Massimo Bertolini

A combined goal programming—AHP approach to maintenance selection problem

Abstract This paper presents a ‘Lexicographic’ Goal Programming (LGP) approach to define the best strategies for the maintenance of critical centrifugal pumps in an oil refinery. For each pump failure mode, the model allows to take into account the maintenance policy burden in terms of inspection or repair and in terms of the manpower involved, linking them to efficiency-risk aspects quantified as in FMECA methodology through the use of the classic parameters occurrence (O), severity (S) and detectability (D), evaluated through an adequate application of the Analytic Hierarchy Process (AHP) technique. An extended presentation of the data and results of the case analysed is proposed in order to show the characteristics and performance of this approach.

An analytical method for maintenance outsourcing service selection

In this paper an experience dealing with the analysis of maintenance outsourcing by means of multi‐criteria decision methods (MCDM) is reported. In particular, the analytic hierarchy process technique (AHP) is used as a managerial decision support system to select the best alternative between different outsourcing contracts in terms of maintenance services. The proposed methodology has been tested on an industrial case study dealing with an important italian brickwork. This application shows how the AHP is able to support the choice of the correct level of the maintenance activities outsourcing. In particular, the hierarchic decisional structure developed represents an instrument able to give a well balanced synthesis of several different factors that must be taken into account during this type of decision problem.

Business process re‐engineering in healthcare management: a case study

Purpose – The purpose of this paper is to carry out the business process re‐engineering (BPR) of a surgical ward in a hospital in order to improve the efficiency of the ward.Design/methodology/approach – This work was developed using a case study on a surgical ward. In this type of ward, in which scheduled and unscheduled operations often have to coexist and be managed, ways to minimise patient inconvenience need to be studied. A framework based on event‐driven process chains (EPCs) methodology, the entity‐relationship model and discrete event simulation is presented to define and analyse the current state of a surgical ward and design a future system. The modelling of the processes, activities and sub‐activities, which took up a great amount of ward resources, allowed a what‐if analysis to be developed which simulates various scenarios and assesses their performance.Findings – Using Delphi methodology, it was possible to identify a number of areas for improvement: number of operating sessions, preparatio...

Extending value stream mapping: the synchro-MRP case

Nowadays, value stream mapping (VSM) is recognised as the main tool for implementing lean manufacturing. Unfortunately, it always leads to pure pull systems and discourages the adoption of hybrid push/pull ones, although their superiority has been proven in several industrial settings. Due to these issues, this paper presents an enhancement of the standard VSM, which supports the user in designing the future state map of a synchro-MRP system. This new tool includes new mapping icons, simple mathematical formulas and operating guidelines that make it possible to assess the benefits of a synchro-MRP system, with respect to the usual kanban or CONWIP ones. In order to demonstrate the quality and the practical utility of the proposed approach, an industrial application of relevance is finally presented.

Experimental evaluation of business impacts of RFID in apparel and retail supply chain

The purpose of this paper is to present and quantify the business benefits that can be achieved through the deployment of Radio frequency identification (RFID) technology in the apparel and fash- ion supply chain. The goal is to provide quantitative results regarding logistics and store processes, as well as different areas and processes that could be affected by RFID, including both operational aspects (e.g. shipping and receiving, inventory counts, etc.) and strategic issues related to garments try-ons, store replenishment, inventory management, customer satisfaction and sales volume. Results presented stem from an experimental campaign carried out in Italy in 2010. We applied RFID UHF gen2 tags to approximately 20,000 garments of the spring/summer and fall/winter 2010 collections, shipped from a distribution centre to a retail store of a major Italian fashion brand. We monitored the flow of goods through the logistics pipeline by means of mobile and fixed RFID readers, and collected the related data. Through proper elaboration of those data, we provided an estimate of the RFID benefits, both at operational and strategic levels. The main findings of our research have to be found in a punctual assessment of savings and increase in sales volume that can be achieved in the apparel supply chain through RFID deployment, with a special focus at the store level. Specifically, RFID is proven to provide benefits at operational levels through increased visibility of materials flows, labour reduction and higher accuracy of the store operations; moreover, it is demonstrated that the greatest contribution of RFID lies in its ability to provide new data, which allows consistently increasing sales and improving customer satisfaction.

Requirements of an ERP enterprise modeller for optimally managing the fashion industry supply chain

This paper presents the results of a panel of experts, made up of academics in the field of operations and supply chain management, enterprise requirement planning software developers, and end‐users, whose work has aimed at defining the main features that characterize an enterprise modeller for the fashion industry. The characteristics required by the enterprise requirement planning enterprise modeller have been identified, with specific attention to the production planning and control module. Because of the peculiarities of this line of business, it is widely recognized that both vendors and buyers would benefit from such a tool. For the formers, the availability of a pre‐customized reference model would represent a competitive advantage in the marketplace, for the latter, on the other hand, it would enhance the effectiveness, the efficiency and the likelihood of success of the enterprise requirement planning implementation project.

