In this paper, we compare the operational performance of two machine-sharin
g configurations: total flexibility and chaining. We show that chaining cap
tures most of the benefits of total flexibility while limiting the number o
f part types processed on any individual machine to only two. We examine th
e relative desirability of the two configurations under varying buffer size
s, loading conditions, number of machines, and setup times, as well as for
different control policies. For nonzero setups times, we show that chained
configurations can outperform fully flexible ones. This particularly is the
case when either the number of machines or length of setup times is high.
We also find that the effect of the system size on performance diminishes w
ith the number of machines. This means that multiple smaller chains can per
form almost as well as a single long one. Our results are consistent with t
he recent findings of Jordan and Graves (1995), who examined the economic b
enefits of chaining relative to full flexibility.