 October 2019, 9 September 2019.




October 6, 2019

Psychology Evaluation of Scientific Management by Lilian Gilbreth - 1914


Lilian Gilbreth evaluated scientific management from the view point of Psychology in the book "THE PSYCHOLOGY  OF MANAGEMENT."

Important points made in the book are presented below.


CHAPTER I
DESCRIPTION AND GENERAL OUTLINE OF THE PSYCHOLOGY  OF MANAGEMENT

Definition of Psychology of Management - Importance of the Subject - Purpose of this Book
Definition of Management. - Possible Psychological Studies of Management - Plan of Psychological Study Here Used -  Conclusions to be Reached

Definition of Psychology of Management.


The Psychology of Management, as here used, means, the effect of the mind that is directing work upon that work which is directed, and the effect of this undirected and directed work upon the mind of the worker.

Psychology, in the popular phrase, is " the study of the mind."

It was not recognized that every man going out into the world needs all the knowledge that he can get as to the working of the human mind in order not only to give but to receive information with the least waste and expenditure of energy, nor was it recognized that in the industrial, as well as the academic world, almost every man is a teacher.

With the advent of "Scientific Management," and its demonstration that the best management is founded on laws that have been determined, and can be taught, the study of management in the class
room as well as on the work became possible and actual.

By Scientific Management, it has demonstrated that the emphasis in successful management lies on the man, not on the work; that efficiency is best secured by placing the emphasis on the man,and modifying the equipment, materials and methods to make the most of the man. It has, further, recognized that the man's mind is a controlling factor in his efficiency, and has, by teaching, enabled the man to make the most of his powers.  In order to understand this teaching element that is such a large part of management, a knowledge of psychology is imperative; and this study of psychology, as it applies to the work of the manager or the man aged, is exactly what the " psychology of management " is.

The psychology of, that is, the mind's place in management is only one part, element or variable
of management; one of numerous, almost numberless, variables.

Purpose of This Book. It is scarcely necessary to mention that this book can hope to do little more
than arouse an interest in the subject and point the way to the detailed books where such an interest can be more deeply aroused and more fully satisfied.

Definition of Management. 

To discuss this subject more in detail
First: What is " Management "?
" Management," as defined by the Century Dictionary, is " the art of managing by direction or
regulation."

Successful management of the old type was an art based on no measurement. Scientific Management
is an art based upon a science, upon laws deducted from measurement. Management continues to be
what it has always been, the art of directing activity.

Psychological Interest of the Terms.

Psychology could ask no more interesting subject than a study of the mental processes that lie back of many of these terms. It is most unfortunate for the obtaining of clearness, that new terms were not invented for the new ideas. There is, however, an excellent reason for using the old terms. By their use it is emphasized that the new thought is a logical out growth of the old, and experience has proved that this close relationship to established ideas is a powerful argument for the new science; but such terms as "task," "foreman," "speed boss," "piece-rate" and " bonus," as used in the science of management, suffer from misunderstanding caused by old and now false associations. Furthermore, in order to compare old and new interpretations of the ideas of management, the older terms of management should have their traditional meanings only. The two sets of meanings are a source of endless confusion, unwarranted prejudice, and worse. This is well recognized by the authorities on Management.

Plan of Psychological Study Used Here.

It has, therefore, seemed best to base the discussion that is to follow upon arbitrary divisions of scientific management, that is
1. To enumerate the underlying principles on which scientific management rests.
2. To show in how far the other two types of management vary from Scientific Management.
3. To discuss the psychological aspect of each principle.

Underlying Ideas and Divisions of Scientific Management. 


These underlying ideas are grouped under nine divisions, as follows :
1. Individuality.
2. Functionalization.
3. Measurement.
4. Analysis and Synthesis.
5. Standardization.
6. Records and Programmes.
7. Teaching.
8. Incentives.
9. Welfare.

