QUESTION POSED ON: 16 April 2003 We are maker of electrical appliances. We implemented JIT a couple of years back and scheduled our line based on the JIT "Mix Mode Scheduling" concept. Basically, our optimal sequence must consider tradeoff between the cost of delay, cost of carrying inventory and product transition cost. Regretably, SNP schedule does not consider the setup time while PPDS planning engine does seem to be capable of considering the carrying cost at the unit level. Is there a solution for this?
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I am unaware of how your JIT mode is set up and whether you have feeder facilities pulling work into an assembly environment. Currently the cost of delay and inventory carrying cost in SNP is fairly ok. Expect for product transition cost which you should expect in SCM 4.0. In the PPDS environment you can get the setup matrix, transition and cost of delay in a relatively good environment. There are options on how you model the inventory carrying cost using PPMs. Your choices are limited until SCM 4.0. PPDS, while not your favorite, is the only bet for now in 3.1.
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