Thesis (M. Eng. in Logistics)--Massachusetts Institute of Technology, Engineering Systems Division, 2006. / Includes bibliographical references (leaves 99-100). / A convergence of factors including a strong economy, changing demographics and increased regulatory control has resulted in a U.S. For-Hire Truckload (TL) industry that is increasingly pressed to meet shippers' needs for freight services. As demand now exceeds supply, the buyer/seller relationship has swung to favor TL providers who wield much more power than they have historically enjoyed. TL carriers are now able to negotiate higher rates, increase charges for providing additional services and decrease service levels as shippers are unable to find suitable replacement carriers. Many shippers have responded to these changing market dynamics by increasing the use of private and/or dedicated fleets within their distribution networks. This provides them with guaranteed capacity, increased leverage with carriers during rate negotiations and increased overall operational control of their networks. In this thesis, I will propose a methodology for the creation of a shipper's overall transportation policy in a distribution network that uses an internally managed fleet in conjunction with TL contract carriers. / (cont.) This approach constructs transportation policy in a manner that recognizes the differences in costing between an internally owned and managed fleet versus that of a contract TL carrier. It seeks to maximize savings by leveraging internal economies of scope through the assignment of fleet resources to closed loop tours. Additionally, the approach will go beyond the standard deterministic methods that are commonly employed in the creation of transportation policy. Instead, an iterative process that incorporates both optimization and simulation is proposed that ensures variability inherent within the network is taken into account when defining the best transportation policy for an organization. / by Michael Jay Mulqueen, Jr. / M.Eng.in Logistics

Thesis (S.M.)--Massachusetts Institute of Technology, Engineering Systems Division, 2010. / Cataloged from PDF version of thesis. / Includes bibliographical references (p. 241-249). / The field of Engineering Systems maintains that fundamental engineering principles exist, which apply across different domains of complex socio-technical systems. In this thesis, a state-of-the art decision and design evaluation method developed using aerospace cases, Multi-Attribute Tradespace Exploration (MATE), is applied for the first time to a transportation design problem. Through the application process across domains, differences between the aerospace and transportation domain are characterized: (1) a "mission objective" has not emerged as a welldefined, integral concept for transportation project planning in the same way it did in the military and space communities; (2) a simple stakeholder structure for the purpose of the analysis is not a reasonable assumption, (3) inheritance (legacy structures and legacy expectations) in transportation planning brings with it the stickiness of the status quo and people's attachment to things they possess; (4) several cost types exist in addition to monetary costs, e.g. harmful effects to life and spending of scarce resources (time, money); (5) decisions about the welfare of stakeholders in transportation planning are inextricably linked to technical decisions. It follows that fundamental engineering systems design principles need to be general enough to encompass these domain differences. Decisions about the welfare of stakeholders (public, future generations, environment) by a legitimized representative decision maker raise the question about the desirability of prescriptive guiding principles for decision making, in order to ensure consideration for the represented constituency when their interests need to be traded off with personal and organizational interests of the decision maker. Decision makers themselves seek such guidance to help them in trading off and justifying decisions about multiple competing goals in complex situations. One established method to provide such guidance is Cost-Benefit Analysis (CBA). CBA is a central, established, prescriptive evaluation method used in several domains, including transportation. In order to compare insights gained through the emerging method MATE and the established method CBA, two case studies, a Chicago Airport Express and a High-Speed Rail link between Portugal and Spain, are evaluated using those two methods. CBA assumes a broad view over all affected stakeholders, decision making or not, and seeks to ensure that net benefits to society outweigh net costs. MATE seeks to best meet decision makers' expectations for a system. Attributes (tangible and intangible) that are valuable to individual stakeholders, but not to society as a whole, are captured in the value-based approach in MATE. They are purposefully excluded in CBA. A challenge that the value-based approach in MATE brings about are framing issues that can arise when utility theory is applied to decision making stakeholders who have mandates to represent other stakeholders. For both aerospace and transportation domains, political vision and technical understanding of properties of different designs are important for decision making. A real feedback cycle between goal capture and low-fidelity technical modeling of different design options as suggested in MATE does not seem to exist in transportation planning. MATE seems useful as a tool to support improved communication about system expectations and technical options. Future research will need to address how value-based attribute capture can be performed in the typical complex stakeholder structure of transportation systems. Recognizing that problems of equity and value judgments are an inherent part of (some) technical decisions, the question of how to support a decision maker in expressing those attributes (even if difficult and controversial) and understanding different design concepts' impact on technical properties becomes part of the design engineer's job. / by Julia Nickel. / S.M.