Conclusions to be Reached.
These conclusions will include the following:

Psychology Evaluation of Scientific Management by Lilian Gilbreth - 1914


1. "Scientific Management" is a science.
2. It alone, of the Three Types of Management, is a science.
3. Contrary to a widespread belief that Scientific Management kills individuality, it is built on the basic principle of recognition of the individual, not only as an economic unit but also as a personality, with all the idiosyncrasies that distinguish a person.
4. Scientific Management fosters individuality by functionalizing work.
5. Measurement, in Scientific Management, is of ultimate units of subdivision.
7. Standardization under Scientific Management applies to all elements.
8. The accurate records of Scientific Management make accurate programmes possible of fulfillment.
9. Through the teaching of Scientific Management, the management is unified and made self-perpetuating.
10. The method of teaching of Scientific Management is a distinct and valuable contribution to Education.
11. Incentives under Scientific Management not only stimulate but benefit the worker.
12. It is for the ultimate as well as immediate welfare of the worker to work under Scientific Management.
13. Scientific Management is applicable to all fields of activity, and to mental as well as physical
work.
14. Scientific Management is applicable to self-management as well as to managing others.
15. It teaches men to cooperate with the management as well as to manage.
16. It is a device capable of use by all.
17. The psychological element of Scientific Management is the most important element.
18. Because Scientific Management is psychologically right it is the ultimate form of management.
19. This psychological study of Scientific Management emphasizes especially the teaching features.
20. Scientific Management simultaneously
a. increases output and wages and lowers costs.
b. eliminates waste.
c. turns unskilled labor into skilled.
d. provides a system of self-perpetuating welfare.
e. reduces the cost of living.
f. bridges the gap between the college trained and the apprenticeship trained worker.
g. forces capital and labor to cooperate and to promote industrial peace.


September 20, 2019

Supply Chain Management - Subject Update




Globally Popular Content

Supply Chain Management - Online Book 


Supply Chain Management - Revision Notes of All Chapters Based on Chopra and Meindl's Book


2019



Trends in Supply Chain Design and Management: Technologies and Methodologies

Hosang Jung, Fengshan Frank Chen, Bongju Jeong
Springer Science & Business Media, 17-Jul-2007 - Business & Economics - 451 pages

With the rapid development of information and network technologies and market requirements, new challenges in supply chain design and management have emerged. Notably, there are four new technologies which can affect traditional supply chain management: Radio Frequency Identification (RFID) technology; mobile transaction technology; information handling and storage technology; and multi-agent technology. These new technologies enable global companies to change their ways of thinking about supply chain management in order to cope with the changing environment. In line with this rapid development of technologies are new challenging methodologies: sustainable supply chain management, advanced supply chain planning, available-to-promise (ATP) system and lean supply chain design and management.

Trends in Supply Chain Design and Management: Technologies and Methodologies is a collection of chapters from active researchers and practitioners which describe new trends in supply chain design and management with emphasis on technologies and methodologies. Each chapter contains guidelines detailing the real-world application(s) of the presented technologies and methodologies.

By reading Trends in Supply Chain Design and Management: Technologies and Methodologies, researchers will gain an insight into the evolving trends in supply chain design and management and practitioners will learn about the practical applications of the technologies and methodologies discussed. This book could also be used as a reference handbook by lecturers and postgraduate students in advanced supply chain design and management.
Number of supply chain management faculty of IE departments contributed to this volume.
https://books.google.co.in/books?id=njrVuHORZxsC



London UK, 14th June - Siemens Digital Industries Software announced today the immediate availability of Siemens Opcenter™ software, a cohesive portfolio of software solutions for manufacturing operations management (MOM).

Siemens Opcenter integrates MOM capabilities including advanced planning and scheduling, manufacturing execution, quality management, manufacturing intelligence and performance, and formulation, specification and laboratory management. The new portfolio combines products including Camstar™ software, SIMATIC IT® suite, Preactor, R&D Suite and QMS Professional into a single portfolio that unifies these widely recognised products and leverages synergies between them. A fully web-based, modern, consistent, adaptive and comfortable user interface implemented throughout the Siemens Opcenter portfolio offers a situationally adapted user experience and facilitates the implementation of new capabilities and additional components while reducing training efforts.

http://www.connectingindustry.com/DesignSolutions/siemens-launches-siemens-opcenter-a-new-unified-portfolio-of-manufacturing-operations-management-solutions--.aspx

