In this paper we consider a make-to-stock production system whose permanent production capacity can be increased temporarily by making use of some contingent resources, while this capacity acquisition has a constant lead time associated with it. We present a model where the capacity management problem is handled in an integrated manner with the inventory management, under non-stationary and sto...

Deciding on the appropriate type and amount of flexibility is a classic management problem. The literature has shown that the choice between specialization and flexibility is not an “all-or-nothing” proposition. It is typically better to use a tailored portfolio of dedicated and flexible resources and a little flexibility goes a long way. Let “level-k” flexibility refer to a resource’s ability ...

The MIT Faculty has made this article openly available. Please share how this access benefits you. Your story matters. We consider the capacity planning problem during a product transition in which demand for a new-generation product gradually replaces that for the old product. Capacity for the new product can be acquired both by purchasing new production lines and by converting existing produc...

Even today, some types of fuel cells have been already used in practical applications such as combined heat and power generation applications and space vehicle applications. Though research and development activities are still required, the fuel cell technology is one of the most important technologies that allow us to draw the environment friendly society in the twenty-first century. This sect...