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Int. J.

Production Economics 62 (1999) 1}6

Editorial
Design and implementation of agile manufacturing systems
A. Gunasekaran*
Department of Management, University of Massachusetts, North Dartmouth, MA 02747, USA

Agile manufacturing (AM) has been de"ned as the strategic frameworks, conceptual and analytical
capability of surviving and prospering in the com- models (including object oriented business process
petitive environment of continuous and unpredict- modelling and programming), and case studies fo-
able change by reacting quickly and e!ectively to cusing on the design, justi"cation, tools/enablers
changing markets, driven by customer-designed and implementation of agile manufacturing sys-
products and services. Critical to successfully ac- tems. Also, some papers deal with rapid prototyp-
complishing agile manufacturing are a few enabling ing, supply chain management, quick response
technologies such as the standard for the exchange manufacturing, concurrent engineering, rapid part-
of products (STEP), concurrent engineering, virtual nership formation, design for the life cycle function,
manufacturing, component-based hierarchical computer-integrated manufacturing, lean produc-
shop #oor control system, and information and tion, reengineering, integrated product/produc-
communication infrastructure, etc. [1]. The AM tion/business information system, physically
should lower manufacturing costs, increase market distributed teams and manufacturing, and virtual
share, satisfy the customer requirements, facilitate manufacturing. In addition, related topics such as
rapid introduction of new products, eliminate non- CAD/CAE, CAM, JIT and FMS with reference to
value added activities and increase manufacturing AM are discussed [3].
competitiveness [2,3]. As we are approaching the 21st century, manu-
The prime objective of the special issue is to facturing success and survival are becoming in-
present original works and interesting case studies creasingly di$cult to ensure. This fact is rooted in
arising from research on the evolving technologies the emergence of a new business era that has
and concepts of AM, and the design and implemen- `changea of its major characteristics. This critical
tation of agile manufacturing systems (AMSs). This situation has led to a major revision in the business
special issue will help to develop the ideas and priorities, strategic vision, and viability of conven-
technologies of production for agile manufacturing tional and even relatively contemporary models
as company wide strategies to reduce the lead times and methods developed so far. The emphasis is now
in all areas of manufacturing. on adaptability to change in the business environ-
Papers appear in this special issue deal with the ment and a proactive way of approaching market
design and implementation of AMSs and present and customer needs through newly evolved co-
operation methods such as virtual organization.
* Corresponding author. Tel.: #1 508 999-9187; fax: #1 508 In the new and emerging AM paradigm, where
999-8776; e-mail: agunasekaran@umassd.edu. multiple "rms cooperate under #exible virtual

0925-5273/99/$ - see front matter  1999 Elsevier Science B.V. All rights reserved.
PII: S 0 9 2 5 - 5 2 7 3 ( 9 8 ) 0 0 2 1 6 - 3
2 A. Gunasekaran/Int. J. Production Economics 62 (1999) 1}6

