Organizing the Extended Enterprise: IFIP TC5 / WG5.7 International Working Conference on Organizing the Extended Enterprise 15–18 September 1997, Ascona, Ticino, Switzerland

259 Pages·1998·8.928 MB·English

by  K. Preiss (auth.), Paul Schönsleben, Alfred Büchel (eds.)

Organizing the
Extended Enterprise
Visit the IT & Applied Computing resource centre
www.lT-CH.com
IFIP - The International Federation for Information Processing
IFIP was founded in 1960 under the auspices of UNESCO, following the First World
Computer Congress held in Paris the previous year. An umbrella organization for societies
working in information processing, IFIP's aim is two-fold: to support information processing
within its member countries and to encourage technology transfer to developing nations. As
its mission statement clearly states,
IFIP's mission is to be the leading, truly international, apolitical organization which
encourages and assists in the development, exploitation and application of information
technology for the benefit of all people.
IFIP is a non-profitmaking organization, run almost solely by 2500 volunteers. It operates
through a number of technical committees, which organize events and publications. IFIP's
events range from an international congress to local seminars, but the most important are:
• the IFIP World Computer Congress, held every second year;
• open conferences;
• working conferences.
The flagship event is the IFIP World Computer Congress, at which both invited and
contributed papers are presented. Contributed papers are rigorously refereed and the rejection
rate is high.
As with the Congress, participation in the open conferences is open to all and papers may
be invited or submitted. Again, submitted papers are stringently refereed.
The working conferences are structured differently. They are usually run by a working
group and attendance is small and by invitation only. Their purpose is to create an atmosphere
conducive to innovation and development. Refereeing is less rigorous and papers are
subjected to extensive group discussion.
Publications arising from IFIP events vary. The papers presented at the IFIP World
Computer Congress and at open conferences are published as conference proceedings, while
the results of the working conferences are often published as collections of selected and
edited papers.
Any national society whose primary activity is in information may apply to become a full
member of IFIP, although full membership is restricted to one society per country. Full
members are entitled to vote at the annual General Assembly, National societies preferring a
less committed involvement may apply for associate or corresponding membership. Associate
members enjoy the same benefits as full members, but without voting rights. Corresponding
members are not represented in IFIP bodies. Affiliated membership is open to non-national
societies, and individual and honorary membership schemes are also offered.
Organizing the
Extended Enterprise
IFIP TC5 / WG5.7 International Working Conference on
Organizing the Extended Enterprise
15-18 September 1997, Ascona, Ticino, Switzerland
Edited by
Paul Schonsleben
and Alfred Buchel
Institute for Industrial Engineering and Management BWI
Swiss Federal Institute of Technology ETH Zurich
Switzerland
lunl
SPRINGER-SCIENCE+BUSINESS MEDIA, B.v.
First edition 1998
~ 1998 Springer Science+Business Media Dordrecht
Originally published by Chapman & Hali in 1998
ISBN 978-1-4757-6113-9 ISBN 978-0-387-35295-4 (eBook)
DOI 10.1007/978-0-387-35295-4
AII rigbls reserved. No pari of this publication may be reproduced, Slored in a retrieval
system or transmitted in any form or by any rneans. electronic. mechanical. pbotocopying.
recording or otherwise. withoul Ihe prior permission of the publishers. Applications for
permission sbould be addressed to the rigbts manager al the London address of the publisber.
The publisher makes no representation. express or implied. with regarel 10 the accuracy of
the information contained in this book and cannol accept any legal responsibility or Iiability
for any errors or omissions lbal may be made.
A catalogue record for this book is available from the British Library
~ Printed on permanent acid-free text paper. manufactured in accordance with
ANSIINISO Z39.48-1992 (Permanence ofPaper).
