• Title/Summary/Keyword: Customer-Oriented Make-To-Order Manufacturing

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A Product BOM Management Scheme Due to Specification and Engineering Changes in Customer-Oriented Make-To-Order Manufacturing Environments (고객지향 수주생산 환경에서 사양 및 설계 변경에 따른 제품 BOM 관리 방안)

  • Shin, Jung-Bum;Kim, Jae-Gyun;Jang, Gil-Sang
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.31 no.4
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    • pp.121-133
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    • 2008
  • In manufacturing companies, engineering information is a central data which defines a product to be produced. This is changed by various factors such as changes of product configuration, changes of drawings information of a technology's licensor, etc, and these changes essentially accompany the changes of a product BOM (Bill of Materials) structure. Thus, engineering changes gives a heavy burden to information management within enterprise because the changes of product BOM have an influence on each departmental BOM such as a procurement BOM, a manufacturing BOM, a quotation BOM, etc. Especially, these changes of product BOM due to the engineering changes is inevitably and frequently happened by a customer's requirements in a customer-oriented make-to-order manufacturing environments. In these manufacturing environments, information gap among each department from the first contact point of customer to engineering, materials, production, quality, and management is very close, and thus it is very important that the change information of product BOM due to changes of product specification and engineering information are efficiently communicated among each department. This paper describes a procedure of determining product specification and of generating product BOM, and proposes an efficient management scheme for the change process of product BOM information due to changes of product specification and engineering. Also, to show the effectiveness of the proposed product BOM management scheme, a product BOM management system is implemented for the ship engine division of 'H' company, one of customer-oriented make-to-order manufacturing enterprises.

Real-Time DBR Scheduling in Internet Based Make-to-Order Manufacturing (인터넷을 통한 주문생산환경에서의 실시간 생산 DBR 스케줄링)

  • Han, Young-Geun;Kim, Yeon-Kyun
    • IE interfaces
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    • v.14 no.4
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    • pp.341-347
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    • 2001
  • This paper describes a real-time manufacturing scheduling system on Internet using DBR(Drum-Buffer-Rope) scheduling method. We intend to change company-oriented manufacturing scheduling, which has been used at most manufacturing companies, to customer-oriented manufacturing scheduling. Customers can not only choose product kinds, quantities and order due dates, but also evaluate optimum order due date by themselves in real-time through internet and then the results will be converted into practical manufacturing scheduling. If the company cannot meet the customer order due date, it will offer reliable and accurate information to the customers by suggesting the earliest order due date. To evaluate the customer order due date in real time, companies should be able to estimate their accurate production capacity. This research uses Goldratt's DBR scheduling method to realize that function. The DBR scheduling does not recognize the production capacity of the whole company, but only of the constraint resources which have a great effect on the company throughput. Thus, it can improve the customer service level as well as the profit by performing more dynamic and reliable scheduling through Internet.

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Development of Product Data Integration System for Customer-Oriented Manufacturing Enterprises: 'H' Company Case Study (고객지향 수주생산기업을 위한 제품품정보통합시스템 구축: 'H' 중공업 적용사례)

  • Jang, Gil-Sang
    • Information Systems Review
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    • v.11 no.2
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    • pp.209-231
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    • 2009
  • In recent, a general trend is observed towards more customized products and shorter product life cycles in manufacturing enterprises. In these enterprises, customers often wish to influence the product they order and to get a variant of product that meets their requirements. This is called as customer-oriented make-to-order manufacturing environment. This paper establishes a methodology of implementing information system for developing product data integration system (PDIS) which is suitable for customer-oriented make-to-order manufacturing enterprise, and also presents the case of implementing PDIS for a ship engine product in 'H' heavy industry using the established methodology. At present, the implemented PDIS is successfully operating. As a result, PDIS reduces delivery time and improves customer relationships. Moreover, the case shows that PDIS can be used as a tool for improving inter-department coordination within a company during product life cycle.

