• Title/Summary/Keyword: Cost Inefficiency

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Optimal Machine Operation Planning under Time-based Electricity Rates (시간대별 차등 전기요금을 고려한 최소비용 장비운용계획)

  • Kim, Inho;Ok, Changsoo
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.37 no.4
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    • pp.63-71
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    • 2014
  • As power consumption increases, more power utilities are required to satisfy the demand and consequently results in tremendous cost to build the utilities. Another issue in construction of power utilities to meet the peak demand is an inefficiency caused by surplus power during non-peak time. Therefore, most power company considers power demand management with time-based electricity rate policy which applies different rate over time. This paper considers an optimal machine operation problem under the time-based electricity rates. In TOC (Theory of Constraints), the production capacities of all machines are limited to one of the bottleneck machine to minimize the WIP (work in process). In the situation, other machines except the bottleneck are able to stop their operations without any throughput loss of the whole manufacturing line for saving power utility cost. To consider this problem three integer programming models are introduced. The three models include (1) line shutdown, (2) block shutdown, and (3) individual machine shutdown. We demonstrate the effectiveness of the proposed IP models through diverse experiments, by comparing with a TOC-based machine operation planning considered as a current model.

The Study on the Reorganization of the Large Purse Seine Fisheries in Korea (대형선망어업의 생산력 재편과 경영 개선 과제)

  • KIM, Dae-Young
    • Journal of Fisheries and Marine Sciences Education
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    • v.21 no.3
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    • pp.373-389
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    • 2009
  • The aims of this study are to examine urgent problems for reorganization into future-proof large purse seine fisheries in order to positively cope with rapidly changing domestic and foreign fisheries circumstances. First, this paper provides current situations of the large purse seine fisheries. The current situations of it are composed of fisheries influence such as vessel number, vessel power, and fisher number, use of resource and fishing places, and changes in products and sales of species caught by the large purse seine. Secondly, this paper reviews current problems of the large purse seine fisheries including cost reduction and increase of value added. Thirdly, this paper suggests basic development direction and countermeasures for strengthening competitiveness of the large purse seine fisheries. In conclusion, urgent problems of the larger purse seine fisheries can be summarized as inefficiency of distribution structures and retarded landing system and facilities as well as the worse of profitability according to shrink of fishing places, reduction of products, lack of workers, and increase in oil price. To solve the urgent problems, the large purse seine fisheries should be changed into an industry with low cost and high efficiency, and also need to introduce of new production system, strengthen autonomous management of natural resource, and increase in value added to products.

Proposal And Application of An OLAP View For the Definition of the Users Requirements (사용자 요구사항 정의를 위한 OLAP View의 제안 및 활용)

  • Choi, Sung-Kyo;Park, Jong-Mo
    • The KIPS Transactions:PartD
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    • v.11D no.4
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    • pp.967-974
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    • 2004
  • An OLAP system is the decision support tool with which a user can analyze the information interactively in the various aspects. However, the traditional existing construction of an OLAP system has the inefficiency problem of increasing the time and cost caused by the frequent changes of the users requirements. In this paper, we analyse existing construction procedure of OLAP systems and propose a prototyping OLAP View based on the star schema which can help and guide the designer In supporting efficiently of users requirements. Through an implementation of S shopping mall using the OLAP View, we show that our proposal is able to support OLAP construction strategy and provide accurate understanding of data resources. With an OLAP View, we can reduce the required time and cost of implementing OLAP system.

