Analysis of the Effects of Buffer Storage Capacity

Abstract

The purpose of this paper is to gain insight into the problem on the role of buffer stocks in production lines, and to present the results of a theoretical study of the problem. After the formulation of the problem is given, a Markovian process model of production buffer systems is proposed. It is shown that this model is a useful tool for analyzing the role of in-process inventory banks in production lines for improving the line efficiency. A two stage line consists of two groups of stations separated by a buffer. The reasons for installing buffers can be best illustrated by condsidering two stages. Based on this analysis, some reflections about two stage lines are presented : (1) Should buffer stocks be used? (2) What is the effect of a given buffer capacity on the line efficiency, or on the number of mean buffer stocks? (3) What is the effect of a variation of breakdown rates, repair rates, or stage efficiencies? Cost analysis of a production line is made to help the system designer make a better decision so as to maximize the system profit.