Master thesis deals with the order management process in the company XYZ Ltd. The thesis contains three main parts. The first part is evaluation of theoretical approaches to the solution, which is based on the literature. The next part is an analysis of the current state of the organization, where the issue of the order management in the organization is described. Based on this analysis , customized proposal solutions are made, to create added value for each activity to meet customer requirements.

Syfte – Syftet med studien är att identifiera enskilda parametrar på artiklar för att möjliggöra optimerad lagerstyrning i ett tillverkande företag med kundorderstyrd produktion. För att besvara syftet har tre frågeställningar formulerats. Vilka parametrar behöver tas hänsyn till för att optimera lagerstyrningen? Vilka parametrar kan identifieras i ett tillverkande företag med kundorderstyrd produktion? Hur kan identifierade artiklar användas inom lagerstyrning? Metod – Studien initierades med en förstudie för att belysa problematiken kring ämnet och dess kontext. Förstudien i kombination med en litteraturstudie bidrog till skapandet av syftet och formuleringen av studiens tre frågeställningar. Vidare är studien utformad enligt typen enfallsdesign där intervju användes som datainsamlingsmetod. Intervjun bidrog till kvalitativa primärdata där syftet var att åskådliggöra nyckelpersoners kunskap om det studerade ämnet. Resultat – Identifiering av viktiga parametrar för att optimera lönsamhet och lagerstyrning i ett företag är utmanande. Problematiken kring detta ligger i att identifiera rätt parametrar anpassade för ett företags produktionssätt samt belysa hur dessa ska implementeras. Denna studie behandlar parametrar, vilka är viktiga i kundorderstyrd miljö med hänsyn till olika funktioner i ett företag. Resultatet beskriver dessa parametrar samt påvisar hur parametrarna med fördel används i en ABC-klassificering för att styra lagret effektivt och lönsamt. Implikationer – Ämnesområdet kring lagerstyrning är väl utforskat inom existerande litteratur vilket bidrar till mindre utrymme att generera ny kunskap inom området. Trots detta bidrar denna studie till ny kunskap vilket stärker nuvarande forskning beträffande lagerstyrning i kundorderstyrd miljö. Detta då insamlad teori i kombination med empiri öppnar upp till nya fakta att ta i beaktande. Begränsningar – Studien omfattar enbart ett fallföretag vilket därtill påverkar studiens generaliserbarhet. Då studien fokuserar på lagerstyrning utifrån fem funktioner på fallföretaget kan inte studien generaliseras fullständigt mot andra likande företag. Vidare kan begränsningar återfinnas inom datainsamlingen där bara specifikt utvalda personer intervjuats vilket kan påverkat studiens resultat. / Purpose – The purpose of the study is to identify individual parameters on articles to enable optimized inventory management in a company with customer-controlled production. Three questions have been formulated to answer the purpose. Which parameters need to be considered to optimize inventory control? Which parameters can be identified in a company with customer order driven production? How can identified items be used in inventory management? Method – The study was initiated with a feasibility study to elucidate the problem of the subject and its context. The preliminary study in combination with a literature study contributed to the creation of the purpose and formulation of the study's three issues. Furthermore, the study is designed according to the type of one-case design where the interview was used as a data collection method. The interview contributed to qualitative primary data where the purpose was to illustrate key people's knowledge of the subject studied.  Findings – Identifying parameters that are important for optimizing profitability and inventory management in a company is challenging. The problem with this lies in identifying the right parameters adapted for a company's production method and elucidating how these should be implemented. This study addresses important parameters for customer order controlled environment regarding various functions of a company. The result describes these parameters and shows how the parameters are advantageously used in an ABC classification to control the layer effectively. Implications – The subject area of inventory management is well explored in existing literature, which contributes to less space to generate new knowledge in the area. Despite this, this study contributes to new knowledge, which strengthens current research on inventory management in customer-order-driven environments. This then-collected theory in combination with empirics opens up new facts to take into account. Limitations – The study comprises only one case company, which in addition affects the generalizability of the study. As the study focuses on inventory management based on five functions of the fall company, the study cannot be fully generalized to other similar companies. Furthermore, limitations can be found in the data collection where only specifically selected persons were interviewed which may have influenced the study's results.