IBM Launches Supply Chain Anomaly Detection Tool
By PYMNTS Posted on May 15, 2019
https://www.pymnts.com/news/b2b-payments/2019/ibm-supply-chain-anomaly/

Top Companies for Supply Chain Excellence 2018
https://nraomtr.blogspot.com/2019/05/top-companies-for-supply-chain.html

Zero-Based Productivity Management of Supply Chain - McKinsey Way Supply Chain Industrial Engineering
https://nraomtr.blogspot.com/2019/04/zero-based-productivity-management-of.html


Supply Chain Industrial Engineering - Online Book (2013-2019)
http://nraoiekc.blogspot.com/2012/09/supply-chain-industrial-engineering.html


2018

Automation in supply chains
https://twitter.com/Soham_DSouza/status/1012588607431774208/photo/1


Where I see Procurement in 2025
June 26, 2018
Mark Perera
CEO of Old St Labs / Founder of Procurement Leaders
https://www.linkedin.com/pulse/where-i-see-procurement-2025-mark-perera/

A road map for digitizing source-to-pay
By Kalit Jain and Ed Woodcock
April 2017
https://www.mckinsey.com/business-functions/operations/our-insights/a-road-map-for-digitizing-source-to-pay

https://www.ibm.com/blogs/watson/2018/04/manage-procurement-contracts-with-less-effort-more-accuracy-with-watson-compliance-assist/


IBM Procurement's New Chapter: Innovation ebook
https://www-01.ibm.com/common/ssi/cgi-bin/ssialias?htmlfid=UVM12368USEN

https://www.ibm.com/blogs/watson-customer-engagement/2016/07/14/5-steps-to-harnessing-the-power-of-supplier-innovation/

https://www-01.ibm.com/events/wwe/empower/empower16.nsf/Session%201010_IBM_Cognitive%20Procurement%20-%20The%20Future%20is%20Here!_Emptoris%20and%20Watson%20OM%20team.pdf

https://www.ibm.com/blogs/insights-on-business/sap-consulting/cognitive-gives-procurement-respect-deserves/




August 2017

10 ways big data is revolutionising supply chain management
https://www.cloudcomputing-news.net/news/2015/sep/07/10-ways-big-data-is-revolutionizing-supply-chain-management/

March 2016



Procurement Trends in India - ISM - India - 2016 Survey
http://ism-india.org/blog/wp-content/uploads/2016/02/Procurement-Trends-2016.pdf


Smart Supply Chains - IBM Paper
https://www.ibm.com/smarterplanet/global/files/se__sv_se__none__smarter-sc_v2.pdf

Adoption ABC Costing
http://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.627.9383&rep=rep1&type=pdf


Supply Chain Cost Cutting
http://www.percon.com/whitepapers/Supply_Chain_Cost-Cutting_Strategies.pdf  - 2007


M2M Model and Supply Chains
https://www.opto22.com/documents/1425_White_Paper_M2M_and_the_Supply_Chain.pdf

About Access Sup Chain Software
http://www.theaccessgroup.com/sectors/supply-chain/manufacturing/



May 2015


Supply Chain Engineering - Activity Based Cost Management
http://nraoiekc.blogspot.com/2015/05/supply-chain-engineering-activity-based.html



April 2015


Supply Chain Management - Coordination - Updated


March 2015


Selection of Supplier in a Two Stage Supply Chain - An Integer Linear Programming Approach
A. John Rajan, K. Ganesh, and K.N. Balan
https://www.academia.edu/8202258/SELECTION_OF_SUPPLIER_IN_A_TWO_STAGE_SUPPLY_CHAIN_-A_INTEGER_LINEAR_PROGRAMMING_APPROACH

Uploaded by A. John Rajan

Cost-effective supply chains: Optimizing product development through integrated design and sourcing
ftp://ftp.software.ibm.com/software/applications/plm/landingdtw/GW510_5097_00F_2.pdf

PWC Sup Chain survey results
http://www.pwc.com/gx/en/consulting-services/supply-chain/global-supply-chain-survey/


Efficient Transportation Logistics Can Reduce Other Supply Chain Costs
http://www.genco.com/Logistics-Articles/article.php?aid=800513154