Design and implementation of quotation management process according to quotation change factors in make-to-order manufacturing environments (수주생산환경에서 견적변경 요인에 따른 견적관리 프로세스의 설계 및 구현)

  • Jeon, Gyu-Hwan;Jang, Gil-Sang;Park, Chang-Kwon
    • The Journal of the Convergence on Culture Technology
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    • v.7 no.4
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    • pp.879-892
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    • 2021
  • In a make-to-order manufacturing environment, the manufacturer's quotation information is important information used as basic information for bidding, receiving orders, and producing products in response to various customer demands. This quotation information is changed according to various factors such as customer demands, changes in product production environment, changes in drawing information of technical partners, and technological improvement of products. Due to this change, various changes occur in the quotation information that the manufacturer is preparing to reflect the customer's requirements. The change of quotation information according to these various change factors puts a lot of burden on the quotation management work from the standpoint of a make-to-order manufacturing company. In particular, the change of quotation information due to the change factors of quotation is inevitable and frequently occurs due to the requirements of the customer in the customer-oriented make-to-order production environment. In this paper, we propose a quotation change process based on the quotation creation process and propose a consistent and efficient quotation change processing method. To this end, the factors causing the change of quotation were defined, and the types of changes for each factor were defined. And it shows the procedure of applying the quotation change process to the quotation management system through the cases of each cause of the quotation change. In addition, in order to show the usefulness of the quotation change factors, the type of quotation change, the quotation change process, and the quotation system management, the proposed quotation change process and function was applied in the integrated quotation management system for the ship engine division of a typical make-to-order manufacturing company 'H'. As a result, it was confirmed that the proposed quotation change process and management system according to the quotation change factors were efficiently performed.

A Methodology of Implementing SOA and BPM Based Information Systems : A Case Study on Product BOM Management under Customer-Oriented Make-To-Order Manufacturing Environments (SOA 및 BPM 기반의 정보시스템 구축 방법론: 고객지향 수주생산 환경에서의 제품 BOM 관리 적용사례)

  • Shin, Jung-Bum;Kim, Jae-Gyun;Jang, Gil-Sang
    • The Journal of Information Systems
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    • v.18 no.1
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    • pp.77-95
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    • 2009
  • In customer-oriented make-to-order manufacturing environments, the works of BOM changes due to the changes of product specification and engineering are closely connected with almost all departments such as sales, engineering, production, procurement, cost, after service, etc within an enterprise. So, the contents of BOM changes must be instantly reflected on the related works among the departments. To effectively process these complex works of BOM changes, types of changes on product specification and engineering and types of BOM changes linked with those must be systematically defined, classified and managed by information systems. Thus, it is necessary to introduce solutions such as BPM and SOA in order to efficiently deal with complex business processes like BOM change management. This paper proposes a methodology of constructing information systems based on BPM and SOA. The proposed methodology defines the relationship between processes of BPM for definition, execution, monitoring, etc of business processes and services of SOA for connection among information systems within an enterprise, and presents a scheme of practically applying BPM and SOA solutions to actual business works. To show an utilization of the proposed methodology, the prototype system for product BOM management is implemented in order to efficiently deal with the works of BOM changes due to the changes of product specification and engineering.

Korean consumers' attitudes towards organic labels and country-of-origin of organic foods

