Hierarchical Operations and Supply Chain Planning, 2002
Advanced Manufacturing Series

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Language: English

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Hierarchical Operations and Supply Chain Planning
Publication date:
262 p. · 15.5x23.5 cm · Paperback

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Hierarchical operations and supply chain planning / advanced manufacturing
Publication date:
268 p. · Paperback

Hierarchical and Supply Chain Planning describes the application of hierarchical planning techniques to all major functional areas of supply chain planning, including production, distribution, warehousing, transportation, inventory management, forecasting and performance management.

The book reviews well-known, original hierarchical production planning techniques and implementations dating back several decades and numerous more current hierarchical planning methods and applications covering an array of supply chain activities. A number of novel hierarchical planning techniques and algorithms covering different components of supply chain planning are offered as is an original approach for integrating supply chain measurements into systems such as the balanced scorecard which evaluate total firm performance.

The book covers the interests of private industry practitioners, academic researchers, and students of operations, logistics and supply chain management and planning.

1. Introduction.- 1.1 Introduction To Hierarchical Production Planning Systems.- 1.1.1 Strategic Planning.- 1.1.2 Tactical Planning.- 1.1.3 Operational Planning.- 1.2 Rationale And Implications For Hierarchical Production Planning Systems.- 1.2.1 Rationale And Initial Implications.- 1.2.2 Implications For Design Of Hierarchical Production Planning Systems.- 1.3 A Generic Framework For Hierarchical Production Planning.- 1.4 Objectives Of The Book.- 1.5 Organization Of The Book.- 2. Managing Operations On A Network: Integrated Manufacturing And Distribution Planning.- 2.1. Introduction.- 2.2. Case Study: An HPP Implemented By A Tire Manufacturer.- 2.2.1 Case Problem, Objective And Additional Background.- 2.2.2 Overview Of Hierarchical Planning System.- 2.2.3 Product Structure Hierarchy.- 2.2.4 Hierarchical Planning And Scheduling System.- 2.2.5 Summary.- 2.3 Case Study: An HPP Implemented By A Chemical Fertilizer Manufacturer.- 2.3.1 Case Problem, Objective And Additional Background.- 2.3.2 Overview Of Hierarchical Planning System.- 2.3.3 Summary.- 2.4. Case Study: An HPP Implemented By A Ceramic Tile Manufacturer.- 2.4.1 Case Problem, Objective And Additional Background.- 2.4.2 American Olean’s Hierarchical Planning System.- 2.4.3 Summary.- 2.5. Communications In A Hierarchical Production Planning Environment.- 2.6. Summary.- 3. Production Planning And Scheduling.- 3.1. Overview Of Hierarchical Production Planning For Plants 56.- 3.2. Linking Tactical Network Planning Methods And Single Plant Production Plans.- 3.3. Operational And Short Run Plant Scheduling Methods.- Appendix 3.3.2 The Equivalence Between Idle Periods And Reduced Production Rates.- 3.3.3. Illustrative End Item To Product Family Feedback Loop.- Appendix 3.3.3 Other End Item To Family, And Sub-Item To Item Considerations.- 3.4 Integrated Multi-Echelon Plant Scheduling.- 3.5 Material Requirements Planning.- 3.5.1 The Role Of MRP In A Production Planning Hierarchy.- 3.5.2 The Hierarchical Methodology Of MRP.- 3.6 Summary.- 4. Distribution And Transportation Planning And Scheduling.- 4.1 Strategic And Tactical Distribution And Transportation Planning.- 4.1.1 The Warehouse Location Model.- 4.1.2 A Multi-Echelon, Multi-Transport Mode Distribution Problem 99.- 4.1.3 Strategic Rail-Based Distribution And Transportation Planning. 112.- 4.1.4 Selected Other Strategic Distribution And Transportation Problems.- 4.2 Short Run Transportation Scheduling.- 4.3 Tactical And Annual Mode Choice Planning.- 4.3.1 Case Study Of A Tactical Transport Mode Choice Decision.- 4.3.2 Developing Product Families For Mode Choice.- 4.4 Lane Bundling For Tactical Carrier Choice Planning.- 4.4.1 Case Review: A Transportation Bidding Software System.- 4.4.2 Operational Feedback In The Carrier Selection Process.- 4.5. Summary.- 5. Warehouse Design and Management.- 5.1. The Warehouse Planning Process.- 5.2. Integrating Warehouse Planning With Production And Distribution Planning Activities.- 5.3. A Hierarchical Warehouse Facility Design And Operations Planning Example.- 5.4 Summary.- 6. Inventory Management And Forecasting.- 6.1. How Inventory Decisions Fit Into A Planning Hierarchy.- 6.2 A Hierarchical View Of A Firm’s Inventory.- 6.3 Aggregating End Items For Family Based Planning.- Appendix 6.3 A Multi-Echelon End Item Inventory Evaluation Algorithm.- 6.4 Hierarchical Approaches For Developing Tactical And Operational Planning Forecasts.- 6.5 Sales And Operations Planning (S&OP).- 6.6 Summary.- 7. Supply Chain And Firm-Wide Performance Measures.- 7.1. A Hierarchical Supply Chain Performance Measurement System.- 7.2. Logistics And Supply Chain Performance Measures 220.- 7.3. The Balanced Scorecard: A Firm-Wide Performance Measurement System.- 7.4. Integrating The Balanced Scorecard And Supply Chain Performance Measurement.- Appendix 7.4A Constructing An Index To Monitor Overall Firm Performance.- Appendix 7.4B Additional Issues To Consider In Constructing An Index.- 7.5 Summary.- 8. Conclusion.- References.

Tan Miller joined Pfizer in 1995 and he currently is responsible for the operations of the US Consumer Healthcare Logistics Centers. Previously at Pfizer, he has held positions as Director of Integrated Demand Management, Director of Logistics Planning and Director of Transportation. He has also held logistics and production positions with Mercer Management Consulting, Unisys, and American Olean Tile Company.


Doctor Miller has a B.A. in economics, and he received an M.A, M.B.A. and PhD from the University of Pennsylvania. Doctor Miller's hobbies include doing occasional research and writing on distribution and supply chain operations and planning. He has published three books and over forty articles on these topics. Doctor Miller has also previously taught part-time in the MBA program of Villanova University and at other universities, and he is currently on the editorial board of Material Handling Management magazine. He and his wife live in Morris Plains with their two sons.

No other book demonstrates the application of hierarchical production planning across the full range of activities involved in a supply chain

Mixes both theory and practical application