In vehicle industry, it has been trends towards focusing on pull-basedsystems and elimination of waste (Lean), which decrease the tied-up capitallevel in the focal factory. Research by Holweg & Miemczyk (2002)showed that the relevant supply chain has low inventory level in the focalfactory, but at upstream and especially downstream; the tied-up capitallevel is dramatically higher in comparison to the focal factory.By conducting research and extensive literature reviews, this volatilityof tied-up capital level has been studied and analysed with regard topush and pull systems. As the three main causes of this unevenness; bullwhipeffect, CODP position in supply chain and intensity level of supplierrelationship have been identified and explained.As a practical solution for decreasing the tied-up capital level of finishedvehicles, implementation of centralised warehouse structure hasbeen suggested and discussed.Moreover, as an application of game theory in logistics, iterated prisoners’dilemma has been discussed as the base for a progressive relationshipwith suppliers (upgrading to win-win game) which is requisite for the successof pull-based supply chains. / Program: BSc in Industrial Engineering - International Business Engineering

This thesis has been performed as a part of the Bachelor degree in Industrial Engineering and Management at the School of Engineering in Jönköping. The thesis is written on behalf of Pallco AB, which is an engineering company that performs subcontracting, surface treatment, and assembly of components, mainly in steel and aluminium. The thesis focuses on identifying and analyzing the customer order fulfillment process of three customers at Pallco AB. The main objective of the thesis is to distinguish time differences in the company’s administrative work for each of the three customers. Furthermore, Lean thinking is following as a thread through the whole thesis. A comprehensive survey has been made to gain a greater understanding of the company’s processes and order flow. A deeper analysis of the administrative processes has then been made by value stream mapping and analysis, which shows how Lean can be applied through administration. Suggestions of key performance indicators linked to Lean are associated with the order flow. The information of the thesis has been gained through interviews with relevant personnel at Pallco AB. The current situation for Pallco AB is that they carry out an unspecified amount of work and service for different customers without taking extra cost. The analysis and the result of the thesis show that there is one specific customer who is often given priority. Special and urgent orders are accepted, and often given priority over others. The result shows that about 45 percent of the identified administrative time of the customer order fulfillment process is applied on this priority customer. Characteristic examples of the other customers are that duplication of work is performed by Pallco AB in terms of reporting information to the customer’s own business information sys- tem. Improvement and suggestions for further work of the customer order fulfillment process are given as a result of the thesis. The main suggestions are to further identify the extra service for the priority customer, and to further work with Lean administration through value stream mapping and key performance indicators linked to Lean. / Examensarbetet har utförts som en del av högskoleingenjörsutbildningen Industriell organisation och ekonomi, logistik och ledning, vid Tekniska Högskolan i Jönköping. Rapporten är skriven på uppdrag av Pallco AB. Företaget är ett verkstadsföretag som utför legotillverkning, ytbehandling och montering av komponenter, främst i stål och aluminium. Examensarbetet har sitt fokus på att kartlägga och analysera Pallco AB:s kundorderuppfyllelseprocess för tre stora kundgrupper. Att urskilja tidsskillnader i företagets administrativa arbete för respektive kundgrupp och vad dessa beror på är det huvudsakliga målet med arbetet. Dessutom följer lean-tänket med som en röd tråd genom hela examensarbetet. Större förståelse för företagets processer gällande ordergången har fåtts genom att en övergripande kartläggning har gjorts. Därefter har en djupare analys av de administrativa processerna genomförts med hjälp av värdeflödeskartläggning och analys, vilket visar på hur lean i administrationen kan tillämpas. Även förslag på lean-nyckeltal kopplat till orderflödet har givits. Examensarbetets information har främst erhållits genom intervjuer med berörd personal på Pallco AB. I dagsläget lägger Pallco AB ner varierande mängd arbete och service på olika kunder utan att ta något extra betalt för det. Examensarbetets analys och resultat visar att det specifikt är en kund som prioriteras, mycket genom att special- och akutorder accepteras samt att kundens order ofta ges förtur. Resultatet visar att omkring 45% av den kartlagda administrativa tiden i kundorderuppfyllelseprocessen läggs på denna kund. För andra kunder är utmärkande drag exempelvis att dubbelarbete utförs av Pallco AB i form av rapportering av information i kundens affärssystem. I resultatet ges dessutom förbättringsförslag samt förslag på fortsatt arbete för kundorderuppfyllelseprocessen. De främsta förslagen handlar om att vidare kartlägga den prioriterade kundens extra service samt att arbeta vidare med lean administration genom fortsatt arbete med värdeflödeskartläggning och lean-nyckeltal.