January 2015



Top 25 Supply Chains of 2014


http://www.industryweek.com/top-25-supply-chains#slide-0-field_images-119891




25 Nestle


Innovative Methods in Logistics and Supply Chain Management

August 2014 book - Collected articles. Appx 500 pages
You can download the full book from
https://hicl.org/sites/hicl.org/files/books/2014/blecker-2014-innovative-methods-logistics-and-supply-chain-management.pdf

IRMS|360 Enterprise Supply Chain Management Software


irms|360 Enterprise is designed to optimize efficiency at every level of the distribution supply chain. End-to-end visibility of products, people and process helps your organization achieve an unprecedented level of accountability. Higher visibility leads to absolute efficiency, improving customer satisfaction and increasing profits.

With off-the-shelf integration to industry leading manufacturing (MRP), enterprise (ERP), customer relationship management (CRM) solutions, irms|360 Enterprise is a cloud-based solution that can be delivered over the web as Software-as-a-Service (SaaS) or can be delivered as an on-premise solution.

Best and All Time Best Supply Chain Management Books


- Clockspeed: Winning Industry Control in the Age of Temporary Advantage by Charles H. Fine

- Designing and Managing the Supply Chain by David Simchi-Levi, Philip Kaminsky and Edith Simchi-Levi

- Essentials of Supply Chain Management by Michael H. Hugos

- Logistics and Supply Chain Management by Martin Christopher

- Logistics Management and Strategy: Competing through the Supply Chain   by Alan Harrison and Remko Van Hoek

- Purchasing and Supply Chain Management by Robert Monczka, Robert Handfield, Larry Giunipero and James Patterson

- Purchasing and Supply Chain Management: Analysis, Strategy, Planning and Practice by Arjan J. Van Weele

- Strategic Supply Chain Management: The Five Core Disciplines for Top Performance by Shoshanah Cohen and Joseph Roussel

- Supply Chain Logistics Management by Donald Bowersox, David Closs and M. Bixby Cooper

- Supply Chain Management, Strategy, Planning and Operation by Sunil Chopra and Peter Meindl

- The Resilient Enterprise: Overcoming Vulnerability for Competitive Advantage  by Yossi Sheffi

http://www.supplychainopz.com/2013/03/supply-chain-management.html


Supply Chain Management  Subject Update - 2014




Updated on 22 September 2019, 10 June 2019, 17 May 2019,  1 May 2019,  28 June 2017,  22 August 2017,  8 March 2016, 8 Dec 2015






Operations Research - An Efficiency Improvement Tool for Industrial Engineers

In the IE journals and magazines we need to read articles and papers that point out how IEs are able to come out with solutions to data development challenges of OR models.


Operations Research methods are characterized as efficiency improvement techniques by many scholars.


1. From efficiency measurement to efficiency improvement: The choice of a relevant benchmark, Eduardo González, and Antonio Álvarez, European Journal of Operational Research, Volume 133, Issue 3, 16 September 2001, Pages 512-520


2. Measuring Efficiency in Primary Health Care Centres in Saudi Arabia, ASMA M. A. BAHURMOZ,
http://www.economics.kaau.edu.sa/Faculty_Mag/Magallat/A12A2_PDF/122-ASMA999.pdf


3. Improving Transportation Efficiency at the Nanzan Educational Complexeral Motors
http://www.scienceofbetter.org/can_do/success_stories/iteatnecm.htm


4. Operations Research: The Productivity Engine: How to create unassailable productivity gains in your business, Lew Pringle, OR/MS Today, June 2000
http://www.lionhrtpub.com/orms/orms-6-00/pringle.html


Lew Pringle wrote:

"Operations research, as a field, is all about the creation and management of Productivity Gain. In fact, in a very real sense, productivity gain is virtually the sole purpose of OR. It's what we do. To raise the question of improvement in an organization's productivity without taking full advantage of all that OR offers would be analogous to pursuing a required improvement in one's health while ignoring the entire medical community. The realm of operations research is Productivity Gain.