enterprise structures, there exists a great need for working de"nition and the paper presents a repres-
a mechanism to manage and control information entation of these concepts and their interactions.
#ow among collaborating partners [4]. This is Finally, the paper highlights some of the key en-
a step forward in generation of new means for ablers of agility and identi"es potential future re-
better performance and success of businesses, and search directions.
in practice is a strategic approach to manufactur- Various classes of computerised manufacturing
ing, considering the new conditions of the business control system (MCS) have emerged during recent
environment. Responding to changes, and taking decades. Potentially, they have the capability to
advantage of them through strategic utilization of help co-ordinate and control product realizing op-
managerial and manufacturing methods and tools, erations, by imposing the use of suitable business
are the pivotal concepts of agile manufacturing. rules and organizational constraints. Therefore,
Shari" and Zhang in their paper `A methodology their use can improve the e$ciency and e!ec-
for Achieving Agility in Manufacturing Organiza- tiveness with which a company deploys its valuable
tions: An Introductiona discuss the concepts and the resources. The paper `MCSARCH: An Architec-
development of methodology to achieve agility ture for the Development of Manufacturing Control
based on them. They have given an introduction to Systemsa by Aguirre, Weston, Martin and Ajuria
the subject followed by a detailed discussion of the explains that this situation can, to a signi"cant
proposed methodology. Some preliminary results degree, be attributed to unsatisfactory character-
of this study are reported as well. istic properties of contemporary classes of MCS,
The paper `Application of Information ¹echno- where these properties are inherited directly from
logy to a <irtual Enterprise Broker: ¹he Case of Bill the way in which such systems are designed and
Epsteina by Faisst, Kanet and Mertens examines implemented. Indeed contemporary approaches to
the potential role of information technology (IT) in MCS design and construction are geared to produ-
so-called virtual enterprises (VE). They do this by cing essentially one-o! systems. As a result they
providing a case study of the entrepreneur Bill make limited use of modern system design methods
Epstein. They brie#y describe Epstein's activities, and concepts and do not promote the reuse of
who himself does not make heavy use of IT and standards and component building blocks. Invari-
present a tool box of possible IT which would able custom MCS design and build leads to very
support VE broker activities. high cost systems and long installation lead-times.
Agile manufacturing is seen as the winning Furthermore, resultant systems are often character-
strategy to be adopted by manufacturers bracing ized by their lack of robustness and lack of #exibil-
themselves for dramatic performance to become ity. Therefore, seldom will contemporary forms of
national and international leaders in an increasing- MCS readily enable change. This is a major im-
ly competitive market of fast changing customer pediment to the successful application of MCS in
requirements. The paper `Agile Manufacturing: ¹he manufacturing environments which are dynamic in
Drivers, Concepts and Attributesa by Yusuf, Sarhadi nature. It follows that contemporary forms of MCS
and Gunasekaran identi"es the drivers of agility have particularly limited application on the pro-
and discusses the portfolio of competitive advant- duction shop #oor in small and medium enterprises
ages that have emerged over time as a result of the (SMEs). Even in static environments it is di$cult to
changing requirements of manufacturing. The need justify a major investment in any type of IT system.
to achieve the competitive advantage of manufac- Hence, very seldom it will be possible to justify the
turing in synergy without trade-o! is fundamental use of in#exible systems in environments character-
to the agile paradigm. To further understanding ised by near constant change } this being common-
of agility, this paper reviews the meaning of agility place in SMEs.
from di!erent perspectives and suggests a compre- An architecture for the development of manufac-
hensive de"nition which can be adopted as a turing control systems, called MCSARCH, has
working de"nition by practitioners. Four under- been developed to reduce the e!ort needed to pro-
lining concepts of agility have emerged from the duce shop #oor control systems. The approach is
A. Gunasekaran/Int. J. Production Economics 62 (1999) 1}6 3