CONTENTS
Preface vii
Welcome Address ix
PART ONE Keynote Speech
1 The emergence of the Interprise
K. Preiss 3
PART TWO Comprehensive Views of the Extended Enterprise 17
2 Variable production networks -successful operating in an
"alliance of the best"
H.-P' Wiendahl and K. Helms 19
3 Perspectives for executive information. decision support and information
management in the extended enterprise
K. Mertins and O. Krause 32
4 Partnering along the construction logistics chain
S. Pahkala, T. Nyberg and T. Wegelius-Lehtonen 45
5 The organisation of the self-innovative extended factory in the
ManuFuturing model
C.R. Boer and F. Jovane 59
6 VEGA* : cooperating support systems for virtual enterprises
A.R. Probst, J.-F. Bitschnau, J. Griese and B. Suter 68
7 Criteria-oriented order allocation in a multisite production structure -
a decision support instrument for the clothing industry
U. Friemuth and Ph. von Wrede 82
8 Manufacturing systems engineering for the extended enterprise
E. Corradi, A. Bartolotta, M. Garetti, M. Rabe and A. Raimondo 93
PART THREE Special Characteristics of the Extended Enterprise 105
9 Manufacturing franchising for managing the extended enterprise
A.S. Carrie, LE. Hayfron and I. Dean 107
10 Clothing industry 2000: the archetype of the extended enterprise
I.P. Tatsiopoulos, I.A. Pappas and S. Ponis 119
11 Planning in virtual enterprises
W. Ortner and C. Stary 135
vi Contents
12 Building up a virtual organisation
D. Brutsch 145
13 SMEs in supply chain: a supplier evaluation model and some
empirical results
P. Morlacchi, S. Pavesi and A. Savoldelli 158
14 Build and operate logistic chains -an approach to synchronise
distributed production activities
T. Kuhlmann, R. Lamping and C. Massow 176
PART FOUR Further Aspects of Production Management 189
15 Integrated performance measurement systems: a reference model
U.S. Bititci, A.S. Carrie and T. Turner 191
16 Evaluation of enterprises within a turbulent market -control the
dynamic character of turbulent markets of the next millenium
D. Markfort, C. Borgmann, N. Brehmer and T. Forster 203
17 Demand oriented factory planning through reference models
M. Abramowski 212
18 Practical implementation of virtual lean and agile manufacturing
systems -application of a generic framework
A.K. Kochhar 222
19 A simulation model for designing the automation of future's factory
J. Borda Elejabarrieta 231
20 Simulation-aided re-organisation of the personnel assignment in
dynamic production systems
G. Zulch, J. Heel and J. Kruger 243
Index of contributors 255
Keyword index 257
Preface
For many years, production management has no more been confined to individual
production facilities. Intensive co-operation with suppliers has become an integral
part of production management. In recent years, two further developments gained
ground. On one hand, enterprises have been specializing and concentrating on their
core competencies with outsourcing as a consequence, on the other side globali
zation has widened the range of choice among suppliers. Increased dependence on
suppliers asks for new forms of collaboration. Intensive partnerships between many
enterprises demand a new quality of co-operative ventures. Strategic and legal
issues have to be considered and production management has to include
sophisticated logistic chain management. These developments have lead to the
concept of the "Extended Enterprise".
Specific problems may arise due to fast changing market requirements. Partnerships
may have to be formed and dissolved in a very short time: "Agility" is the relevant
keyword. Partnerships may be limited to specific products or components.
Increasingly an enterprise may be part of several logistics partnerships, which
constitute together a complicated network. "Virtuality" has become the keyword for
this trend.
But many questions remain to be answered in order to successfully stand up to the
challenge offered by those developments. How to establish and maintain efficient
ways of co-operation with many partners? How to repeatedly modifY the structures
of an enterprise in a rapidly changing environment? How to improve overall
operational effectiveness in order to enhance industrial competitiveness on a world
scale?
The 1997 IFIP WG 5.7 Working Conference on "Organizing the Extended
Enterprise" in Ascona, Switzerland (September 15th_18th 1997) was expected to
discuss those and related problems and also to provide some answers to enterprises
confronted with these issues.
The conference was organized by the Institute for Industrial Engineering and
Management (BWI) of the Swiss Federal Institute of Technology (ETH) Zurich. In
Switzerland BWI constitutes a major link between academic research and industrial
application of principles of production management. Applied research is, therefore,
one of the main activities of BWI and it provides also the background for its
teaching.
Accordingly, it was our concern for this IFIP WG5.7. conference to attract papers
also of interest to managers in industry. We therefore encoumged the presentation
of papers on conceptual level research studies and of applications in industry. Many
Organizing the Extended Enterprise P. SchOnsleben. & A. BUchel (Eds.)
@ 19981FIP. Published by Chapman & Hall
viii Preface
papers did present cases of co-operation of research institutions and industry. So
we hope that this book will find some readers in industry.