A Study on Decision Making Model for the Optimum Number of Ticket Booth (역 매표창구수 결정 모형에 관한 연구)

  • Kim, Ick-Hee;Lee, Kyung-Tae;Do, Ha-Na
    • Proceedings of the KSR Conference
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    • 2008.11b
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    • pp.1881-1888
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    • 2008
  • As the ticket issuing methods have been diversified for the convenience of the passengers such as ticketless service(SMS ticket, e-ticket, home ticket), automatic ticket issuing machine and consignment ticket sale, maintaining the current number of ticket booth has been becoming a issue. Too many booth can cause the inefficiency of the cost of labor. According to the Charter of Customer Service of Korail, on the other hand, 95% of passengers have to purchase a train ticket within 5 minutes. This study was designed to present a decision making model for the optimum number of ticket booth which can affect an efficient operation of train station and improvement of customer convenience. And, this paper shows the proper manpower of ticket booth and the change of customer waiting time by analyzing the arrival and ticket issuing time of passengers based on 'Queueing Theory'. However, it is insufficient to be generalized due to some limitations of analysis. This study will contribute to improve customer satisfaction by reducing the waiting time at the ticket booth. In addition, presenting the optimum number of booth is expected to have an effect on the increase of productivity and cost savings.

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A Study on the Analysis of Relative Efficiency of Logistics Facilities in Korea (DEA기법을 이용한 한국 물류시설의 효율성 분석)

  • Lee, Kwangbae;Choi, Yongseok
    • Journal of Korea Port Economic Association
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    • v.29 no.2
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    • pp.159-171
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    • 2013
  • This paper aims to analyse the relative efficiency of logistics facilities and suggest the policy alternatives for exploring and activating them. This study also divides the logistics facilities into airport terminals, logistics complexes, container terminals, and trucking freight terminals. For this purpose, the CCR-DEA as well as the BCC-DEA techniques are employed to show which part explains the primary cause of inefficiencies of each DMU(Decision Making Unit). The empirical results indicate that the efficiency of logistics complex is the lowest of all, while freight trucking terminal has the highest efficiency. This study also reveals that operation inefficiency is greater than scale inefficiency in most of DMUs, showing that much more effort be done for alleviating the cost resulting from irrational management.

A Study on the Integration of Framework National Tax Basic Act and Local Tax Basic Act (국세기본법과 지방세기본법의 통합과 체제 개편에 관한 연구)

  • Kim, Woo-Young;Kim, Keum-Young
    • Asia-Pacific Journal of Business
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    • v.9 no.2
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    • pp.75-103
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    • 2018
  • The tax system in Korea is the so-called one-item-one-tax law which has separate tax law for each taxation according to tax law. The common and procedural aspects of these tax laws are the same or similar, but they are separately prescribed by the National Tax Basic Act and the Local Tax Act. These legal systems complicate the tax law and increase the cost of tax cooperation, resulting in tax inefficiency. In this study, the National Tax Act and the laws of the Local Tax Act are integrated and presented. It is proposed that the common provisions should be integrated into a single law and the unique matters should be defined in each of the National Tax Basic Act and Local Tax Basic Act, by comparing and analyzing the provisions of the National Tax Basic Act and the Local Tax Basic Act. The integration of the common elements of the National Tax Basic Act and the Local Tax Act is expected to improve tax efficiency by reducing tax complexity and tax cooperation costs. In addition, the National Tax Act and the Local Tax Act are expected to maintain the characteristics of the National Tax Basic Act and the Local Tax Act when they are specified in the National Tax Basic Act and the Local Tax Basic Act. This study is expected to be a research that can reduce tax inefficiency and help convenience of taxpayer and tax administration.

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A Study on the Efficiency Analysis of IT Service Companies Using Meta Frontier and the Determinants of Efficiency Using Tobit Model (Meta Frontier를 이용한 국내 IT서비스기업의 효율성 분석 및 Tobit 모형을 이용한 효율성 결정요인 분석에 대한 연구)