  • Lee, Hye-Kyoung;Cho, Young-Sang
    • Journal of Distribution Science
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    • v.9 no.1
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    • pp.49-59
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    • 2011
  • Although the South Korean organic food market is in the infancy compared to other industrialized countries, Korean consumers'interest in organic food and retail stores devoting space to organic products have been rapidly increasing. Despite the fact of organic food popularity, the term "organic" is interpreted differently by individuals. As opposed to the US, Japan and the EU where have operated an integrated organic food labelling system, Korea has adopted complex organic labelling systems regulated by several different government bodies. As a result, complicated food labelling standards make consumers confused when purchasing organic foods. Furthermore, in terms of country of origin (COO), it is argued by a lot of researchers that COO effects vary from product to product and from country to country; moreover, other informational cues such as brand and price can influence COO effects. In modern society, COO labelling has been complicated, due to the sourcing, manufacturing and market locations of merchandise spread over the world. Accordingly, the evaluation of COO effects has become complex. In order to examine these issues, a quantitative research was selected to classify the commonfeatures of organic food consumers and construct statistics such as the extent to which people are aware of organic food and COO labellingvia a questionnaire which took place in two cities in Korea with a cluster sample of 161 organic food purchasers. As for the data analysis, one-way analysis of variance (ANOVA), T-tests, bivariate crosstatulations with Cramer's V were conducted,depending on the characteristics of variables and the assumptions the research data need to fit. It has been concluded that in general, Korean organic consumers comprehend the term "organic"in a closer way to the general concept rather than technical term, thus people do not appreciate environmentally labels which include organic food labels, although marital status influence the degree of label awareness, regardless of gender, age, education level and so on. Regarding COO effects on organic food, home organic products were Korean consumers'first choice over those from industrialized countries and developing nations. Specifically, in processed organic product category, domestically cultivated and processed organic products were absolutely preferred to leading national brands produced with imported ingredients and international brands. However, due to a lack of checks of ingredients' COO, consumers tend to purchase a leading national organic food brand, believing that it is a pure organic food sourced domestically. As a consequence, this research has suggested some important managerial implications and future research directions. In order to prevent consumer confusion when buying organic foods, it should be noted that consumers do not comprehend the organic food certifications, due to complicated labelling systems for organic produce and processed organic foods. Therefore, government bodies related to organic food distribution have to know consumers' perception of organic food labels and the significance of customer-oriented labels and reestablish labelling standards. Similarly, public advertising should be followed to raise public awareness of the labelling to enable customers to have the correct information. In addition, not only international marketers but also domestic marketers need to understand COO images and also the influence COO of ingredients has on the image of an organic product.

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The Effects of Environmental Dynamism on Supply Chain Commitment in the High-tech Industry: The Roles of Flexibility and Dependence (첨단산업의 환경동태성이 공급체인의 결속에 미치는 영향: 유연성과 의존성의 역할)

  • Kim, Sang-Deok;Ji, Seong-Goo
    • Journal of Global Scholars of Marketing Science
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    • v.17 no.2
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    • pp.31-54
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    • 2007
  • The exchange between buyers and sellers in the industrial market is changing from short-term to long-term relationships. Long-term relationships are governed mainly by formal contracts or informal agreements, but many scholars are now asserting that controlling relationship by using formal contracts under environmental dynamism is inappropriate. In this case, partners will depend on each other's flexibility or interdependence. The former, flexibility, provides a general frame of reference, order, and standards against which to guide and assess appropriate behavior in dynamic and ambiguous situations, thus motivating the value-oriented performance goals shared between partners. It is based on social sacrifices, which can potentially minimize any opportunistic behaviors. The later, interdependence, means that each firm possesses a high level of dependence in an dynamic channel relationship. When interdependence is high in magnitude and symmetric, each firm enjoys a high level of power and the bonds between the firms should be reasonably strong. Strong shared power is likely to promote commitment because of the common interests, attention, and support found in such channel relationships. This study deals with environmental dynamism in high-tech industry. Firms in the high-tech industry regard it as a key success factor to successfully cope with environmental changes. However, due to the lack of studies dealing with environmental dynamism and supply chain commitment in the high-tech industry, it is very difficult to find effective strategies to cope with them. This paper presents the results of an empirical study on the relationship between environmental dynamism and supply chain commitment in the high-tech industry. We examined the effects of consumer, competitor, and technological dynamism on supply chain commitment. Additionally, we examined the moderating effects of flexibility and dependence of supply chains. This study was confined to the type of high-tech industry which has the characteristics of rapid technology change and short product lifecycle. Flexibility among the firms of this industry, having the characteristic of hard and fast growth, is more important here than among any other industry. Thus, a variety of environmental dynamism can affect a supply chain relationship. The industries targeted industries were electronic parts, metal product, computer, electric machine, automobile, and medical precision manufacturing industries. Data was collected as follows. During the survey, the researchers managed to obtain the list of parts suppliers of 2 companies, N and L, with an international competitiveness in the mobile phone manufacturing industry; and of the suppliers in a business relationship with S company, a semiconductor manufacturing company. They were asked to respond to the survey via telephone and e-mail. During the two month period of February-April 2006, we were able to collect data from 44 companies. The respondents were restricted to direct dealing authorities and subcontractor company (the supplier) staff with at least three months of dealing experience with a manufacture (an industrial material buyer). The measurement validation procedures included scale reliability; discriminant and convergent validity were used to validate measures. Also, the reliability measurements traditionally employed, such as the Cronbach's alpha, were used. All the reliabilities were greater than.70. A series of exploratory factor analyses was conducted. We conducted confirmatory factor analyses to assess the validity of our measurements. A series of chi-square difference tests were conducted so that the discriminant validity could be ensured. For each pair, we estimated two models-an unconstrained model and a constrained model-and compared the two model fits. All these tests supported discriminant validity. Also, all items loaded significantly on their respective constructs, providing support for convergent validity. We then examined composite reliability and average variance extracted (AVE). The composite reliability of each construct was greater than.70. The AVE of each construct was greater than.50. According to the multiple regression analysis, customer dynamism had a negative effect and competitor dynamism had a positive effect on a supplier's commitment. In addition, flexibility and dependence had significant moderating effects on customer and competitor dynamism. On the other hand, all hypotheses about technological dynamism had no significant effects on commitment. In other words, technological dynamism had no direct effect on supplier's commitment and was not moderated by the flexibility and dependence of the supply chain. This study makes its contribution in the point of view that this is a rare study on environmental dynamism and supply chain commitment in the field of high-tech industry. Especially, this study verified the effects of three sectors of environmental dynamism on supplier's commitment. Also, it empirically tested how the effects were moderated by flexibility and dependence. The results showed that flexibility and interdependence had a role to strengthen supplier's commitment under environmental dynamism in high-tech industry. Thus relationship managers in high-tech industry should make supply chain relationship flexible and interdependent. The limitations of the study are as follows; First, about the research setting, the study was conducted with high-tech industry, in which the direction of the change in the power balance of supply chain dyads is usually determined by manufacturers. So we have a difficulty with generalization. We need to control the power structure between partners in a future study. Secondly, about flexibility, we treated it throughout the paper as positive, but it can also be negative, i.e. violating an agreement or moving, but in the wrong direction, etc. Therefore we need to investigate the multi-dimensionality of flexibility in future research.

