Understanding the Cost of Disruptions in Manufacturing Facilities

Strategic Finance, Forthcoming

13 Pages Posted: 1 Mar 2015

See all articles by Ge Bai

Ge Bai

Johns Hopkins University - Carey Business School

Takehisa Kajiwara

Kobe University - Graduate School of Business Administration

Jianbo Liu

Institute of Electrical and Electronics Engineers, Inc. (IEEE)

Date Written: February 27, 2015

Abstract

Most automated manufacturing systems involve interconnected workstations that are subject to random disruptions. Understanding the cost of disruptions is critical for strategic cost management at the plant-floor level. We propose a four-step procedure to measure the cost of disruptions and apply it to cost bottleneck identification and performance evaluation.

Suggested Citation

Bai, Ge and Kajiwara, Takehisa and Liu, Jianbo, Understanding the Cost of Disruptions in Manufacturing Facilities (February 27, 2015). Strategic Finance, Forthcoming, Available at SSRN: https://ssrn.com/abstract=2571370

Ge Bai (Contact Author)

Johns Hopkins University - Carey Business School ( email )

100 International Drive
Baltimore, MD 21202
United States

Takehisa Kajiwara

Kobe University - Graduate School of Business Administration ( email )

2-1,Rokkodai,, Nada-ku
Kobe, 657-8501
Japan
+81-78-803-6988 (Phone)
+81-78-803-6988 (Fax)

Jianbo Liu

Institute of Electrical and Electronics Engineers, Inc. (IEEE) ( email )

United States

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
91
Abstract Views
1,212
rank
331,560
PlumX Metrics