Skip to main content
Log in

Modeling and optimizing of strategic and tactical production planning in the automotive industry under uncertainty

  • Regular Article
  • Published:
OR Spectrum Aims and scope Submit manuscript

Abstract

This work considers the strategic flexibility and capacity planning under uncertain demands in production networks of automobile manufacturers. We present a deterministic and a stochastic model, which extend existing approaches, especially by an anticipation scheme for tactical workforce planning. This scheme is compared to an extended formulation of the deterministic model, which incorporates workforce planning via detailed shift models. The stochastic model is efficiently solved by an accelerated decomposition approach. The solution approach is integrated into a decision support system, which calculates minimum-cost product allocations and capacity plans. Our numerical results show that, in spite of the considerably increased complexity, our approach can efficiently handle hundreds of scenarios. Finally, we present an industrial case study.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Institutional subscriptions

Similar content being viewed by others

References

  • Alonso-Ayuso A, Escudero LF, Garfín A, Ortuño MT, Pérez G (2003) An approach for strategic supply chain planning under uncertainty based on stochastic 0–1 programming. J Global Optim 26(1): 97–124

    Article  Google Scholar 

  • Arntzen BC, Brown GG, Harrison TP, Traffton LL (1995) Global supply chain management at digital equipment corporation. Interfaces 25(1): 69–93

    Article  Google Scholar 

  • Askar G, Zimmermann J (2006) Optimal usage of flexibility instruments in automotive plants. Oper Res Proc, pp 479–484

  • Barnett L, Leaney PG, Matke J (1995) Striving for manufacturing flexibility in body construction. In: Proceedings of the IMechE AutoTech/95 Conference

  • Beamon BM (1998) Supply chain design and analysis: Models and methods. Int J Prod Econ 55(3): 281–294

    Article  Google Scholar 

  • Becker H (2005) Auf Crashkurs. Automobilindustrie im globalen Verdrängungswettbewerb. Springer, Berlin

  • Benders JF (1962) Partitioning prodedures for solving mixed-variables programming problems. Numer Math 4: 238–252

    Article  Google Scholar 

  • Birge JR, Louveaux F (1988) A multicut algorithm for two-stage stochastic linear programs. Euro J Oper Res 34(3): 384–392

    Article  Google Scholar 

  • Birge JR, Louveaux F (1997) Introduction to stochastic programming. Springer Series in Operations Research. Springer, New York

  • Boettcher J (1989) Stochastische lineare Programme mit Kompensation, Mathematical systems in economics. vol 115. Athenäum, Frankfurt am Main

  • Boyer KK, Leong GK (1996) Manufacturing flexibility at the plant level. Omega Int J Manage Sci 24(5): 495–510

    Article  Google Scholar 

  • Bruynesteyn M (2003) Flex appeal. Prudential Equity Group, LLC

  • Chandra C, Everson M, Grabis J (2005) Evaluation of enterprise-level benefits of manufacturing flexibility. Omega Int J Manage Sci 33(1): 17–31

    Article  Google Scholar 

  • Cordeau SF, Pasin F, Solomon MM (2006) An integrated model for logistics network design. Ann Oper Res 144(1): 59–82

    Article  Google Scholar 

  • Ferber S (2005) Strategische Kapazitäts- und Investitionsplanung in der globalen Supply Chain eines Automobilherstellers. Shaker, Indianapolis

  • Fleischmann B, Ferber S, Henrich P (2006) Strategic planning of BMW’s global production network. Interfaces 36: 194–208

    Article  Google Scholar 

  • Francas D, Kremer M, Minner S, Friese M (2007) Strategic process flexibility under lifecycle demand. Int J Prod Econ. doi:10.1016/j.ijpe.2006.12.062

  • Friese M, Bihlmaier R, Buerkner S (2005) Planning of flexible production networks in the automotive industry. In: International conference on changeable, agile, reconfigurable and virtual production, Muenchen, 22–23, September

  • Geoffrion AM, Graves GW (1974) Multicommodity distribution system design by benders decomposition. Manage Sci 20(5): 822–844

    Article  Google Scholar 

  • Gerwin D (1982) Do’s and don’ts of computerized manufacturing. Harvard Bus Rev 60(2): 107–116

    Google Scholar 

  • Goetschalckx Strategic Network Planning. BT and Centre for Automotive Industry Research, Cardiff (2001)

  • Goetschalckx M (2002) Strategic network planning. In: Stadtler H, Kilger  C (eds) Supply chain management and advanced planning. Springer, Heidelberg, pp 105–122

  • ILOG Inc. ILOG CPLEX 10.0 Advanced reference manual. ILOG CPLEX Division, France, 2006

  • Jordan WC, Graves SC (1995) Principles on the benefits of manufacturing process flexibility. Manage Sci 41(4): 577–594

    Article  Google Scholar 

  • Kall P, Wallace SW (1994) Stochastic programming. Wiley, Chichester

    Google Scholar 

  • Larranaga P, Lozano JA (2001) Estimation of distribution algorithms: a new tool for evolutionary computation. Springer, Heidelberg

    Google Scholar 

  • Meyer B (2004) Value-adding logistics for a world assembly line. Bonifatius Verlag, Paderborn

    Google Scholar 

  • MirHassani SA, Lucas C, Mitra G, Messina E, Poojari CA (2000) Computational solution of capacity planning models under uncertainty. Parallel Comput 26(5): 511–538

    Article  Google Scholar 

  • Pibernik R (2001) Flexibilitätsplanung in Wertschöpfungsnetzwerken, 1 edn. Dt. Universitäts-Verlag, Wiesbaden

  • Roscher J (2008) Bewertung von Flexibilitätsstrategien fuer die Endmontage in der Automobilindustrie. PhD Thesis, Institut für Industrielle Fertigung und Fabrikbetrieb, Universität Stuttgart

  • Ruszczyński A, Shapiro A (2003) Stochastic Programming, Handbooks in Operations Research and Management Science. vol 10. Academic Press, Australia

  • Santoso T (2003) A comprehensive model and efficient solution algorithm for the design of global supply chains under uncertainty. PhD Thesis, Georgia Institute of Technology

  • Santoso T, Ahmed S, Goetschalckx M, Shapiro A (2005) A stochastic programming approach for supply chain network design under uncertainty. Euro J Oper Res 167(1): 96–115

    Article  Google Scholar 

  • Schneeweiss C (1999) Hierarchies in distributed decision making. Springer, Berlin

    Google Scholar 

  • Sethi A, Sethi S (1990) Flexibility in manufacturing: a survey. Int J Flexible Manufact Syst 2(4): 289–328

    Google Scholar 

  • Vidal CJ, Goetschalckx M (2000) Modeling the impact of uncertainties on global logistics systems. J Bus Logistics 29(1): 95–120

    Google Scholar 

  • Wentges P (1996) Accelerating bender’s decomposition for the capacitated facility location problem. Math Methods Oper Res 44: 267–290

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding authors

Correspondence to Ralf Bihlmaier or Achim Koberstein.

Rights and permissions

Reprints and permissions

About this article

Cite this article

Bihlmaier, R., Koberstein, A. & Obst, R. Modeling and optimizing of strategic and tactical production planning in the automotive industry under uncertainty. OR Spectrum 31, 311–336 (2009). https://doi.org/10.1007/s00291-008-0147-2

Download citation

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s00291-008-0147-2

Keywords

Navigation