Fuzzy Cognitive Maps for Human Reliability Analysis in Production Systems

Cognitive maps provide a graphical and mathematical representation of an individual’s system of beliefs: a cognitive map shows the paths taken, including the alternatives, to reach a destination. With the current increasing need for efficiency of both plant and human operator, fuzzy cognitive maps (FCM) have proved to be able to provide a valid help in assessing the most critical factors for operators in managing and controlling production plants. A FCM represents a technique that corresponds closely to the way humans perceive it; they are easily understandable, even by a non-professional audience and each parameter has a perceivable meaning. FCMs are also an excellent means to study a production process and obtain useful indications on the consequences which can be determined by the variation of one or more variables in the system examined. They can provide an interesting solution to the issue of assessing the factors which are considered to affect the operator’s reliability. In this chapter fuzzy cognitive maps will be investigated for human reliability in production systems.

Reducing out of stock, shrinkage and overstock through RFID in the fresh food supply chain: Evidence from an Italian retail pilot

Abstract. The paper shows how to leverage RFID technology in fresh fast moving consumer goods(FMCG) industry, and, in particular, to optimally manage stock levels on shelves, shelves replenishment,and shrinkage prevention for fresh perishable products.We deployed a pilot project on a FMCG retail supply chain, encompassing a distribution centre andtwo stores of a major Italian retailer. About 60 products have been RFID tagged at case level. We real timetracked cases of products for 4 months, through the distribution chain all the way to the stores, where theRFID deployment made it possible to punctually monitor shelves stock levels, backroom stock levels andproduct shrinkage.We demonstrate that the out of stock (OOS) problem is just one piece of a broader picture, that is shelvesstock optimization. The higher the stock level on the shelves, the lower the need for shelf replenishment,and thus the likelihood of an OOS. However, the capital holding costs and the risk for product shrinkageincrease. The latter issue is particularly relevant for fresh perishable products. This pilot demonstrates thata retailer could reduce OOS, shrinkage and capital holding costs all together, by means of efficient RFIDdata management. Potential savings for fresh products account approx 1.7% of sale turnover.This study is the first pilot project which assesses the impact of RFID technology on the supply chainof fresh perishable products; a full roll-out of the project is being planned for the next future.Keywords: RFID, out of stock, fresh perishable fast moving consumer goods, pilot study

The Benefits of RFID and EPC in the Supply Chain: Lessons from an Italian Pilot Study

The adoption of RFID has undoubted economical advantages in the fast moving consumer goods (FMCG) supply chain, where it allows reducing labor costs, out-of-stock expenses, warehouse management costs, and inventory levels. Such improvements, however, are only a part of the overall RFID benefits, which also include new business opportunities and strategies. The purpose of this chapter is to quantify the potential benefits of RFID technology and EPC Network on the overall FMCG supply chain. The analysis performed and the data presented are based on the results of a recent pilot project developed at the RFID Lab of the University of Parma (Italy), and named “RFID Logistics Pilot.” The project involved 13 major players in the FMCG industry, either manufacturers, 3PLs, or retailers. The deployment was carried out by Parmacotto, an Italian manufacturer of ham, salami, and other processed meats and Auchan, one of the top 5 retailers in the Italian market. RFID tags were used to identify and track 12,000 cases and 800 pallets of sliced ham, sandwiches, and other fresh foods as they moved from production to the retail store shelves, between May and September 2008. The results of the project show that the largest part of the benefits of RFID can be achieved through collaboration between multiple supply chain players. Examples of such benefits include: (i) automation of supply chain processes, with benefits for all players; (ii) better inventory management and decrease in safety stocks, thanks to plain supply chain visibility; (iii) streamlining of other processes (e.g., administrative activities, such as billing); and (iv) increase in turnover due to better management of promotions, reduced stock-out, and increased service level delivered to customers. This latter, in particular, results from the possibility of improving the quality of product delivered to the final customer, in term of increased residual shelf life.

RFID-enabled business intelligence modules for supply chain optimisation

The implementation of radio frequency identification (RFID) for product identification and electronic product code (EPC) for information sharing has the potential to generate a wide amount of data, and to make those data real-time available between supply chain players. However, data need to be interpreted to derive value-added information, which could generate economic benefits from the introduction of RFID technology. This paper aims at addressing the issue of how to exploit EPC data generated by RFID technology to provide value-added information, which could be usefully exploited to optimise supply chain processes. To achieve such aim, a panel of experts, composed of information technology, logistics and supply chain managers of major manufacturers and distributors of fast-moving consumer goods (FMCG), has been involved in the definition of relevant value-added information to be derived from RFID reads. On the basis of the suggestions from the panel members, appropriate business intelligence modules (B...