Relations between volume flexibility and part cost in assembly lines

This paper presents a strategy for achieving volume flexibility in assembly lines, so that varying production demands can be met. The strategy involves providing assembly lines inherent cycle-time flexibility, through creating the possibility for operators to handle multiple work stations. A basic part-cost model serves as a basis for analyzing the cost effects of different staffing alternatives, its taking account of different performance parameters and numbers of operators. Use of the part-cost model is illustrated by analyzing two specific cases differing in the number of operators assigned to the assembly line, the operators being partly permanent and partly temporary workers. It is shown how the costs are affected by the production performance of the work force in question, temporary operators being expected to display a somewhat lower level of performance than permanent workers.