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A Comparison Review of Domestic and Imported Cosmetics on Quality Test in Korea Market (위수탁 검사의뢰 국산 및 수입화장품의 비교고찰)

  • Hwang, Young Sook;Choi, Chae Man;Chung, Sam Ju;Park, Ae Sook;Kim, Hyun Jung;Kim, Jung Hun;Jung, Kwon
    • Journal of the Society of Cosmetic Scientists of Korea
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    • v.40 no.4
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    • pp.331-339
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    • 2014
  • This study is aimed to provide the primary data about safety of cosmetics products using indirect preference of korean cosmetics customer and numerical comparison of applied area. For this study, we collected 9,879 cosmetics products which were inspected in cosmetics research team from January, 2010 to December, 2012. The domestic cosmetics was 645 cases (6.5%) and Imported cosmetics was 9,234 cases (93.5%). As manufacturing country, the France has 4,342 cases (44.0%) and the next ranking were like those, Germany 1,637 cases (16.6%), U.S.A 1,476 cases (14.9%), Republic of Korea 645 cases (6.5%), Italy 557 cases (5.6%), and etc 1,222 cases (12.4%). By the year, the cases of test cosmetics have decreased from 3,784 cases (2010), 3,394 cases (2011) to 2,701 cases (2012), the relative ratio of common cosmetics part was drop in but the other group (functional cosmetics and hair dye related products) was increased. The largest market share product was Skin care 5,470 cases (55.4%) and the next order was like those, Make up 1,908 cases (19.3%), Hand & Foot 1,026 cases (10.4%), Hair Care 616 cases (6.2%), Bath 361 cases (3.7%), and etc 498 cases (5.0%). In domestic cosmetics, the greatest proportion was Skin care and the others were Hair Care > Makeup > Hand & Foot > Bath, but the proportion was evidently changed in imported cosmetics, Skin care > Makeup > Hand & Foot > Hair Care > Bath. It is necessary to set the priority of the international quality standards to identify trends from domestic consumers directly or indirectly. Compare the ratio of category and human application parts from domestic and imported cosmetics, we utilize leverage as the basis for future-oriented cosmetic safety.