This study presents a holistic view of which factors small and medium-sized enterprises (SMEs) have to consider, in moving their customer order decoupling point (CODP) further from the customer, thereby becoming more customized. The study also investigate whether SMEs and larger enterprises differ in the strategic questions relating to what influences an enterprise to become more customized, which prerequisites are required and which problems enterprises should anticipate and prepare for. These questions are important, given that strategic change is challenging, and can take considerable time to accomplish; it therefore needs to be based on the right decisions. This study is motivated by the fact that the markets SMEs are selling to tend to become more and more complex and harder to anticipate. Increased globalisation and use of IT and ICT have lead to greater uncertainty in customer demand. At the same time customers have ever more demanding needs and specifications; if these are not met, they will go elsewhere rather than reducing or adapting them. This complexity requires a more customized production and is a way to gain commercial advantages.       Customised production includes many benefits such as reduced uncertainty, by producing totally customized products less capital bound is tied up. But meanwhile many challenges such as reduced production efficiency, furthermore flexibility must be increased and higher demands on communications and IT systems are often necessary. The study starts with a wide and thorough theoretical overhaul around the movement of the CODP, but also addresses other parts of the organization to get the all-important big picture. This theoretical work is leading to a work-model which is used in six interviews within SMEs. In order to get a thorough picture, the enterprises that take part in the study are from different line of business and have from 18 to 235 employees. During these interviews, conducted on a single occasion per company, the model and related questions are discussed. Thereby an analysis of the interviews and the theory is done, with the model as the starting-point.   The result of this study is a basic model, which SMEs can use as an analytical tool, and a checklist, to facilitate a move towards a make-to-order manufacturing strategy, thereby gaining more flexibility. The study provides a basic generic framework which can be adapted and tailored by the company in question to see which parts are relevant to specific circumstances.

<p>This thesis has been performed as a part of the Bachelor degree in Industrial Engineering and Management at the School of Engineering in Jönköping. The thesis is written on behalf of Pallco AB, which is an engineering company that performs subcontracting, surface treatment, and assembly of components, mainly in steel and aluminium. The thesis focuses on identifying and analyzing the customer order fulfillment process of three customers at Pallco AB.</p><p>The main objective of the thesis is to distinguish time differences in the company’s administrative work for each of the three customers. Furthermore, Lean thinking is following as a thread through the whole thesis. A comprehensive survey has been made to gain a greater understanding of the company’s processes and order flow. A deeper analysis of the administrative processes has then been made by value stream mapping and analysis, which shows how Lean can be applied through administration. Suggestions of key performance indicators linked to Lean are associated with the order flow. The information of the thesis has been gained through interviews with relevant personnel at Pallco AB.</p><p>The current situation for Pallco AB is that they carry out an unspecified amount of work and service for different customers without taking extra cost. The analysis and the result of the thesis show that there is one specific customer who is often given priority. Special and urgent orders are accepted, and often given priority over others. The result shows that about 45 percent of the identified administrative time of the customer order fulfillment process is applied on this priority customer. Characteristic examples of the other customers are that duplication of work is performed by Pallco AB in terms of reporting information to the customer’s own business information sys- tem.</p><p>Improvement and suggestions for further work of the customer order fulfillment process are given as a result of the thesis. The main suggestions are to further identify the extra service for the priority customer, and to further work with Lean administration through value stream mapping and key performance indicators linked to Lean.</p> / <p>Examensarbetet har utförts som en del av högskoleingenjörsutbildningen Industriell organisation och ekonomi, logistik och ledning, vid Tekniska Högskolan i Jönköping. Rapporten är skriven på uppdrag av Pallco AB. Företaget är ett verkstadsföretag som utför legotillverkning, ytbehandling och montering av komponenter, främst i stål och aluminium. Examensarbetet har sitt fokus på att kartlägga och analysera Pallco AB:s kundorderuppfyllelseprocess för tre stora kundgrupper.