Thesis (Ph. D.)--Massachusetts Institute of Technology, Engineering Systems Division, 2008. / Cataloged from PDF version of thesis. / Includes bibliographical references (p. 81-86). / This thesis recommends an experimentation methodology which can be used to improve systems, processes and products. The proposed technique borrows insights from statistical prediction practices referred to as Ensemble Methods, to extend Adaptive One-Factor-at-a-Time (aOFAT) experimentation. The algorithm is developed for an input space where each variable assumes two or more discrete levels. Ensemble methods are common data mining procedures in which a set of similar predictors is created and the overall prediction is achieved through the aggregation of these units. In a methodologically similar way this study proposes to plan and execute multiple aOFAT experiments on the same system with minor differences in experimental setup, such as starting points, or order of variable changes. Experimental conclusions are arrived at by aggregating the multiple, individual aOFATs. Different strategies for selecting starting points, order of variable changes, and aggregation techniques are explored. The proposed algorithm is compared to the performance of a traditional form of experimentation, namely a single orthogonal array (full and fractional factorial designs), which is equally resource intensive. Comparisons between the two experimental algorithms are conducted using a hierarchical probability meta-model (HPM) and an illustrative case study. The case is a wet clutch system with the goal of minimizing drag torque. Across both studies (HPM and case study), it is found that the proposed procedure is superior in performance to the traditional method. / (cont.) This is consistent across various levels of experimental error, comparisons at different resource intensities, and through a wide array of response surfaces generated by the meta-model. At best, the proposed algorithm provides an expected value of improvement that is 15% higher than the traditional approach, at worst, the two methods are equally effective, and on average the improvement is about 10% higher. These findings suggest that the ensemble of aOFATs can be an effective and often preferred alternative to the use of orthogonal arrays for experimentation. This thesis also shows that it more effective to apply ensemble procedures to aOFAT versus applying ensemble techniques on multiple, highly-fractioned orthogonal designs (each being as resource intensive as a single aOFAT). A theoretical discussion explaining the reasons for the superior performance of the proposed algorithm supports the empirical findings. / by Nandan Sudarsanam. / Ph.D.

Thesis (Ph. D.)--Massachusetts Institute of Technology, Engineering Systems Division, 2006. / Includes bibliographical references (p. 313-330). / We explore corporate decisions and their solutions under uncertainty using engineering methods. Corporate decisions tend to be complex; they are interdisciplinary and defy programmable solutions. To address these challenges, we take an engineering approach. Our proposition is that as in an engineering system, corporate problems and their potential solutions deal with the behavior of systems. Since systems can be studied with experiments, we use Design of Experiments (DOE) to understand the behavior of systems within which decisions are made and to estimate the consequences of candidate decisions as scenarios. The experiments are a systematically constructed class of gedanken experiments comparable to "what if' studies, but organized to span the entire space of controllable and uncontrollable options. In any experiment, the quality of data is important. Grounded on the work of scholars, we develop a debiasing process for eliciting data. And consistent with our engineering approach, we consider the composite consisting of the organization, their knowledge, data bases, formal and informal procedures as a measurement system. We then use Gage theory from Measurement Systems Analysis (MSA) to analyze the quality of the measuring composite. / (cont.) To test this engineering approach to decision analysis, we perform four experiments. The first two are a set of simulations using a company surrogate. Using a progression of experiments, we simulate two major corporate decisions. Simulation data show that there is support for the validity of our decision analysis method. We then perform two in situ experiments: with a manufacturing company and with a technology services company. Findings from these company experiments also support the validity and efficacy of our decision analysis method. The company executives were very satisfied with our findings. Finally, we evaluate our method using method-evaluation criteria. The evaluation suggests that our DOE-based decision analysis method is valid. Unexpectedly every experiment resulted in near-decomposable systems at the scale we formulated our problems. Scaling of corporate decision problems at the appropriate level of abstraction and the resultant properties of their dynamic behavior are identified as areas of future work. This research breaks new ground in corporate decision-analysis as engineering and it furthers DOE and MSA research to a new domain and a new class of problems. / by Victor Tang. / Ph.D.

