The link between the use of advanced planning and scheduling (APS) modules and factory context

Through a study of four embedded action research cases within a global OEM, it is investigated how the frequency of use and contribution of an Advanced Planning and Scheduling (APS) module are affected by factory context. The performance contribution of the APS module is found to be high at factories characterized by low planning maturity, but lower for factories with medium planning maturity. For low planning maturity, the APS module is used for improving the configuration of the manufacturing system, whereas high planning maturity is required to capture performance benefits from optimization and scenario planning. Further, it is found that planning complexity at the factory increases both the frequency of use and the contribution of using APS modules. On the basis of the findings, three propositions are formulated on the link between factory context and the use of APS module.

I. Introduction

The setting of this action research project is a global original equipment manufacturer (OEM), with a manufacturing network of more than ten factories worldwide. The OEM desired an Advanced Planning and Scheduling (APS) system to assist in the tactical planning process at its factories. The scope of the operational project was to use the APS system to optimise the production and capacity planning with regard to inventory levels, workforce adjustments and capacity investments to break bottlenecks [1]. The academic project (besides the development of the APS modules - See [1]) focused on how the APS modules are used and how they contribute to the tactical planning in the different factories, which operates under different planning complexities and with different planning maturities.