</p><p>Att urskilja tidsskillnader i företagets administrativa arbete för respektive kundgrupp och vad dessa beror på är det huvudsakliga målet med arbetet. Dessutom följer lean-tänket med som en röd tråd genom hela examensarbetet. Större förståelse för företagets processer gällande ordergången har fåtts genom att en övergripande kartläggning har gjorts. Därefter har en djupare analys av de administrativa processerna genomförts med hjälp av värdeflödeskartläggning och analys, vilket visar på hur lean i administrationen kan tillämpas. Även förslag på lean-nyckeltal kopplat till orderflödet har givits. Examensarbetets information har främst erhållits genom intervjuer med berörd personal på Pallco AB.</p><p>I dagsläget lägger Pallco AB ner varierande mängd arbete och service på olika kunder utan att ta något extra betalt för det. Examensarbetets analys och resultat visar att det specifikt är en kund som prioriteras, mycket genom att special- och akutorder accepteras samt att kundens order ofta ges förtur. Resultatet visar att omkring 45% av den kartlagda administrativa tiden i kundorderuppfyllelseprocessen läggs på denna kund. För andra kunder är utmärkande drag exempelvis att dubbelarbete utförs av Pallco AB i form av rapportering av information i kundens affärssystem.</p><p>I resultatet ges dessutom förbättringsförslag samt förslag på fortsatt arbete för kundorderuppfyllelseprocessen. De främsta förslagen handlar om att vidare kartlägga den prioriterade kundens extra service samt att arbeta vidare med lean administration genom fortsatt arbete med värdeflödeskartläggning och lean-nyckeltal.</p>

Industrialization of construction is a business strategy to significantly improve competitiveness. However, the organization structure of the construction firms needs to support the new production system. The knowledge on why and how this business development can be accomplished is scarce, both within academia and in business practice. This research seeks to fill this knowledge gap. The purpose of organization structure and the production system have is to coordinate the firm’s processes and control the work performing resources. Information is one of the most fundamental dimensions for steering and controlling the work. The different information types are determined by the firm’s product customization strategy and the production system flexibility. Further, diverse information types are managed in different extent by the organizational steering mechanisms. Consequently, firms with dissimilar customization strategy or production flexibility should organizationally be designed differently in order to be efficient. The developed model identifies four generic production topologies: “engineer-to-order” (ETO), “manufacture-to-order” (MTO), “assembly-to-order” (ATO), and “make-standard-products” (MSP). The differences between the topologies can be related to the location of the “customer-order-decoupling-point” (CODP) in the product realization process; and to what extent the upstream and downstream processes continuously use stored information or process information to accomplish the work of each product order. The model predicts which organization structure mechanisms that should be used for which processes for each production topology. It is the specific configuration of the mechanisms that gives each production topology their organizational capability. The model has been validated by case studies in four organizations, each representing one of the four generic production topologies. Three cases considered housing and one studied truck manufacturing. It has been shown that the conventional housing firms have an ETO-production topology, while industrialized housing firms belonging to one of the others, i.e. MTO, ATO or MSP. The reason is that ETO-firms rely on crafts-based production to manage the work, while the other topologies base their steering mechanisms on industrial principles. These two types of production are fundamentally different, which also explain the need for different organization structures. The research complements previous knowledge and significantly increases the ability to predict, analyze and explain an organization’s design and behavior. The model can be used in practice to guide business development work and performance improvement programs. / <p>Research funder: SBUF (The development fund of the Swedish construction industry). QC 20131113</p>

Syfte: Syftet med rapporten var att bättre förstå vilka faktorer som har en inverkan på kapacitetsplaneringen samt de metoder som finns att tillgå gällande kapacitetsplanering. Utefter detta formulerades det tre stycken frågeställningar som studien avser att besvara: Vilka metoder inom kapacitetsplaneringen kan tillämpas i ett kundorderstyrt företag? Vad utmärker kapacitetsplaneringen i ett kundorderstyrt företag? Hur kan kapacitetsplaneringen förbättras utifrån fallföretagets nuvarande situation? Metod: För att besvara frågeställningarna och uppfylla studiens syfte valdes det att genomföras en fallstudie på Lindab Götene AB i Götene. Den första frågeställningen besvaras genom att identifiera relevant teori kring kapacitetsplanering och analysera dessa med empirin. Den andra frågan besvaras med hjälp av empirin där en nulägesanalys har genomförts som ger en inblick i fallföretaget samt den informationen om hur kapacitetsplaneringen