Automobile Engine Manufacturing Oriented Analysis And Optimization Of Supply Chain Operation Cost

In recent years, Automobile industry has developed rapidly, which leads automible accessories industry develops rapidly. More and more attention is paid on Automobile Engine because it is the most important accessories with the highest cost in all Automible accessories. As the development of supply chain, more and more automible engine companies are involved in supply chain and use supply chain management methods. How to optimize and control the cost of automible engine under the supply chain environment becomes the one of the hottest issues.At present, many scholars study how to reduce supply chain cost only aiming at a certain link in supply chain (i.e. inventory optimization, transport optimization and suppliers selection). Although these studies have achieved success, as a complete production system, the cost reduction of a certain link in supply chain does not help reduce the cost of whole supply chain. Additionally, most research on Automible engine cost is still confined within the enterprise. Such studies are not applicable to the whole automible engine supply chain to optimize cost. Therefore, in order to reduce supply chain cost in essence, we should analyze supply chain operation, find the reasons resulting in cost increase and study these reasons from the system point of view.To solve abovementioned problems, based on a large amount of literature analysis, around automible engine manufacturing enterprises, we studied the operation cost of automible engine supply chain systemically and did a numerical simulation.First of all, the concepts and theories of supply chain, supply chain management, supply chain cost management and reverse supply chain ware summarized. Specially, the cost management methods and modeling methods were studied in the first chapter. Additionally, research fruits of manufacturing enterprise cost optimization were analyzed in deep. Through literature analysis, some shortcomings about manufacturing enterprise cost optimization under supply chain environment were found.Secondly, based on the research of engine manufacturing process and material selection, aiming at the whole life cycle of engine, automible engine supply chain was put forward according to supply chain concept of Shihua Ma. The supply chain in this paper includes all organizations and departments in supply chain network which begins with material purchase, through manufacturing, distribution, usage, and ends with recovery remanufacturing. Then, the operation cost structure of automible engine supply chain was studied. According with logistics direction, the operation cost of automible engine supply chain was divided into two parts: one is from forward automible engine supply chain, and the other cost is from reverse automible engine supply chain.Ground on the research of automible engine supply chain operation cost, Engine Supply Chain Cost Analysis and Simulation System was built. This system includes Cost Estimation sub-system, Cost Simulation sub-system, Supporting sub-system and Database. In which, Cost Simulation sub-system and Cost Estimation sub-system are very important.Cost Estimation sub-system consists of two modules: one is cost control module, and the other is cost estimation module. First, cost control module gains cost information through control program and cost information is output; then cost estimation module calculates engine supply chain operation cost using cost model with cost information from cost control module. Cost model is a very important component in cost estmation sub-system,which is built by mathematic programming method based on in-depth analysis of engine supply chain.The cost simulation and sensitivity analysis are the prerequisite for cost optimization. In this paper, BP neural network was used to do sensitivity analysis for engine supply chain operation cost in order to find influence factor of engine supply chain operation cost. Then, simulation program was written with Matlab; finally, numerial simulation was done to verify the method we proposed.After engine supply chain operation cost estimation and simulation, the improving methods of procurement cost, inventory cost, manufacturing cost and so on were put forward in order to help engine manufacturing enterprise optimize supply chain operation cost.