Thesis (M. Eng. in Logistics)--Massachusetts Institute of Technology, Engineering Systems Division, 2009. / Includes bibliographical references (leaves 56-57). / ChemiCo, a specialty chemical manufacturer for the auto and architectural market is seeking new business opportunities in the Chinese architectural market. Although ChemiCo entered the Chinese automotive market in 2006 with its newly built plant in China, it is still trying to understand the dynamics created by the fierce competition from many small local players in the Chinese market. The objective of this research is to help ChemiCo understand the complex Chinese transportation market specifically and provide guidance in carrier selection. The proposed approach will offer ChemiCo an objective means to procure transportation services for the architectural market and deliver products to customers across China from its existing facilities (plants and warehouses). We employ qualitative research methods to analyze the current Chinese transportation market. Based on this assessment, we evaluate various transportation options available to ChemiCo, keeping in mind their current and future level of supply complexities. We also investigate ChemiCo's existing carriers in the Chinese trucking market. An Analytical Hierarchy Process (AHP) is used to evaluate the key measurements of carrier performances for various customer segments and make recommendations. The thesis proposes a comprehensive set of performance measurement criteria to select transportation carriers and presents a carrier selection process for ChemiCo. This process is designed to meet ChemiCo's specific decision goals and allows it to assess and compare the performance of various carriers in a dynamic fashion. / by Weixia Cheng. / M.Eng.in Logistics

Thesis (M. Eng. in Logistics)--Massachusetts Institute of Technology, Engineering Systems Division, 2008. / Includes bibliographical references (leaves 88-89). / Companies with a corporate supply chain department and multiple business units use one of two methods for their supply chain decision-making: centralized decision-making where supply chain decisions are made at the corporate level by the central supply chain department or decentralized decision-making where supply chain decisions are made at a business unit level. We investigate the hypothesis that a centralized organizational structure helps companies lower costs and a decentralized organization structure enables companies to quickly respond to customer needs on a real time basis and improve customer service. To evaluate our hypothesis we surveyed industry current practice. Based on our analysis from the survey, we identified three factors that influence companies to adopt either a centralized or decentralized organization structure: customer service, supply chain management cost, and organizational control. We identified that a "hybrid" structure, where strategic functions are centralized and operational functions are decentralized, had the lowest supply chain management cost percentage to sales. / by Guruprakash Rangavittal and Tae-Hee Sohn. / M.Eng.in Logistics

Thesis (S.M. in Engineering and Management)--Massachusetts Institute of Technology, Engineering Systems Division, 2013. / Cataloged from PDF version of thesis. Page 97 blank. / Includes bibliographical references (pages 95-96). / The recent challenges imposed by the highly competitive global automotive industry have led Ford Motor Company to search for improved product quality, performance and lower costs by leveraging the capabilities offered in developing countries such as Mexico. As demand for automotive engineering services in this country increase rapidly, the interest behind this work is to create a systems-oriented framework applied to the planning, execution and improving phases of the relatively inexperienced Product Development Organization in Mexico, to help achieve what they have defined as success. To develop this framework, first, a systems decomposition approach was applied to a real organizational failure case to evidence the importance of defining the basic inputs of a product development system and its connections during the planning phase, and the optimal type of organization that should execute to achieve its strategic objectives. Second, for the execution phase, two cases were evaluated under a system dynamics approach to illustrate the effect of an inexperienced workforce on the overall productivity of the organization, and a mitigation strategy based on a mentoring and training policy when the only constant is change. Third, for the improving phase, a system dynamics approach was also used to illustrate the importance of embracing the learning capabilities of the organization to improve it execution. The key outcome is a systems-oriented framework to guide an inexperienced manager to achieve success considering the following: Planning the inputs of an organization and maintaining a lightweigh structure approach will enhance high levels of execution responsiveness and quality at reduced costs. Mentoring and training policies while maintaining flexibility, agility and adaptability are key enablers to achieve a low cost execution responsiveness and quality in an inexperienced organization, but such policies reduce its productivity during the initial stages of the policy implementation. Finally, successful organizations are those that work harder to solve urgent issues now, and work smarter to increases its capabilities in the long run improving execution cost, quality and responsiveness. / by Anuar Badin Castro. / S.M.in Engineering and Management

