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AdvancedPlanningandSchedulingIslogisticseverything?Aresearchontheuse(fulness)ofadvancedplanningandschedulingsystems.MarjoleinvanEckBWIpaper,April2003AdvancedPlanningandSchedulingIslogisticseverything?Aresearchontheuse(fulness)ofadvancedplanningandschedulingsystems.MarjoleinvanEckBWIpaper,April2003VrijeUniversiteitAmsterdamFacultyofSciencesMathematicsandComputersciencedepartmentsPaperforBusinessmathematicsandInformaticsDeBoelelaan1801a1081HVAmsterdamPrefacePrefaceThispaperispartofthedoctoralprogrammeofthestudyBusinessmathematicsandInformatics(BWI)atthevrijeUniversiteitAmsterdam.Thispaperisbasedonaliteratureresearchintoadvancedplanningandscheduling.Thisresearchissubtitled:‘Islogisticseverything?’whichreferstoaheadlineintheNRCHandelsbladonthe29thofNovember1997:“Logistiekisalles.”(Logisticsiseverything).AnarticlewiththeretiringchairmanoftheEVO,theorganisationforlogisticsandtransport.Sinceadecadetheaccentinthelogisticssectorhasmovedfrominsidethefactoriesandwarehousestotheoutsideworld.TheSupply-Chainparadigmhasleadtonewresearchareasandtechnologiesinthesearchforanincreasedcontrolofthetotallogisticschainofcompanieswhoco-operatetoproduceandsellproducts.OneofthemostremarkableresultsoftheSupplyChainconceptistheincreaseintheuseofformal,scientificmethodstosupportthelogisticaldecision-making.WiththisresearchIhopetohavegivenacriticalandobjectiveviewonthisnewdevelopment.IwouldliketothankmysupervisorGerKooleforhiscriticalview.MarjoleinvanEckAmsterdam,TheNetherlands,April2003-i--ii-ExecutivesummaryExecutivesummarySupplychainmanagement(SCM)isdefinedasaprocessfordesigning,developing,optimisingandmanagingtheinternalandexternalcomponentsofthesupplysystem,includingmaterialsupply,thetransformationofmaterialanddistributionoffinishedproductsorservicestocustomers,thatisconsistentwithoverallobjectivesandstrategies(Spekman,1998).TheessenceofSCMisastrategicweapontodevelopasustainablecompetitiveadvantagebyreducinginvestmentswithoutsacrificingcustomersatisfaction(LeeandBillington,1992).Sinceeachlevelofthesupplychainfocusesonacompatiblesetofobjectives,redundantactivitiesandduplicatedeffortscanbereduced(Spekman,1998).Allcompaniesfunctionaslinksinchainsofentitiesthatproduceanddistributeproducts.Manycompanieshaveviewedtheirparticipationinthesupplychainfromanindependentperspective,andfocusedonthemaximisationofitsownprofitability.Inthetraditionalvieweachorganisationaimstomaximiseitsownprofit,whileinthenewintegratedvieweachorganisationaimstomaximisetotalsupplychainsuccess.Thereforeasupplychaincompanyinthenewviewmustloseitsexternalboundaries.Fourformsofsupplychainintegrationcanbedistinguished:PhysicalintegrationInformationintegrationManagementcontrolintegrationOrganisationalintegrationMaterialsrequirementsplanning(MRP)andcapacityrequirementplanning(CRP)systemshavebeengraduallydevelopedtowardsclosedloopsystemsentitledManufacturingResourcePlanning(MRPII),whichintegratebothmaterialsandcapacityrequirements.Latest,EnterpriseResourcePlanning(ERP)andAdvancedPlanningandScheduling(APS)systemshaveimprovedtheintegrationofmaterialsandcapacityplanningbyuseofconstraint-basedplanningandoptimisation.FurthermanyERPenAPSsystemsmakeitpossibletoincludesupplierandcustomerintheplanningprocedureandtherebyoptimiseawholesupplychainonareal-timebasis.InsteadofanERPsystemthatfocusesoneachindividuallinkinthechain,anAPSsystemi...