a natural extension of the use of Object}Oriented dicating the steps to be taken in achieving supply
(OO) software development techniques. It uni"es chain agility in real world scenarios.
the use of several manufacturing and communica- Weng in his paper `Risk-Pooling over Demand
tion standards which individually were conceived ;ncertainty in the Presence of Product Modularitya
to address `a particular aspect of the way in which studies the e!ect of risk-pooling over demand un-
systems should be designed and builta. These stan- certainty of multiple products sharing product
dards are standard exchange for product model modularity in two-echelon distribution. The distri-
data (STEP) (ISO 10303), manufacturing message bution system consists of a distribution center and
speci"cation (MMS) (ISO 9506), and common ob- n retailers, each of which supplies random demand
ject request broker architecture (COBRA) (OMG, for m products. The modular product design pro-
1887). This has required solutions to complex ques- vides management an opportunity for using the
tions such as how MMS and COBRA `conceptsa most capable product, which is also the most ex-
and `mechanismsa be integrated in a #exible but pensive, as joint bu!er stock to substitute for other
e!ective way. Means of achieving the integration products when a stock occurs at a retailer. He
are `embeddeda into the MCSARCH architecture developed models to study the e!ect of retailer joint
and approach. To implement the MCSARCH and bu!er stock on the system's expected operating
approach a computer-aided software engineering costs, including bu!er stock holding costs, backor-
(CASE) tool has been speci"ed. The particular im- der costs, and purchasing costs. The results indicate
plementation of the speci"cation produced in this that substantial savings are possible through em-
study has been referred to as MCSTOOLS and has ployment of joint bu!er stock. The cost reduction
been developed in a `proof of concepta form in depends critically upon the customer service level
order to validate concepts embedded within the desired, as well as the diverse degree of variance in
MCSARCH architecture, as well as to de"ne en- end-of-period net inventory across all products and
capsulation proposals for the di!erent elements all retailers. His study provides managerial insights
which comprise that architecture. The resultant sys- into basic e!ects of risk-pooling over demand un-
tems engineering environment, i.e. MCSTOOLS, certainty through product modularity.
allows semi-automatic MCS development. The Manufacturing processes based on AM are char-
overall environment comprises means of support- acterized by customer}supplier integrated process
ing use of the uni"ed modelling language (UML) for product design, manufacturing, marketing, and
and of C>> developer environments; using support services. This needs decision-making at
C>> language extensions for multithreading, per- functional knowledge levels, stable unit costs, #ex-
sistence and distributed computing. This tool has ible manufacturing, easy access to integrated data,
also provided its use as research tool to study and modular production facilities. AM requires en-
various aspects of the MCS domain. riching of the customer, co-operating with competi-
Agility is interpreted as using market knowledge tors, organizing to manage change, uncertainty and
and a virtual corporation to exploit pro"table op- complexity, and leveraging people and information.
portunities in a volatile market place. This requires In the recent years, a number of research papers
the slashing of process lead times throughout the have been published on AM [5}7]. However,
chain. However, Mason}Jones and Towill in their a framework for the development of AM has not
paper `¹otal Cycle ¹ime Compression and the Agile received due attention from both researchers and
Supply Chaina demonstrate that such action is sim- practitioners. Realizing the importance of agile
ply not enough to enable agility. Similar steps must manufacturing systems in the 21st century manu-
also be taken to reduce information lead times, facturing competitiveness, Gunasekaran in his
resulting in the concept of the `Information En- paper `Agile Manufacturing: A Framework for Re-
richeda supply chain. Simulation results on realistic search and Developmenta made an attempt to re-
models of fashion trade supply chains con"rm the view the literature on AM with the objective to: (i)
superior agility resulting from information enrich- identify key strategies and techniques of agile
ment. Their paper concludes with a route-map in- manufacturing, (ii) suggest some future research
4 A. Gunasekaran/Int. J. Production Economics 62 (1999) 1}6

