• The Journal of Information Systems
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• v.30 no.1
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• pp.151-177
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• 2021

Purpose This paper aims to improve management performance by effectively responding to production needs and reducing inventory through synchronizing production planning and procurement in the aviation industry. In this study, the differences in production planning and execution were first analyzed in terms of demand, supply, inventory, and process using the big data collected from a domestic aircraft manufacturers. This paper analyzed the problems in procurement and inventory management using legacy big data from ERP system in the company. Based on the analysis, we performed a simulation to derive an efficient procurement and inventory management plan. Through analysis and simulation of operational data, we were able to discover procurement and inventory policies to effectively respond to production needs. Design/methodology/approach This is an empirical study to analyze the cause of decrease in inventory turnover and increase in inventory cost due to dis-synchronize between production requirements and procurement. The actual operation data, a total of 21,306,611 transaction data which are 18 months data from January 2019 to June 2020, were extracted from the ERP system. All them are such as basic information on materials, material consumption and movement history, inventory/receipt/shipment status, and production orders. To perform data analysis, it went through three steps. At first, we identified the current states and problems of production process to grasp the situation of what happened, and secondly, analyzed the data to identify expected problems through cross-link analysis between transactions, and finally, defined what to do. Many analysis techniques such as correlation analysis, moving average analysis, and linear regression analysis were applied to predict the status of inventory. A simulation was performed to analyze the appropriate inventory level according to the control of fluctuations in the production planing. In the simulation, we tested four alternatives how to coordinate the synchronization between the procurement plan and the production plan. All the alternatives give us more plausible results than actual operation in the past. Findings Based on the big data extracted from the ERP system, the relationship between the level of delivery and the distribution of fluctuations was analyzed in terms of demand, supply, inventory, and process. As a result of analyzing the inventory turnover rate, the root cause of the inventory increase were identified. In addition, based on the data on delivery and receipt performance, it was possible to accurately analyze how much gap occurs between supply and demand, and to figure out how much this affects the inventory level. Moreover, we were able to obtain the more predictable and insightful results through simulation that organizational performance such as inventory cost and lead time can be improved by synchronizing the production planning and purchase procurement with supply and demand information. The results of big data analysis and simulation gave us more insights in production planning, procurement, and inventory management for smart manufacturing and performance improvement.

• International Journal of Naval Architecture and Ocean Engineering
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• v.1 no.2
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• pp.70-77
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• 2009

Today, many middle-sized shipbuilding companies in Korea are experiencing strong competition from shipbuilding companies in other nations. This competition is particularly affecting small- and middle-sized shipyards, rather than the major shipyards that have their own support systems and development capabilities. The acquisition of techniques that would enable maximization of production efficiency and minimization of the gap between planning and execution would increase the competitiveness of small- and middle-sized Korean shipyards. In this paper, research on a simulation-based support system for ship production management, which can be applied to the shipbuilding processes of middle-sized shipbuilding companies, is presented. The simulation research includes layout optimization, load balancing, work stage operation planning, block logistics, and integrated material management. Each item is integrated into a network system with a value chain that includes all shipbuilding processes.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.42 no.1
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• pp.64-73
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• 2019

The manufacturing companies under Make-To-Order (MTO) production environment face highly variable requirements of the customers. It makes them difficult to establish preemptive production strategy through inventory management and demand forecasting. Therefore, the ability to establish an optimal production schedule that incorporates the various requirements of the customers is emphasized as the key success factor. In this study, we suggest a process of designing the simulation model for establishing production schedule and apply this model to the case of a flat glass processing company. The flat glass manufacturing industry is under MTO production environment. Academic research of flat glass industry is focused on minimizing the waste in the cutting process. In addition, in the practical view, the flat glass manufacturing companies tend to establish the production schedule based on the intuition of production manager and it results in failure of meeting the due date. Based on these findings, the case study aims to present the process of drawing up a production schedule through simulation modeling. The actual data of Korean flat glass processing company were used to make a monthly production schedule. To do this, five scenarios based on dispatching rules are considered and each scenario is evaluated by three key performance indicators for delivery compliance. We used B2MML (Business To Manufacturing Markup Language) schema for integrating manufacturing systems and simulations are carried out by using SIMIO simulation software. The results provide the basis for determining a suitable production schedule from the production manager's perspective.

• Journal of the Korean Operations Research and Management Science Society
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• v.26 no.4
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• pp.143-153
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• 2001

In this study we develop a computer simulation model to evaluate the effects of various production and order processing policies measured in terms of on-time delivery rate and average waiting time of job orders. Policies considered include : eliminating inflated due date, lot splitting, loss time reduction, attaining full flexibility in production lines, and selective order promising scheme. Actual order-production data from a chemical company were used in the simulation model. Based on the simulation results, we make several suggestions that can significantly reduce the production lead time and increase the on-time delivery rate.