tillämpas i fallstudieobjektet. Även här analyseras empirin med teorin. Den tredje frågan besvaras utifrån den analys och insamling av empiriskt material i nulägesbeskrivningen för att identifiera vad som kan förbättras angående kapacitetsplaneringen i en kundorderstyrd verksamhet. Den empiriska datan utgjordes utav intervjuer, dokumentstudier och observationer. Slutsats: I dagsläget sker kapacitetsplaneringen för hela företaget, författarna föreslår att fallföretaget tillämpar metoden kapacitetsbehovsprofiler då den möjliggör att planera kapaciteten per avdelning. Vilket skulle kunna ge en bättre uppfattning om hur beläggningen i produktionen ser ut utifrån fallföretagets förutsättningar. Ytterligare rekommendationer är att utföra tidsstudier för att säkerställa att korrekta operationstider finns tillgängliga som kapacitetsplaneringen baseras på för att inte över- eller underskatta graden av kapacitetsbehov. Uppföljning och återkoppling bör även göras för att se hur produktionen ligger till gentemot planeringen för att även skapa ett underlag för eventuella förbättringar som kan utföras, samt att skapa rutiner och se till att dessa följs. / Purpose: The purpose of the report was to achieve a greater understanding over which factors have an impact on capacity planning as well as the methods available regarding capacity planning. Along this, three questions were formulated that the study intends to answer: Which methods within capacity planning can be applied in a customer-managed company? What distinguishes a capacity planning in a customer-managed company? How can capacity planning be improved in the business case based on the current situation? Method: In order to answer the questions and fulfil the purpose of the study, it was decided to conduct a case study at Lindab Götene AB in Götene. The first question is answered by identifying relevant theory about capacity planning and comparing them with empiric materials. The second question is answered with the help of the empirics where a current situation analysis has been conducted that gives an insight into the case company and the information on how capacity planning is applied in the case study. The theoretical and empirical material are analysed as well. The third question is answered on the basis from the analysis and collection of empirical material in the current situation description to identify what can be improved regarding capacity planning in a customer-ordered business. The empirical data consisted of interviews, documentary studies and observations. Conclusion: Today the capacity plan is created for the whole company as one unit, the authors are suggesting that the business case applies the method capacity bills which makes it possible to plan capacity for each division. Thus, creating a better chance of understanding the current situation in the production. Further recommendations are such as conducting time studies to ensure that correct operational times are available which capacity planning is based on, this for not under- or overestimate the need of capacity. Follow-up and feedback should be done to see how the current situation of the production is against the production plan, also to create a ground for potential improvements that can occur. Creating routines and making sure that they are followed.

This thesis work aims to improve the stock management system of Excillum AB, a Stockholm-based company that specializes in high-performance X-ray sources. The current stock management system has limitations, resulting in gaps when managing the inventory. To address this, the study focuses on developing a calculation model that takes into account various factors such as the global supply chain, customer expectations, service offerings, and financial concerns. The research questions revolve around understanding best practices in stock management from other companies, considerations for stock selection and ordering decisions, and additional parameters to ensure accurate safety stock calculations. The research involves carrying out a literature review, benchmarking practices from other organizations, analyzing Excillum's transaction data, and developing a reliable calculation model. However, some limitations exist, such as relying on Excel for calculations rather than changing values within the ERP system, which reduces demand projection accuracy due to high product customization. Human factors and unavoidable supply chain disruptions are not specifically addressed in the recommended approach. The proposed calculation model aims to improve stock management efficiency, ensure product availability, reduce stockouts, and ultimately contribute to Excillum's growth goals while meeting customer demands. Excillum can optimize stock levels and streamline inventory management by incorporating best practices and taking into account critical factors, establishing the way for long-term success and improved customer satisfaction. / Detta examensarbete syftar till att förbättra lagerhanteringssystemet för Excillum AB, ett Stockholmsbaserat företag som är specialiserat på högpresterande röntgenkällor. Det nuvarande lagerhanteringssystemet har begränsningar, vilket resulterar i luckor vid hanteringen av lagret. För att komma till rätta med