Thesis (Ph. D.)--Massachusetts Institute of Technology, Engineering Systems Division, February 2009. / "December 2008." Cataloged from PDF version of thesis. / Includes bibliographical references (p. 290-297). / Engineering Systems, such as offshore petroleum exploration and production systems, generally require a significant amount of capital investment under various technical and market uncertainties. Choosing appropriate designs and field development strategies is a very challenging task for decision makers because they need to integrate information from multiple disciplines to make decisions while the various uncertainties are still evolving. Traditional engineering practice often focuses on finding "the optimal" solution under deterministic assumptions very early in the conceptual study phase, which leaves a large amount of opportunity unexploited, particularly the value of flexible strategies. This thesis proposes a new approach to tackle this issue - exploring flexible strategies using midfidelity screening models. The screening models interconnect and model physical systems, project development, and economics quantitatively at the mid-fidelity level, which allows decision-makers to explore different strategies with significantly less computational effort compared to high fidelity models. The screening models are at a level of detail that gives reliable rank orders of different strategies under realistic assumptions. Flexibilities are identified and classified at strategic, tactical, and operational levels over a system's lifecycle. Intelligent decision rules will then exercise flexible strategies as uncertainties unfold. This approach can be applied as a "front-end" strategic tool to conduct virtual experiments. This helps identify good strategies from a large number of possibilities and then discipline-based tools can be used for detailed engineering design and economics evaluation. / (cont.) The present study implemented the use of such screening models for petroleum exploration and production projects. Through two simulation case studies, this thesis illustrates that flexible strategies can significantly improve a project's Expected Net Present Value (ENPV), mitigate downside risks, and capture upside opportunities. As shown in the flexible tieback oilfield development case study, the simulations predicted a 82% improvement of ENPV by enabling architectural and operational flexibility. The distributions of outcomes for different strategies are shown in terms of Value-at-Risk-Gain curves. This thesis develops and demonstrates a generic four-step process and a simulation framework for screening flexible strategies with multi-domain uncertainty for capital-intensive engineering systems. / by Jijun Lin. / Ph.D.

Thesis: M. Eng. in Logistics, Massachusetts Institute of Technology, Engineering Systems Division, 2014. / Cataloged from PDF version of thesis. / Includes bibliographical references (pages 53-54). / Increasing the pace of product innovation in the consumer packaged goods industry can be achieved by implementing new technologies and streamlining processes. Our research is conducted primarily through extensive interviews with 3D printing experts and stakeholders in product development of a leading cosmetics manufacturer. We identify a framework where additive manufacturing technology such as 3D printing can complement the steel mold tooling used in the development of consumer product packaging. Within hours, rapid tooling technology can provide molds that are ideal for low volume production required during the preliminary stages of product design and testing. Implementing our proposed solution may reduce 14% to 26% of a company's time to market by shortening the duration of some critical path activities. The company can therefore respond to customer demand faster, strengthening its competitive advantage in the industry. / by Hala Jalwan and Gregory Israel. / M. Eng. in Logistics

Thesis: M. Eng. in Logistics, Massachusetts Institute of Technology, Engineering Systems Division, 2015. / Cataloged from PDF version of thesis. / Includes bibliographical references (pages 71-73). / A challenging part of E-Commerce for perishable consumer packaged goods (PCPG) is the fulfillment. Given the fragile nature of the items shipped, they require a low cost, effective cold chain fulfillment method so as to keep integrity, ensure speed at an affordable low cost for the end consumer. Our research, in partnership with one of the big PCPG items, addressed four aspects of the fulfillment process: Shipments routing, return process, competitive research and packaging techniques. Through a research process, we looked at shipment routing techniques for network optimization and density solutions, return process through different nodes in the supply chain, competitive research looking E-Commerce websites that sell PCPG products and comparing each of them to understand their underlying pricing methods and looked at current packaging techniques, current available and future technologies in packaging. We scored each of the aspects based on three KPIs, speed, quality and cost; we put forth several combinations that focused on each KPI by itself and aimed at maximizing speed or quality or minimizing cost. This research serves to direct focus based on the KPI desired on the aspects that help optimize said KPI and can be generalized to other E-Commerce products requiring cold chain delivery. / by Mounir Yakzan and Jordan Nelson. / M. Eng. in Logistics