  • Shin, Minsoo;Park, Jiyong
    • Journal of Information Technology Services
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    • v.16 no.4
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    • pp.15-31
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    • 2017
  • This study analyzes 45 Korea IT service companies from 2012 to 2016 using DEA analysis. Large enterprises, medium enterprises and small and medium enterprises (SMEs). CCR model and BCC model were used for efficiency analysis. Among the various analytical objects, the decision objects which yield the maximum output with minimum input are compared with other analysis objects. The relative inefficiency was measured through this, and Technical Efficiency (TE), Pure Technology Efficiency (PTE), Scale Efficiency (SE), scale profit, reference frequency were analyzed. Also, we analyzed the Technology Gap Ratio (TGR), which is the distance between production function and Meta-Frontier for each firm, using Meta-Frontier analysis. Finally, the Tobit model is used to analyze the sources of efficiency and inefficiency. The inputs are assets, capital, and employees, and the output factor is sales. The analysis shows that large firms are achieving technological achievements more efficiently than small and medium enterprises. As a result, medium-sized enterprises and SMEs can improve efficiency overall through efficient operation of workforce and appropriate combination of inputs such as assets and capital. Also, as a result of the influence factor analysis, it was found that the ratio of the managed asset ratio and the management cost ratio were significant factors influencing the efficiency of the IT service companies. This study suggests the efficiency analysis using DEA for many Korea IT service companies. Inefficient parts of each company are classified according to size and technology. Also, we identify the most efficient companies and analyze the causes of those companies whose profits are lower than their size.

KMS reinforcement method in the small organization (소규모 조직의 지식경영시스템 활성화 방안)

  • Kim, Sun-Bae
    • Journal of Digital Convergence
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    • v.6 no.4
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    • pp.83-90
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    • 2008
  • When small organizations construct and operate Knowledge Management System(KMS), there exists inefficiency in employee participation and system usage. In recent years, web itself is evolving into web 2.0. And It is crucial to utilize web 2.0 characteristics into KMS. The problems in the original version of KMS(KMS 1.0) is as follows. KMS is separated from Offline and electronic work processing systems. Even information in the electronic work processing system cannot be accessed by employees of other divisions in the same organization. Now web 2.0 environment provides more enhanced user participation and information sharing. It also reinforces KMS 1.0 into KMS 2.0. Small organizations should take advantage of web 2.0 environment and construct the better version KMS of its own with low-cost and high-efficiency.

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A Study on the Construction of Detail Integrated Scheduling System of Ship Building Process (선박건조공정의 미세 통합 일정 관리 체계 구축에 관한 연구)

  • Kim, Yong-Seop;Lee, Dae-Hyung
    • Journal of the Society of Naval Architects of Korea
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    • v.44 no.1 s.151
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    • pp.48-54
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    • 2007
  • Higher productivity and less cost during the manufacturing process of ships are required to maintain international competitiveness of modern shipbuilding industries. The integrated hull/ outfitting/ painting scheduling(IHOP) process is a final point, where logistics are finally being integrated and upcoming schedules are made. Therefore, more profits are expected from IHOP by effective management. In this thesis, IHOP is proposed in order to solve how to choose block erection date with IHOP scheduling logic. The result of IHOP scheduling is highly advised to utilize fabrication, outfitting shops. A standardized operation and load of resource will eventually be applied in long-term time span point of view for this will make it easy to enable capacity planning and workforce planning. It is also expected to eliminate inefficiency in overtime work and efficiently utilize manpower in short-term.

Study on the Electric Energy Saving System in Marine Cooling System (선박 냉각시스템에서의 전기 에너지 절감 시스템에 관한 연구)

  • Kim, Yun-Hyung;Bae, Soo-Young;Jung, Sung-Young;Oh, Jin-Seok
    • Journal of Advanced Marine Engineering and Technology
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    • v.32 no.8
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    • pp.1157-1163
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    • 2008
  • Fuel represents a significant portion of the operating costs of voyages of the vessel. Under this situation, dramatic increase in fuel price caused a problem that earnings of ship becomes decreased seriously. Pumps in a cooling system of the vessel are often operated inefficiently. The reasons will vary from process to process and application to application. Inefficiency of pumps is one of the reason for making the cost of operating the vessel increased. This paper suggests energy-effective cooling system that controls sea water pumps with inverters to reduce energy consumption in vessel by conducting simulation with LabVIEW. Results shows that electric energy consumption of pumps are significantly deceased. If this energy-effective cooling system is applied to other systems which need cooling, it could be useful in reducing electric energy wastage.