OR people, in turn, are identifiable by: 1. our focus on productivity, and 2. the way we find, identify and come to describe, understand, appreciate and represent a problem. Operations research people are problem-conceptualizers. Our "solutions," in this sense, can (and should) be seen as flowing naturally and easily from the unique way in which we have visualized the problems/opportunities in the first place. We operate on such traditional quantities as profit, cost, efficiency and other practical, measurable items. Our goal, ordinarily, is to achieve higher and higher levels of performance. We are the people whose job it is to create productivity. We are, in fact, the productivity engine of an organization."

5. Productivity Improvement through Operational Research
G. W. Sears
Journal of the Royal Statistical Society. Series A (General) Vol. 126, No. 2 (1963), pp. 267-269
https://www.jstor.org/stable/2982368?seq=1#page_scan_tab_contents

6. The Necessity of Implementation of Operations Research for Managers for Decision-Making and Productivity Increase in Production
M. K. Amoli, S. M. T. Hosseini, M. Salehi, "The Necessity of Implementation of Operations Research for Managers for Decision-Making and Productivity Increase in Production", Advanced Materials Research, Vols. 488-489, pp. 1651-1656, 2012
http://www.scientific.net/AMR.488-489.1651


________________________________________________________________

Synergy Between Industrial Engineering and Operations Research


Industrial engineering is developed by engineers working in engineering departments of business companies engaged in manufacture using machines and metals. No doubt construction which is the earliest engineering activity also contributed in the development of industrial engineering as Frank Gilbreth was from construction sector. Operations Research as a discipline is identified with persons from science background working in the area of military operations. Industrial engineering and Departments of Mathematics and Statistics embraced the discipline of operations research in a big way. What is the synergy between industrial engineering and operations research?


Industrial engineering is system efficiency improvement. It examines proposed ways of doing work and improve them. Operations research has number of efficiency improvement tools. Operations researchers developed various standard models and have the ability to develop custom models that improve the efficiency of operations. Linear programming models, transportation, and assignment can be cited as examples using which the operations of an organization can be evaluated for efficiency of resource use subject to the constraints and optimal or efficient solutions can be found. Hence industrial engineers have to be the first group among various corporate organizations to recognize and implement OR models in the business organizations. This opportunity was correctly identified by the industrial engineering profession and OR was adopted as an important technique in the arsenal of industrial engineering.


What is the Contribution of IE to OR?


Industrial engineers could have promoted the practical utilization of OR by proving data in the form the OR models require. In systems engineering, there is mention of this step. From the synthesized design for a system design problem, various models are to be developed to evaluate the proposed design. To use OR models, various types of data are required and industrial engineers have the advantage of developing the required data. Why IEs have the advantage? Industrial engineers have the advantage because they have a strong attachment to measurement in one of their core subjects work measurement. Industrial engineers also are given inputs in understanding the financial and cost accounting data. Thus they are in the unique position to develop and provide the data that OR models required and come out the most efficient solutions and help the operating managers in implementing the solutions. But this does not seem to have happened in big scale.


The reason for the lack of popularity for OR in many organizations is the lack of this viewpoint in IEs. IEs have to use OR models as efficiency improvement avenues. To use OR models they have to develop the required data from the operations of the organization. They have to interact with the accounting departments meaningfully and acquire the required accounting data and statements. They have to develop engineering data and then use appropriate OR models. In the IE journals and magazines we need to read articles and papers that point out how IEs are able to come out with solutions to data development challenges of OR models.


Engineering Optimization


In engineering design as well as in process planning, optimization is now used. Industrial engineers have to optimize their engineering redesigns and also check whether the current engineering solutions are optimized or not? Thus the industrial engineering optimization focus area is concerned with optimization problems of product design and process design. Industrial engineering is also concerned with planning of jobs and flow of material quantities in processes.


_______________________________________________________________

Problem Areas for Applying Operations Research

Loading machine centers for maximum utilization of equipment.
Controlling raw materials nd in-process inventories.
Planning the minimum production costs schedules through the sequencing and allocation of men and machines.
Minimizing waiting times between opeartions
Determining the true incremental benefits of adding new production equipment.
Scheduling direct labour.
Determining the most favourable preventive maintenance plans.
Assigning individuals to specific jobs
Specifying least-cost shipment patterns in multiplant multivendor purchasing situations.
Locating warehouses so as to minimize freight and production costs.
Allocating advertising budget in the most efficient manner.

