A UNIFIED FRAMEWORK FOR THE SELECTION OF A FLEXIBLE MANUFACTURING SYSTEM

This research addresses the problem of selecting the most appropriate Flexible Manufacturing System (FMS) for a manufacturing organization. A unified framework is proposed to facilitate decision making in the d esign and planning stage. The recommended framework contains three ind ividual modules: an Analytic Hierarchy Process (AHP), a simulation mod ule, and an accounting procedure. These modules are unified through an efficiency measurement method called Data Envelopment Analysis (DEA). The AHP model examines the nonmonetary criteria associated with corpo rate goals and long-term objectives, while the simulation model is emp loyed to analyze the tangible benefits. Both AHP and simulation models are used to generate the necessary outputs for the DEA, whereas the a ccounting procedure determines the required inputs, such as expenditur es and resources, for realizing the potential benefits. After solving an original DEA, a modification of the DEA structure is found to be im perative, because inappropriate multipliers (weights) are, assigned by the conventional use of DEA and multiple efficient Decision Making Un its (DMUs) are identified in the DEA solution. By applying weight flex ibility restriction and cross efficiency methods to rectify the diffic ulty, this study finally identifies the most efficient FMS system.