University of Hertfordshire

By the same authors

Simulation Based Study of Safety Stocks under Short-Term Demand Volatility in Integrated Device Manufacturing.

Research output: Chapter in Book/Report/Conference proceedingConference contribution

Standard

Simulation Based Study of Safety Stocks under Short-Term Demand Volatility in Integrated Device Manufacturing. / Sunmola, Funlade; Alcalde Fernández, Oliver .

2nd IEOM European Conference on Industrial Engineering and Operations Management: Paris, France, July 26-27.. 2018. ID 142.

Research output: Chapter in Book/Report/Conference proceedingConference contribution

Harvard

Sunmola, F & Alcalde Fernández, O 2018, Simulation Based Study of Safety Stocks under Short-Term Demand Volatility in Integrated Device Manufacturing. in 2nd IEOM European Conference on Industrial Engineering and Operations Management: Paris, France, July 26-27.., ID 142.

APA

Sunmola, F., & Alcalde Fernández, O. (2018). Simulation Based Study of Safety Stocks under Short-Term Demand Volatility in Integrated Device Manufacturing. In 2nd IEOM European Conference on Industrial Engineering and Operations Management: Paris, France, July 26-27. [ID 142]

Vancouver

Sunmola F, Alcalde Fernández O. Simulation Based Study of Safety Stocks under Short-Term Demand Volatility in Integrated Device Manufacturing. In 2nd IEOM European Conference on Industrial Engineering and Operations Management: Paris, France, July 26-27.. 2018. ID 142

Author

Sunmola, Funlade ; Alcalde Fernández, Oliver . / Simulation Based Study of Safety Stocks under Short-Term Demand Volatility in Integrated Device Manufacturing. 2nd IEOM European Conference on Industrial Engineering and Operations Management: Paris, France, July 26-27.. 2018.

Bibtex

@inproceedings{8970fc3253b54d7f96892a785e36a421,
title = "Simulation Based Study of Safety Stocks under Short-Term Demand Volatility in Integrated Device Manufacturing.",
abstract = "A problem faced by integrated device manufacturers (IDMs) relates to fluctuating demand and can be reflected in long-term demand, middle-term demand, and short-term demand fluctuations. This paper explores safety stock under short term demand fluctuations in integrated device manufacturing. The manufacturing flow of integrated circuits is conceptualized into front end and back end operations with a die bank in between. Using a model of the back-end operations of integrated circuit manufacturing, simulation experiments were conducted based on three scenarios namely a production environment of low demand volatility and high capacity reliability (Scenario A), an environment with lower capacity reliability than scenario A (Scenario B), and an environment of high demand volatility and low capacity reliability (Scenario C). Results show trade-off relation between inventory levels and delivery performance with varied degree of severity between the different scenarios studied. Generally, higher safety stock levels are required to achieve competitive delivery performance as uncertainty in demand increases and manufacturing capability reliability decreases. Back-end cycle time are also found to have detrimental impact on delivery performance as the cycle time increases. It is suggested that success of finished goods safety stock policy relies significantly on having appropriate capacity amongst others to support fluctuations.",
author = "Funlade Sunmola and {Alcalde Fern{\'a}ndez}, Oliver",
note = "{\circledC} IEOM Society International",
year = "2018",
month = "7",
day = "26",
language = "English",
isbn = "978-1-5323-5945-3",
booktitle = "2nd IEOM European Conference on Industrial Engineering and Operations Management",

}

RIS

TY - GEN

T1 - Simulation Based Study of Safety Stocks under Short-Term Demand Volatility in Integrated Device Manufacturing.

AU - Sunmola, Funlade

AU - Alcalde Fernández, Oliver

N1 - © IEOM Society International

PY - 2018/7/26

Y1 - 2018/7/26

N2 - A problem faced by integrated device manufacturers (IDMs) relates to fluctuating demand and can be reflected in long-term demand, middle-term demand, and short-term demand fluctuations. This paper explores safety stock under short term demand fluctuations in integrated device manufacturing. The manufacturing flow of integrated circuits is conceptualized into front end and back end operations with a die bank in between. Using a model of the back-end operations of integrated circuit manufacturing, simulation experiments were conducted based on three scenarios namely a production environment of low demand volatility and high capacity reliability (Scenario A), an environment with lower capacity reliability than scenario A (Scenario B), and an environment of high demand volatility and low capacity reliability (Scenario C). Results show trade-off relation between inventory levels and delivery performance with varied degree of severity between the different scenarios studied. Generally, higher safety stock levels are required to achieve competitive delivery performance as uncertainty in demand increases and manufacturing capability reliability decreases. Back-end cycle time are also found to have detrimental impact on delivery performance as the cycle time increases. It is suggested that success of finished goods safety stock policy relies significantly on having appropriate capacity amongst others to support fluctuations.

AB - A problem faced by integrated device manufacturers (IDMs) relates to fluctuating demand and can be reflected in long-term demand, middle-term demand, and short-term demand fluctuations. This paper explores safety stock under short term demand fluctuations in integrated device manufacturing. The manufacturing flow of integrated circuits is conceptualized into front end and back end operations with a die bank in between. Using a model of the back-end operations of integrated circuit manufacturing, simulation experiments were conducted based on three scenarios namely a production environment of low demand volatility and high capacity reliability (Scenario A), an environment with lower capacity reliability than scenario A (Scenario B), and an environment of high demand volatility and low capacity reliability (Scenario C). Results show trade-off relation between inventory levels and delivery performance with varied degree of severity between the different scenarios studied. Generally, higher safety stock levels are required to achieve competitive delivery performance as uncertainty in demand increases and manufacturing capability reliability decreases. Back-end cycle time are also found to have detrimental impact on delivery performance as the cycle time increases. It is suggested that success of finished goods safety stock policy relies significantly on having appropriate capacity amongst others to support fluctuations.

M3 - Conference contribution

SN - 978-1-5323-5945-3

BT - 2nd IEOM European Conference on Industrial Engineering and Operations Management

ER -