MAS 2015 Proceeding

Economies of scale and scope in manufacturing systems - a benchmarking approach

Authors:   Sameh Saad, Ali Bagheri


The main purpose of this study is to benchmark the economics of scale and scope (EoSS) for three different manufacturing systems layouts namely; functional, cellular and fractal layouts. The effect of setup reduction factor (SRF) on the EoSS of the mentioned layouts is also included in this study. Firstly, simulation modelling is employed to model and generate the necessary performance measures of these proposed layouts and then, EoSS levels are generated using mathematical programming. This study revealed that, fractal layout (FrL) showed the highest level of EoSS followed by cellular layout (CL) and then functional layout (FL). Additionally the findings of this study are in line with previous studies about the effect of SRF on the CL and the relative level of EoSS in the FL and CL. While majority of previous research focused on the comparison of functional and cellular layouts, it is clear that evaluating the EoSS attracted little attention in the past; therefore, the originality of this research work is threefold. Firstly, the evaluation of EoSS, secondly, the consideration of the FrL in the comparison as one of the 21 st century manufacturing systems and lastly the development of the parts routing for the FrL is intelligently defined in the simulation model.

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