Controlling production variances in complex business processes

Paul Griffioen, Rob Christiaanse*, Joris Hulstijn

*Corresponding author for this work

Research output: Chapter in Book / Report / Conference proceedingConference contributionAcademicpeer-review

Abstract

Products can consist of many sub-assemblies and small disturbances in the process can lead to larger negative effects downstream. Such variances in production are a challenge from a quality control and operational risk management perspective but also it distorts the assurance processes from an auditing perspective. To control production effectively waste needs to be taken into account in normative models, but this is complicated by cumulative effects. We developed an analytical normative model based on the bill of material, that derives the rejection rates from the underlying processes without direct measurement. The model enables improved analysis and prediction. If the rejection rate is not taken into account the function of the bill of material as a reference model deteriorates and therefore output measures become more opaque and harder to verify. As a consequence it is extremely difficult or even impossible to assess efficiency and effectiveness of operations. Secondly it is impossible to judge whether net salable assets represent the correct amount and finally it is impossible to assert whether the operations do comply to company standards and applicable laws.

Original languageEnglish
Title of host publicationSoftware Engineering and Formal Methods - SEFM 2017 Collocated Workshops
Subtitle of host publicationDataMod, FAACS, MSE, CoSim-CPS, and FOCLASA, Revised Selected Papers
EditorsAntonio Cerone, Marco Roveri
PublisherSpringer Verlag,
Pages72-85
Number of pages14
ISBN (Print)9783319747804
DOIs
Publication statusPublished - 2018
Externally publishedYes
Event15th International Conference on Software Engineering and Formal Methods, SEFM 2017 - Trento, Italy
Duration: 4 Sept 20175 Sept 2017

Publication series

NameLecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics)
Volume10729 LNCS
ISSN (Print)0302-9743
ISSN (Electronic)1611-3349

Conference

Conference15th International Conference on Software Engineering and Formal Methods, SEFM 2017
Country/TerritoryItaly
CityTrento
Period4/09/175/09/17

Bibliographical note

Funding Information:
Acknowledgement. The research in this paper was supported by the SATIN research project, funded by NWO.

Publisher Copyright:
© Springer International Publishing AG 2018.

Copyright:
Copyright 2018 Elsevier B.V., All rights reserved.

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