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Flexible Automation and Integrated Manufacturing 1996

ISBN 打印: 978-1-56700-067-2

INTEGRATING DISTRIBUTED ECONOMIC MODELS TO EVALUATE INVESTMENTS IN ADVANCED MANUFACTURING TECHNOLOGY

Abstract

A broad range of formal methodologies are used by manufacturers to evaluate the attractiveness of proposed capital investments. Commonly referred to as traditional engineering economics models, they provide a financial measurement that is easily understood by decision makers from fundamentally different backgrounds. The models, however, are criticized as too narrowly focused, unable to reflect the true prospects or consequences of advanced manufacturing technology. Such technologies would include networks supporting data and telecommunications, flexible production equipment, CAD-systems, databases and management software such as MRP-II. This paper discusses the development of a financial analysis approach that integrates models, capturing the distributed knowledge of the firm. It expands participation in a structured manner, enabling a more comprehensive understanding of how the investment is likely to improve the performance of the manufacturing system. Finally, it seeks to translate these consequences into financially measurable quantities. The paper discusses the approach and how it is being implemented with a local manufacturing company.
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