TY - JOUR
T1 - A cloud manufacturing service to control outsourcing production
AU - Yang, Haw Ching
AU - Chen, Ying Liang
AU - Cheng, Fan Tien
N1 - Funding Information:
The authors would like to thank HiMax Corporation, Ltd. in Taiwan for providing the raw data used in the case study. This work was supported by the Ministry of Science and Technology of Taiwan, ROC under Contracts MOST 107-2218-E-006-055 - and 106-EC-17-A-05-S3-038. This work was also financially supported by the “Intelligent Manufacturing Research Center” from The Featured Areas Research Center Program within the framework of the Higher Education Sprout Project by the Ministry of Education in Taiwan, ROC.
Publisher Copyright:
© 2020 The Chinese Institute of Engineers.
PY - 2020
Y1 - 2020
N2 - Outsourcing production enables fabless companies to focus on their main business and yet still stay competitive in the supply chain. However, as the actual production process of a Contract Manufacturer (CM) is encapsulated, a Fabless Manufacturer (FM) frequently struggles with higher inventory levels than its actual needs in response to outsourcing production risks. This study proposes Virtual Production Control Services (VPCS) for a company to identify the production risks of its CM and come up with corresponding solutions for improving demand fulfillment. By mining the updated work-in-process data from the CM, the VPCS can identify the potential production risks in a timely manner by estimating production progress based on an optimal planning model. In addition, production risks can be mitigated after applying a novel risk-control scheme such that demands can be fulfilled with reduced inventory levels. An FM case study indicates that VPCS is a promising method to improve the outsourcing efficiency of a company in the IC supply chain.
AB - Outsourcing production enables fabless companies to focus on their main business and yet still stay competitive in the supply chain. However, as the actual production process of a Contract Manufacturer (CM) is encapsulated, a Fabless Manufacturer (FM) frequently struggles with higher inventory levels than its actual needs in response to outsourcing production risks. This study proposes Virtual Production Control Services (VPCS) for a company to identify the production risks of its CM and come up with corresponding solutions for improving demand fulfillment. By mining the updated work-in-process data from the CM, the VPCS can identify the potential production risks in a timely manner by estimating production progress based on an optimal planning model. In addition, production risks can be mitigated after applying a novel risk-control scheme such that demands can be fulfilled with reduced inventory levels. An FM case study indicates that VPCS is a promising method to improve the outsourcing efficiency of a company in the IC supply chain.
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U2 - 10.1080/02533839.2020.1819427
DO - 10.1080/02533839.2020.1819427
M3 - Article
AN - SCOPUS:85091123281
SN - 0253-3839
VL - 43
SP - 838
EP - 850
JO - Journal of the Chinese Institute of Engineers, Transactions of the Chinese Institute of Engineers,Series A
JF - Journal of the Chinese Institute of Engineers, Transactions of the Chinese Institute of Engineers,Series A
IS - 8
ER -