Capacity Flexibility: A Vital Cog in the Engineering Value Chain
Uncertainty during a downturn makes it imperative for develop-to-order companies to ensure capacity flexibility in manufacturing and engineering. A scientific approach to capacity management can address fluctuations in demand and reduce design and development costs, according to experts from Airbus SAS and Infosys.
In an article in Supplychainbrain.com, they spell out capacity planning strategies in design and development:
Capacity options
Companies must select specific competencies and partner with several vendors rather than invest in a dedicated captive model.
Rolling forecast mechanism
Engineering resource planning that commences with a periodic rolling forecast can unleash capacity in anticipation of demand.
Layered sourcing
Layers of capacity reservoirs help meet demand as it escalates. Accordingly, the core captive capacity meets latent demand followed by the second capacity reservoir and so on.
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Published with permission of Supplychainbrain.com
Authors
Mark Robinson is the head of Project and Programme Management, Integrated Body of Knowledge, at Airbus SAS in Toulouse, France.
Pankaj Chugh, Key Client Relations, Hi-Tech and Manufacturing, Infosys Limited
Pankaj Chugh is responsible for market strategy for the manufacturing segment of Infosys Technologies. He leads his company's relationship with Airbus. He can be reached at
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