Content
With practical examples from the automotive industry, the course expands the participants' ability
to apply quantitative methods for operational problems. Planning systems in the automotive
industry are demonstrated using real examples and problem sizes. The relationships between
planning problems and the associated coordination concepts (e.g. hierarchical planning, rolling
planning, event-driven) are presented. The implementation of mass customization, strategies
for variety reduction, layout and assembly line, sequencing, production program planning,
strategic allocation of products to plants and production lines are shown. The course shows the
connection between strategic and operational tasks using the latest mathematical modeling for
digital production planning. You will learn the introduced methods are applied in modern modeling
software (CPLEX, R and Python KI libraries).
Practical cases
Ramp-up planning for new product introduction in a global production network, MRP for high
variety premium production, Exploring the power of option bundling, Aggregate planning and the
impact of pricing and capacity planning, Capacity fixing for body-shop planning
Methodologies
Mixed integer programming for strategic network optimization; Bayesian forecasting, AI-based
data fusion and deep learning with neural networks for MRP; Constraint programming for car
sequencing.
Learning outcomes
• Gain an overview and insights on different manufacturing environments for automotive production
and supply chain management
• Understand modelling strategies to match customer demand and automotive order-to-delivery
processes in a flexible production network
• Describe and Link product variety to order-fulfillment strategies and understand the impact of
product variety on operations
• Define Mass customization strategies and their function in different production scenarios
• Apply Bayesian forecasting techniques, AI and deep learning models to real-world cases and
apply forecast error measurement systems
• Understand optimization techniques for manufacturing operations planning and balance
production loads with linear programming
• Use stochastic models for uncertain data and planning situations
• Be able to calculate complex product launch and ramp-up scenarios for automotive production
and understand the Management of the Operations Interfaces
• Define and apply Material Requirements planning for automotive components and understand the
sourcing cost structure and supplier cascade in this industry
• Understand the concept of Assembly Lines and be able to apply balancing and sequencing OR
approaches.
Examination
The assessment takes place in form of a written exam (120 min) at the end of the semester.
In the exam students demonstrate that they are able to explain, discuss and critically evaluate
specific concepts of operations and supply chain management in the automotive industry.
Furthermore, they proof that they can apply the discussed quantitative approaches and assess
these approaches in terms of effectiveness and efficiency.
Prerequisites
Operations Research and Higher Mathematics
Teaching & learning methods
The module consists of lectures with integrated exercises.
In the lectures the contents of the module are delivered through presentations and talks. In the
integrated exercises students apply their knowledge to solve case assignments. The results are
then discussed in class. The students improve the acquired knowledge by studying the suggested
literature.
Media & reading list
· Staeblein, T., & Aoki, K. (2015). Planning and scheduling in the automotive industry: A
comparison of industrial practice at German and Japanese makers. International Journal of
Production Economics, 162, 258-272.
· Becker, A., Stolletz, R., & Stäblein, T. (2017). Strategic ramp-up planning in automotive
production networks. International Journal of Production Research, 55(1), 59-78.
· Wochner, S., Grunow, M., Staeblein, T., & Stolletz, R. (2016). Planning for ramp-ups
and new product introductions in the automotive industry: Extending sales and operations
planning. International Journal of Production Economics, 182, 372-383.
· Bersch, C. V., Akkerman, R., & Kolisch, R. (2021). Strategic Planning of New Product
Introductions: Integrated Planning of Products and Modules in the Automotive Industry. Omega,
102515.
· Song, J. S., & Xue, Z. (2021). Demand shaping through bundling and product configuration:
A dynamic multiproduct inventory-pricing model. Operations Research, 69(2), 525-544.
· Meyr, Herbert. "Supply chain planning in the German automotive industry." In Supply Chain
Planning, pp. 343-365. Springer, Berlin, Heidelberg, 2009.
· Wu, J., Ding, Y., & Shi, L. (2021). Mathematical modeling and heuristic approaches for a
multi-stage car sequencing problem. Computers & Industrial Engineering, 152.
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