Pre-requisites and added value based upon a comprehensive coordination of multi-product customer orders in MTO production networks

Abstract

In a data- and information-driven enterprise, production planning and control becomes more and more important. Most enterprises invest in data collection and analytics systems within production. Production-related information is, however, already given and included within the customer order and entered by the sales department. The customer order may not only consist of one production order, but, especially in a B2B (Business to Business) environment, the customer order may include more than one production unit. Therefore, it may be advantageous to transmit the customer order information throughout the overall production planning and control process. In former studies, the so-called integrated planning developed concepts and algorithms to combine the production and transportation constraints within production planning. Increased customization and competition may resolve in new services and more efficient methods. Enterprises within machinery and plant engineering business face both trends. In this case, an adjustment of the operative production planning might be beneficial. A central operative production planning for the overall production network enables companies to offer special service to their customers (complete delivery) and to remain efficient (total costs of order scheduling). The concept will be presented and discussed within this article and focuses on MTO (make to order) manufacturers with an existing production network.