Vulnerability of production systems with multi-supplier network: a case study

Despite management capability and innovative production techniques, uncertainty and variability that affect production systems cannot be completely controlled or eliminated. Thus, it is important to evaluate the intrinsic system characteristics that are susceptible to the negative impact of unexpected or unavoidable disruptions on system performance. In this paper, we apply the concept of vulnerability to production systems in order to provide some insight into the effect of uncertainty and variability on system performance. In particular, a model of a production system with a multi-supply network that is subject to process uncertainty and product mix variability is used to analyse the effects of system vulnerability. A case study is used to demonstrate the effects of specific characteristics of a real production system that can render the system vulnerable. The approach demonstrates the difficulty of improving performance without appropriate changes in the product/process design and/or in operations management