detta fokuserar studien på att utveckla en beräkningsmodell som tar hänsyn till olika faktorer såsom den globala leveranskedjan, kundernas förväntningar, tjänsteerbjudanden och ekonomiska problem. Forskningsfrågorna kretsar kring att förstå bästa praxis inom lagerhantering från andra företag, överväganden för aktieval och beställningsbeslut och ytterligare parametrar för att säkerställa korrekta beräkningar av säkerhetslager. Forskningen innebär att man genomför en litteraturgenomgång, benchmarking praxis från andra organisationer, analyserar Excillumstransaktionsdata och utvecklar en tillförlitlig beräkningsmodell. Det finns dock vissa begränsningar, som att förlita sig på Excel för beräkningar snarare än att ändra värden inom ERP-systemet, vilket minskar noggrannheten i efterfrågeprojekteringen på grund av hög produktanpassning. Mänskliga faktorer och oundvikliga störningar i försörjningskedjan behandlas inte specifikt i den rekommenderade metoden. Den föreslagna beräkningsmodellen syftar till att förbättra lagerhanteringseffektiviteten, säkerställa produkttillgänglighet, minska lagerutbudet och i slutändan bidra till Excillumstillväxtmål samtidigt som kundernas krav tillgodoses. Excillum kan optimera lagernivåer och effektivisera lagerhantering genom att införliva bästa praxis och ta hänsyn till kritiska faktorer, etablera vägen för långsiktig framgång och förbättrad kundnöjdhet.

Ericsson has recently experienced difficulties to meet the customer demand, which has led to lost market shares. This is mainly due to the long and unpredictable lead times within their supply chains. Therefore, Ericsson seeks to increase their ability to meet the customer demand by reducing the customer order lead time. A shorter lead time would imply a greater responsiveness and improved service level towards the customers. A directive from the company was to base the study on the supply chain for the customer Algeria Telecom Mobile. The purpose of the study is to give recommendations for improvements that reduce the total lead time in a supply chain perspective in order to improve the customer service level.  To be able to fulfill the purpose, four objectives were distinguished and supported with existing frameworks for analyzing supply chains. The first step was to create a current state map, which was achieved by conducting 24 interviews with people working within the supply chain. The second step was to identify potentials for lead time reduction. This was done by categorizing the supply chain parts and the problems that were gathered during the current state mapping into meaningful groups, and thereafter prioritize the categories with the greatest potential. The third step was to generate alternative solutions by conducting a second literature review based on the potentials that was identified during the prior step. The general solutions were later modified in order to fit the current supply chain. It resulted in eight Ericsson specific solutions. The fourth step was to evaluate these solutions in combination, which led to a recommended combination of solutions that provided the greatest lead time reduction. Also the requirements for implementing these solutions were presented in this step.  The recommendation for Ericsson is to rearrange their current supply chain for the studied customer and use two different supply chains; the Regional supply chain and the Alternative supply chain. The two arrangements will both be based on the implementation of a supply hub, which implies a movement of the customer order decoupling point closer to the customer. The Regional supply chain will cover the main flow and be used when the customer orders products from a product portfolio that has been agreed within the region. The Alternative supply chain will act as a complement and cover the flow of products outside the regional product portfolio.   The estimated customer order lead time for the Regional supply chain is 17 days, which is a reduction of 80 % in the normal case for the studied supply chain. The lead time for the Alternative supply chain is more difficult to estimate precisely, but it will be reduced in comparison with the current situation. Moreover, the service level towards the customer will be increased for both the Regional and the Alternative supply chain. To summarize the recommendations that are forwarded to Ericsson, they are listed below:  <li data-listid="34" data-aria-posinset="15" data-aria-level="1">Implement a regional supply hub  <li data-listid="34" data-aria-posinset="15" data-aria-level="1">Agree on a regional product portfolio  <li data-listid="34" data-aria-posinset="15" data-aria-level="1">Implement time slots for inbound flows  <li data-listid="34" data-aria-posinset="15" data-aria-level="1">Use BPO as a payment method instead of Letter of Credit  <li data-listid="34" data-aria-posinset="15" data-aria-level="1">Use a CIP, DAP or DAT Incoterm  <li data-listid="34" data-aria-posinset="15" data-aria-level="1">Implement a product configurator and let the customer place orders on commercial descriptions or a solution id.  <li data-listid="34" data-aria-posinset="15" data-aria-level="1">Integrate processes and activities throughout the supply chain and establish a greater information exchange.