Source:
"Opeartions Research", Chaper 9-3 in Industrial Engineering Handbook, H.B.Maynard (Ed.) 2nd Edition

____________________________________________________________


OR Case Studies Discussed in Chapter 11.2 of Maynard's Industrial Engineering Handbook, 5th Edition


REFERENCES

Leachman, R. C., R. F. Benson, C. Liu and D. J. Raar, "IMPReSS: An Automated Production-Planning and Delivery-Quotation System at Harris Corporation - Semiconductor Sector," Interfaces, 26:1, pp. 6-37, 1996.
Rigby, B., L. S. Lasdon and A. D. Waren, "The Evolution of Texaco's Blending Systems: From OMEGA to StarBlend," Interfaces, 25:5, pp. 64-83, 1995.
Flanders, S. W. and W. J. Davis, "Scheduling a Flexible Manufacturing System with Tooling Constraints: An Actual Case Study," Interfaces, 25:2, pp. 42-54, 1995.
Subramanian, R., R. P. Scheff, Jr., J. D. Quillinan, D. S. Wiper and R. E. Marsten, "Coldstart: Fleet Assignment at Delta Air Lines,", Interfaces, 24:1, pp. 104-120, 1994.
Kotha, S. K., M. P. Barnum and D. A. Bowen, "KeyCorp Service Excellence Management System," Interfaces, 26:1, pp. 54-74, 1996.

Recent Case Study Papers


Energy Cost Optimization in a Water Supply System Case Study
Daniel F. Moreira and Helena M. Ramos
Journal of Energy
Volume 2013 (2013), Article ID 620698, 9 pages
http://www.hindawi.com/journals/energy/2013/620698/



Cost Minimizing Coal Logistics for Power Plants Considering Transportation Constraints
Ahmet Yucekaya
Industrial Engineering Department, Kadir Has University, istanbul, Turkey
Journal of Traffic and Logistics Engineering, Vol, 1, No. 2 June 2013
http://www.jtle.net/uploadfile/2013/0514/20130514045651963.pdf

Related Knols


Knol Handbook of Industrial Engineering (Year 2010 Version)
By Narayana Rao K.V.S.S.




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Bibliography


OR Models - Good brief description of Linear programming, Network Flow Programming, Integer programming, Nonlinear programming, Dynamic programming, Stochastic programming and Simulation etc.
http://www.me.utexas.edu/~jensen/ORMM/models/index.html


The Periodic Vehicle Routing Problem: A Case Study
http://papers.ssrn.com/sol3/papers.cfm?abstract_id=1368749


A Review of Integrated Analysis of Production-Distribution Systems, 1995
http://www.eng.buffalo.edu/~nagi/papers/ana.pdf


Optimization of Container Process at Multimodal Container Terminals, Phd Thesis, 2008, Andy Wong
http://eprints.qut.edu.au/16626/1/Andy_Wong_Thesis.pdf


Operations Research Models for Railway Rolling Stock Planning, Ph.d thesis, (2006), Gabor Maroti
http://alexandria.tue.nl/extra2/200610302.pdf


IFORS 2002 Conference Proceedings - Abstracts only 285 page file
http://meetings2.informs.org/IFORS2002/working_files/program.pdf


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Recent papers about OR models and applications

The costs of poor data quality
Summary of Anders Haug, Frederik Zachariassen, Dennis van Liempd, "The costs of poor data quality", Journal of Industrial Engineering and Management, 2011 – 4(2): 168-193 – Online ISSN: 2013-0953 Print ISSN: 2013-8423


Updated 23 July 2013
Posted in the blog 14 December 2011
Article originally posted at
http://knol.google.com/k/operations-research-an-efficiency-improvement-tool-for-industrial-engineers#


Industrial Engineering Knowledge Revision Plan - One Year Plan


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Updated  21 September 2019,  27 August 2016,  15 July 2016, 13 July 2016,  23 July 2013