This book is the collection of the papers according to the presentations during the
conference. Since the papers were written several months before the conference,
authors had the opportunity to rework their papers after the conference, not only to
include new aspects of their research but also to respond to the discussion with the
audience after the presentation.
The aim of this conference was the extended enterprise. We were not completely
successful in focusing only on this theme. In order to fill the time frame of the
conference we had to accept abstracts which, although promising truly interesting
papers, had only minor relations to the Extended Enterprise. The book's framework
takes this into account and presents the papers not necessarily in the order of the
conference presentations but rather arranged according to their relevance to the
conference theme.
We would like to thank the members ofIFIP Working Group 5.7 for their support
in reviewing and selecting the papers. All conference participants contributed to the
discussions and other activities. We would like to acknowledge the effort of all
authors for papers and presentations of such high quality.
We specially appreciated the keynote speeches: of IFIP President Prof. Dr. Kurt
Bauknecht and of Prof. Dr. Kenneth Preiss. Prof. Preiss was present during most of
the sessions. With his active participation in discussions during and after the
sessions, he contributed largely to the success of the conference.
The conference was sponsored by the Swiss Federal Institute of Technology Zurich
and Swissair, and supported by the Federal Commission for Technology and
Innovation, Bern. We thank all organizations for their substantial assistance. We
would also like to express our gratitude to two companies that invited the
participants to their facilities for post-conference tours: AGIE-Charmilles at Losone
and Schindler Elettronica at Locarno.
Last but not least we would like to thank the members of the organizing committee,
Sabine von Vivis, Dr. Fabio Frigo-Mosca, and Karsten Schierholt, who took care of
the local arrangements and the conference tour, all administrative matters, the
correspondence with authors that fmally led to this book, and many more things.
We also thank the large number of student assistants who helpfully supported the
organization committee.
Zurich, March 1998
Prof. Dr. A. Buchel Prof. Dr. P. SchOnsleben
Welcome Address
by Prof. Dr. Eero Eloranta
Chainnan ofIFIP WG 5.7.
"Computer Aided Production Management"
The extended enterprise is one of the recent phrases depicting the global trends and
needs for industrial evolution. Basically, the concept of the extended enterprise
emphasizes cross boundary co-operation. The message is simple and clear. Without
deep co-operation no single company can prosper. Neither small, local SME's, nor
huge, global players can survive on their own.
The essence of the extended enterprise is straightforward: deep co-operation opens
opportunities for fast, efficient and reliable fulfillment of end customer needs
throughout the whole demand chain. Even though some research communities call
this phenomenon as "virtual enterprise", the fundamentals of this phenomenon is
nothing but virtual: it is the question of tangible phenomena with tangible returns.
The fact that information and communication technologies are preconditions for the
success of the implementation of the concept, does not, however, imply that the
underlying rationality where about virtual reality, but the true reality itself.
The implications of the extended enterprise towards production management are
manifold. They range from highly strategic issues, strategic alliances and consortia,
down to practicalities such as the management of joint schedules and inventory
buffers. This working conference has been created and launched for enhancing the
ideas of the extended enterprise. We have collected here to share our visions,
approaches, methods, tools and experiences.
This beautiful conference venue provides us excellent surroundings to meet the
challenges of tomorrow. This particular conference center of Stefano Franscini
located in Monte Verita, Ascona, Ticino will put our joint efforts in perspective.
We are not the very first people to get together here. The creative community of
philosophers, sociologists, psychologists and writers have discovered this lovely
village long before any of us were born.
My dear friends, let's get together here for the coming three days to expose and
share some innovative results of our community in order to create something for the
future, useful or not today, it does not matter, but definitely valuable tomorrow!
With these words I shall hereby take the liberty to thank the Conference chairmen,
Professors Alfred Buchel and Paul SchOnsleben, plus the vast groups of other
individuals having worked locally here in Switzerland and globally in the
International Program Committee for all your valuable preparatory work for the
benefit of this conference. The whole IFIP community, myself in particular, deeply
appreciates your efforts.
x Welcome Address
I shall hereby, on the behalf oflFIP WG 5.7, give my greetings to this conference
and wish excellent contributions. The table is ready for us to enjoy, it is now up to
us, the participants, to enjoy the fruits of hard preparatory work that has been
carried out for several years in advance. This conference will defmitely be a great
success.
Ascona, September 1997