Strategic ramp-up planning in automotive production networks

Becker, Annika; Stolletz, Raik; Stäblein, Thomas

doi:10.1080/00207543.2016.1193252

Cited by 16 publications

(5 citation statements)

References 38 publications

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“…Research has been reported from Germany (e.g. Glock and Grosse, 2015;Wochner et al, 2016;Becker et al, 2017) and UK (e.g. Doltsinis et al, 2013) that has mainly been concerned with decision support tools to plan and control the production ramp-up at the OEM.…”

Section: Conclusion and Implications 61 Theoretical Implicationsmentioning

confidence: 99%

“…The pace at which companies innovate has accelerated in recent years as product life cycles have drastically decreased (Li et al, 2014;Hansen and Grunow, 2015;Becker et al, 2017). This indicates that the time from the start of production (SOP) until the products are withdrawn from the market has decreased; hence, companies have less time to make profits by: focusing on the need to integrate suppliers in NPD to manage production ramp-up of a new product.…”

Section: Introductionmentioning

confidence: 99%

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Original equipment manufacturer (OEM)-supplier integration to prepare for production ramp-up

Wlazlak

Säfsten

Hilletofth

2019

JMTM

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Purpose Although prior research provides evidence that production ramp-up is often disrupted by supplier-related problems, it fails to discuss how the original equipment manufacturer (OEM) and various types of suppliers integrate their functions and operations to secure preparations for production ramp-up. The purpose of this paper is to investigate OEM–supplier integration in a new product development (NPD) project to prepare for production ramp-up. Design/methodology/approach The results presented in this paper are based on a real-time, longitudinal study of a single collaborative NPD project in the mechanical engineering industry. The NPD project involves seven suppliers and it is carried out in a large Swedish company (the OEM) and fits the theory-elaborating approach of this research. Findings This study argues that the aspect of timing in OEM–supplier integration, the OEM’s research and development (R&D) attitude toward collaboration and the OEM’s (R&D) operating procedure are challenges affecting the preparation for production ramp-up. The following three mechanisms to facilitate OEM–supplier integration in order to prepare for production ramp-up are also discussed: the mediator’s role, the OEM’s face-to-face meeting at the project level and suppliers’ formal face-to-face meetings with the OEM and internally. Originality/value This paper elaborates on and extends prior research on production ramp-up by conducting an empirical analysis that incorporates supplier integration in NPD. It bridges the gap between the literature on production ramp-up and on supplier integration in NPD and clearly indicates that supplier integration is an important prerequisite for successful production ramp-up.

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Section: Conclusion and Implications 61 Theoretical Implicationsmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Original equipment manufacturer (OEM)-supplier integration to prepare for production ramp-up

Wlazlak

Säfsten

Hilletofth

2019

JMTM

View full text Add to dashboard Cite

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“…For example, the model diversity of AUDI AG increased significantly, from three models in 1980 to more than 17 models by 2025 (Gesell et al , 2018; Jung, 2017). Shorter product life cycles as well as increased product variety due to customization and new technologies, lead to more ramp-up processes (Becker et al , 2017; Schmitt et al , 2018; Valpato and Stocchetti, 2008; Wochner et al , 2016). In view of the increased number of ramp-ups, it is problematic that according to Bauer et al (2014, p. 421) “50% of all series ramp-ups do not reach their technical targets and 33% do not reach their commercial targets.”…”

Section: Introductionmentioning

confidence: 99%

“…Surbier et al (2014) showed in their overview on production ramp-up that since the late 1990s the topic has gained more and more research interest. Today, the literature about production ramp-up is heterogeneous and addresses topics, such as planning (Becker et al , 2017; Bohn and Terwiesch, 1999; Winkler et al , 2007), knowledge management (Fjällström et al , 2009; Yeleneva et al , 2018), personnel management (Säfsten et al , 2008) and product development, as well as change management (Schuh et al , 2017). However, it seems as if the role of the procurement department has not been in the center of the studies nor the opportunities provided by improved buyer–supplier communication.…”

