Dynamic buffering

Dynamic buffering allows a time buffer to extend in length (and release materials early) when nonconstraint resources feeding it are expected to be over-loaded in the short term. This study sought to isolate the effects of Goldratt's dynamic buffering on inventory levels and delivery performance. Using simulation, we evaluated the effects of dynamic buffering on a two-product manufacturing cell. We found that dynamic buffering uses inventory more efficiently than does a buffer of fixed length. Since the reduction in WIP more than offset any increase in finished-goods inventory, total inventory was reduced while maintaining or improving on-time delivery.