Article ID: | iaor1990938 |
Country: | United States |
Volume: | 7 |
Issue: | 3/4 |
Start Page Number: | 44 |
End Page Number: | 58 |
Publication Date: | Dec 1988 |
Journal: | Journal of Operations Management |
Authors: | Kanet John J. |
This report examines the practice of using work load limits to control the release of orders to a job shop. Whenever the inventory of work at a work centre exceeds some critical value (its ‘load limit’), further release of orders which are routed to that work centre are blocked from entering the shop. After the inventory is ‘worked off’, release of work to the shop gateways is again permitted. Load-limited order release is intuitively appealing because it appears to be a method for reducing system inventory and flow times. The practice of load limiting order release is becoming popularized by some of the recent production planning software products now on the market. A notable example is OPT. In this report, analytical results for an