directions and (iii) develop a framework for the powerful concepts of technology enabled agility.
development of AMSs along four key dimensions, These alliances and concepts are integrated with
viz. strategies, technologies, systems and people. and characterized by #at organizations, team
As the lean thinking and agile manufacturing production, empowerment, customization, and
paradigms have been developed there has been concern of societal issues [9]. Strategic interor-
a tendency to view them in a progression and in ganizational alliance that aids organizations is
isolation. The article `¸eagility: Integrating the gaining competitive advantages and improving
¸ean and Agile Manufacturing Paradigms in the production e$ciencies. Network organizations, vir-
¹otal Supply Chaina by Naylor, Naim and Berry tual corporations, and value-adding partnerships
shows that this is too simplistic a view. The use of are envisioned by many experts as the epitome of
either paradigm has to be combined with a total interorganizational alliances for the 21st century.
supply chain strategy particularly considering mar- These multiorganizational structures are viewed as
ket knowledge and positioning of the decoupling a solution for rapid introduction of products while
point as agile manufacturing is best suited to sat- maintaining high quality and minimal costs. One
isfying a #uctuating demand and lean manufactur- common key issue in designing these new forms of
ing requires a level schedule. This view is supported organizations is the partner selection process. The
by consideration of a PC supply chain case study. business processes (`owneda by organizational
Agile manufacturing is complementary to quick partners) must both individually and as group, be
response } an initiative initially developed for the e$cient. The paper `A Framework for Designing
textiles, clothing and footwear industry. Quick re- E.cient Organizational Networksa by Talluri,
sponse manufacturing (QRM) is an expansion of Baker and Sarkis proposes a two phase quantitat-
time-based competition (TBC) strategies which use ive framework to aid the decision making process
speed for a competitive advantage. Essentially, in partner selection to most e!ectively select part-
QRM stems from a single principle } reducing lead ners that may "t within a globally e$cient enter-
times [8]. Quick response refers fundamentally to prise. Phase 1 identi"es e$cient candidates for each
speed-to-market of products which move rapidly type of business process (e.g. inbound logistics, de-
through the production and delivery cycle, from sign, manufacturing, outbound logistics, etc.) utilis-
raw materials and component suppliers, to manu- ing data envelopment analysis. Phase 2 involves the
facturer, to retailer and "nally to end consumers. execution of a goal programming model to deter-
The paper `Quick Response Supply Chain Alliances mine the best portfolio of partners based on a num-
in the Australian ¹extiles, Clothing and Footwear ber of objectives. Model application and insights
Industrya by Perry, Sohal and Rumpf describes the are evident through an illustrative example.
processes that were occurring as part of the Austra- Critical to the success of an AMS is to recon-
lian government funded quick response program in "gure the manufacturing cell and to integrate many
the textiles, clothing and footwear industry. This disparate elements contained in cells. Therefore,
includes workshop meetings involving supply chain rapid modelling and reusable modelling capabili-
partners where sel"sh `wish listsa were openly dis- ties are demanded. Zhang, Gu, Li and Duan in
cussed leading to the development of common their paper `Object-oriented Modelling of Control
quick response goals and open communication. System for Agile Manufacturing Cellsa discuss the
Their paper also presented a model of e!ective object-oriented modelling for cell control system.
communication and multidimensional information This paper de"nes manufacturing entity object
#ow necessary for quick response supply chain (MEO) as reusable building block of modelling and
alliances. Finally, they identify the key factors that addresses the structure of manufacturing entity ob-
led to the successful outcomes from the Australian ject. MEO modelling scheme facilitates the process
quick response program. of modelling.
AM embraces a wealth of ideas, including inno- The business environment is one which is ever
vative alliances between suppliers, customers, and more demanding on companies, due to its cheer
manufacturers in the relenting pursuit of value, and dynamism, which means that they are constantly
A. Gunasekaran/Int. J. Production Economics 62 (1999) 1}6 5