Section: Introductionmentioning

confidence: 99%

The impact of buyer–supplier communication on production ramp-up performance

Gesell

Glas

Eßig

2021

JBIM

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Purpose The purpose of this paper is to examine how communication with suppliers influences performance during production ramp-up. Often, time, cost or quality targets are missed in production ramp-ups while the number and frequency of ramp-ups is further increasing. The goal of this paper is thus to contribute a better understanding if and to which extend communication content or communication relationship is affecting ramp-up performance. Design/methodology/approach The research uses data from a dyadic survey (N = 160) in the German automotive industry. The data set comprises responses from buyers and suppliers. Constructs, namely, information and relationship quality, as well as communication satisfaction, are measured. The effect of communication is evaluated referring to cost, quality and time dimensions of performance. The analysis is applied with structural equation modeling methodology. This research is complemented by a multigroup analysis (MGA) especially comparing buyer and supplier respondent groups. Findings The results indicate that communication satisfaction positively influences ramp-up performance and that information quality is of higher relevance than relationship quality. Briefly, information exchange (what information to transfer) is more important than relationship management (how to transfer information). This finding contrasts previous literature focusing on relationship factors in communication settings. Furthermore, findings from MGA sustain the findings, because effects are also analyzed from a supplier’s or buyer’s viewpoint. Overall, the findings imply that supplier communication in production ramp-up must of course provide a high level of information quality. However, to optimize ramp-up performance also a high level of relationship quality is required. Research limitations/implications This study featured data from the German automotive industry from buyer’s and supplier’s perspective. This limits its generalizability, yet provides opportunities to test the findings through longitudinal studies, potentially gathering data from other sectors. Practical implications This research recommends managers deliver high information quality to improve communication satisfaction. Hence, this survey provides support for business communication o enhance ramp-up performance to achieve success in buyer–supplier relations. Originality/value Besides the original dyadic database, this research addresses production ramp-up as a very dynamic process. Plans and forecasts change often, thus supplier communication takes place in a stress situation. Then, communicators might overstate information quality and lose sight of relationship quality. The study contributes to this field of research and postulates that (automatic, autonomous) data exchange requires behavioral and relational support. The findings are useful for companies in stress situation (e.g. also a pandemic supply crisis) and will avoid that the optimization of information exchange disregards the relationship aspect.

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“…On a network scale, Becker et al considered a strategic ramp-up planning process for automotive production networks. They utilised a hierarchical planning framework to strategically determine ramp up and down decisions, and show that their strategic ramp up planning model outperforms sequential planning approaches (Becker, Stolletz, & Stäblein, 2017).…”

Section: Transition and Ramp Up Production Structuresmentioning

confidence: 99%

Anarchic manufacturing: Distributed control for product transition

Andrew

Frantzén

Snider

et al. 2020

Journal of Manufacturing Systems

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Manufacturers are poorly equipped to manage product transition scenarios, when moving from one product to another. Most tools consider a mature system, yet during transition and ramp up disturbances and inefficiency are common. The traditional methods, using centralised planning and control structures are too rigid and often resort to simple dispatch heuristics in this highly dynamic environment. Distributed systems have been proposed to leverage their self-organising and flexible traits to manage highly volatile and complex scenarios.Anarchic manufacturing, a free market based distributed planning and control system, delegates decision-making authority and autonomy to system elements at the lowest level; this system has previously been shown to manage job and flowshop style problems. The system has been adapted to use a dynamic batching mechanism, where jobs cooperate to benefit from economies of scale. The batch enables a direct economic viability assessment within the free market architecture, whether an individual machine should changeover production to another product type. This profitability assessment considers the overall system state and an agent's individual circumstance, which in turn reduces system myopia. Four experiments, including a real-world automotive case study, evaluate the anarchic manufacturing system against two centralised systems, using three different ramp-up curves. Although not always best performing against centralised systems, the anarchic manufacturing system is shown to manage transition scenarios effectively, displaying self-organising and flexible characteristics. The hierarchical system was shown to be impeded by its simplifying structure, as a result of structural rigidity.

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Strategic ramp-up planning in automotive production networks

Cited by 16 publications

References 38 publications

Original equipment manufacturer (OEM)-supplier integration to prepare for production ramp-up

Original equipment manufacturer (OEM)-supplier integration to prepare for production ramp-up

The impact of buyer–supplier communication on production ramp-up performance

Anarchic manufacturing: Distributed control for product transition

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