• Journal of the Korean Society of Marine Environment & Safety
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• v.20 no.1
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• pp.86-95
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• 2014

Productivity improvement of a shipbuilding company depends on how efficiently its limited resources are managed and utilized. Recently, research on modeling and simulation (M&S) to support shipyard production management system has been being under study. The production management based on M&S rejects decision making on experience, and it can establish productivity improvement method based on quantitative and specific data. In this paper, M&S is applied to the long-term plan as a part of the production planning in shipyards. To this end, the long-term plan processes and related management systems are analyzed. Based on the analysis, a simulation model and an application system using commercial simulation software are suggested. And basic structure of the suggested system is based on web technology such as Rich Internet Application, web services protocol for compatibility with existing shipyard enterprise systems. Utilizing the results of this study, it is expected that shipyard production planners can settle down work flow, in which one can establishes the production plan, simulates the plan, and analyzes the results, enabling a more reliable production plans.

• Proceedings of the Korean Operations and Management Science Society Conference
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• 1996.04a
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• pp.316-316
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• 1996

• Journal of the Society of Naval Architects of Korea
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• v.53 no.1
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• pp.18-28
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• 2016

In shipbuilding, the scheduling system is susceptible to sudden changes and thus it turns to be difficult to predict the differences between schedule and production records in advance. A computer-based simulation is commonly utilized to overcome the discrepancies occurred in estimating workloads and resulting processing times. The main drawback of this simulation-based solution is its limited applicability because, in most cases, each shipyard requires specific and customized simulation environment. By standardizing the planning data of the midterm scheduling system, as proposed in this paper, the efficiency of the current simulation model can be enhanced. To present an alternative approach, this paper begins with the analysis of the complex planning data structure of several shipyards and then proceeds to construct a standard data structure based on the neutral format. An interface application is developed for the data transaction and simulation in on-line environment. As a result, a simulation-based production management of shipyards can be achieved by the efficient prediction of planning and scheduling.

• International conference on construction engineering and project management
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• 2015.10a
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• pp.639-640
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• 2015

Traditional construction planning based on historical data and heuristic adjustment can no longer incorporate all the operational details and guarantee the expected performance. The variation between the expected and the actual production leads to cost overruns or delay. Although predicting reliable productivity on construction site is getting more important, the difficulty of this increases. In this regard, this paper suggested to develop BIM-integrated simulation framework. This framework could predict productivity dynamics by considering factors affecting on construction productivity at operational phase. We developed the following processes; 1) enabling a BIM model to produce input data for simulation; 2) developing the construction operation simulation; 3) running simulation using BIM data and obtaining productivity results. The BIM-integrated simulation framework was tested with structural steel erection model because steel erection work is one of the most critical process influencing on the whole construction budget and duration. We could improve to predict more dynamic productivity from this framework, and this reliable productivity helps construction managers to optimize resource allocation, increase schedule reliability, save storage cost, and reduce material loss.

• International Journal of Naval Architecture and Ocean Engineering
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• v.8 no.5
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• pp.496-510
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• 2016

Simulation technology is a type of shipbuilding product lifecycle management solution used to support production planning or decision-making. Normally, most shipbuilding processes are consisted of job shop production, and the modeling and simulation require professional skills and experience on shipbuilding. For these reasons, many shipbuilding companies have difficulties adapting simulation systems, regardless of the necessity for the technology. In this paper, the data model for shipyard production simulation model generation was defined by analyzing the iterative simulation modeling procedure. The shipyard production simulation data model defined in this study contains the information necessary for the conventional simulation modeling procedure and can serve as a basis for simulation model generation. The efficacy of the developed system was validated by applying it to the simulation model generation of the panel block production line. By implementing the initial simulation model generation process, which was performed in the past with a simulation modeler, the proposed system substantially reduced the modeling time. In addition, by reducing the difficulties posed by different modeler-dependent generation methods, the proposed system makes the standardization of the simulation model quality possible.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.45 no.1
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• pp.83-90
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• 2022

This study deals with replacement analysis of deteriorated equipment for improving productivity of production system. Frequent breakdown of the deteriorated equipment causes a situation that reduces productivity such as low product quality, process delay, and repair cost. However, the replacement of new equipment will be required a high initial investment cost, so it is important to analysis the economic feasibility. Therefore, we analyze the effect of the production system due to the aging effect of the equipment and the feasibility of equipment replacement based on the economic analysis. The process flow, working time, logistics movement, etc. are analyzed in order to build the simulation modeling for a ship and land switchboard production system. Using numerical examples, the economic feasibility analysis of equipment replacement through replacement of existing deteriorated equipment and additional arrangement of new facilities is performed.