Date of Award
Fall 1970
Document Type
Thesis - Restricted
Degree Name
Master of Science (MS)
Department
Mechanical and Industrial Engineering
First Advisor
Richardson, B. L.
Second Advisor
Hirthe, Walter
Abstract
A numerically controlled machine-tool is recognized as a complete machining center and its acquisition is very much desired by companies, big and small. However, the smaller companies find it difficult to justify the large capital investment necessary. Justification based on direct cost savings alone is not complete. The overall effects of N/C on the company as a whole are more important and they include such intangible benefits as increase in competitive power and reduction in lead time and backlog. The objective of this study is, therefore, to evaluate the desirability to invest in N/C machines for a small job-shop by measuring the overall effects on the company due to the tangible as well as intangible benefits. The approach used here is Jay W. Forrester's "Industrial Dynamics". The philosophy of industrial dynamics and of management science is studied in Chapter II of this thesis. The methodology used is to construct an industrial dynamics simulation model to represent the overall operations of a company operating as a job-shop with conventional machine-tools. An evaluation is made by comparing the "before and after" effects of N/C acquisition, by computer runs. The important factors built into the model are the interactions between customer order rate, delivery delay, backlog and the production rate including overtime. A financial sector is also included which measures the overall effects and gives the rate of profit before and after N/C.
Recommended Citation
DeSouza, Anthony, "Evaluating the Desirability of Investment in Numerically Controlled Machine Tools for a Job Shop by Means of Industrial Dynamics" (1970). Master's Theses (1922-2009) Access restricted to Marquette Campus. 4469.
https://epublications.marquette.edu/theses/4469