having to improve their manufacturing perfor- (2) Real life experiences in developing virtual en-
mance. Organizations are continuously having to terprises have been presented to highlight
cope with changing markets that are unpredictable some major issues such as rapid partnership
and more diversi"ed, increasing global competition formation and the role of information techno-
and ever changing customer demands. Companies logy in developing communication systems.
now have to be able to not only predict variations (3) A fair attempt has been made in this special
and changes within the market and socio-economic issue to present a range of de"nitions of agile
and political environments but must also be able to concepts from a multidimensional perspective
adapt and change according to these environments. and to identify the major attributes of AM
As a result, this demands that an organization based on key competitive bases such as pro-
develops and sustains an inherent ability to con- ductivity, quality, responsiveness, proactivity
tinuously change. Such a demand can be met by and #exibility.
adopting the management philosophy of AM. In (4) A range of architectures have been discussed for
embracing such an approach, there are many key the development of AM taking into account the
concepts and enabling technologies that are re- role of information technology, temporary
quired to be able to implement AM and many alliances and physically distributed "rms.
companies do not know how far down the path (5) Certain modelling methodologies and tools
they are towards becoming agile manufacturing have been developed for the development of
organizations. Hence, in providing a deeper under- AMSs. These tools mainly concentrate on the
standing, the paper `=orking ¹owards Agile Manu- application of object-oriented models and pro-
facturing in the ;K Industrya by Sharp, Irani and gramming using C## and other commercial
Desai proposes a conceptual model, based on joint softwares such as Shell, Extend, Witness, Arena,
research, which has been developed to identify Visual Basic and Microsoft Project.
where UK's best practice companies are in their (6) Other allied strategies to achieve agility such
quest to become AM organizations. In support of as supply chain #exibility, reduction of in-
this, a questionnaire has been developed and com- formation leadtimes, reengineering, rapid
pleted by best practitioners of manufacturing, to product development have been analyzed.
assess the model, and establish whether they are (7) The idea of product modularity has been ex-
making progress to becoming AM organisations. plored for the purpose of improving agility in
In summary, the objective of the special issue on changing market requirements.
agile manufacturing has been achieved in terms of (8) A comprehensive framework has been de-
bringing to the fore certain key characterization of veloped for developing AMSs along four di-
agile manufacturing organizations along four key mensions such as strategies, technologies,
dimensions, viz. strategies, technologies, people and systems, and people.
systems. As it could be seen that agile manufactur- (9) Some case studies have also been presented
ing system is still in the development stage, there- with the objective to identify the key at-
fore, it is hoped this particular special issue will tributes of AM. This includes quick response
motivate the researchers/practitioners in AM and manufacturing, strategic alliances across sup-
its systems design by o!ering some insights into the ply chain and open communication through
development of AMSs. The following are some of multidimensional information #ow.
the issues that could be highlighted as the major (10) AM organizations are characterized based on
observations from these special issue contributions: innovative alliances between suppliers, cus-
tomers and manufacturers, agile-enabled
(1) Suitable strategies have been discussed for the technologies, #at organizations, team produc-
development of agile manufacturing. These tion and empowerment. Also, developed op-
strategies mainly focus on virtual enterprise, erations research models for the representing
supply chain management and concurrent en- the organizational characteristics and analy-
gineering. sis of AM enterprises.
6 A. Gunasekaran/Int. J. Production Economics 62 (1999) 1}6

(11) Object-oriented modelling has been widely [2] F.L. Merat, N.A. Barendt, R.D. Quinn, G.C. Causey, W.S.
used in modelling agile manufacturing cells. Newman, V.B. Velasco, Jr., A. Podgurski, Y. Kim, G. Oz-
The reuse and easy recon"gurability of this soyoglu, J.Y. Jo, Advances in agile manufacturing, Proceed-
ings } IEEE International Conference on Robotics and
modelling approach facilitate the process of Automation, vol. 2, 1997, IEEE, Piscataway, NJ, USA, pp.
quick modelling and hence the appropriate 1216}1222,
decisions for e!ectively controlling AM cells. [3] A. Gunasekaran, Agile manufacturing: Enablers and an
implementation framework, International Journal of Pro-
duction Research 36 (5) (1998) 1223}1247.
Acknowledgements [4] L. Song, R. Nagi, Design and implementation of a virtual
information system for agile manufacturing, IIE Transac-
The editor of this special issue has been satis"ed tions (Institute of Industrial Engineers) 29 (10) 1991
839}857.
by the response to the call for papers on `Design [5] S.L. Goldman, R.N. Nagel, Management, technology and
and Implementation of Agile Manufacturing Sys- agility: The emergence of a new era in manufacturing, Inter-
temsa. Each paper was reviewed by two referees. national Journal of Technology Management. 8 (1/2) (1993)
The guest editor gratefully acknowledges the 18}38.
assistance provided by Professor Robert W. Grub- [6] P.T. Kidd, Agile Manufacturing: Forging New Frontiers,
Addison-Wesley, Reading, MA, 1994.
bstroK m, Editor-in-Chief of the International Journal [7] S.L. Goldman, R.N. Nagel, K. Preiss, Agile Competitors
of Production Economics and more than 20 anony- and Virtual Organisations: Strategies for Enriching the
mous referees who reviewed the manuscripts. Customer, Van Nostrand Reinhold, USA, 1995.
[8] R. Suri, Quick Response Manufacturing: A Company Wide
Approach to Reducing Lead times, Productivity Press,
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