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DARPA ULTRALOG Final Report - Industrial and Manufacturing ...

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D<br />

k<br />

: Outflow from high priority queue in the kth interval<br />

λ : Inflow to low priority queue from the outside in the kth interval<br />

k<br />

The system is characterized by the following parameters:<br />

µ<br />

a<br />

: Rate per unit of the schedule cycle at which the low priority queue can be served<br />

µ : Rate per unit of the schedule cycle at which the high priority queue can be served<br />

b<br />

l: The feedback interval in units of the schedule cycle<br />

The following four equations then completely describe the evolution of the system:<br />

A<br />

C<br />

B<br />

k + 1<br />

= Ak<br />

+ λk<br />

− Ck<br />

(1)<br />

Dk<br />

= min( Ak<br />

+ λk<br />

, µ<br />

a<br />

(1 − ))<br />

(2)<br />

µ<br />

k<br />

b<br />

k +1<br />

= Bk<br />

+ Ck<br />

−l<br />

− Dk<br />

(3)<br />

D = min( B + C , µ )<br />

(4)<br />

k<br />

k<br />

k −l<br />

b<br />

Equations (1) <strong>and</strong> (3) are merely conservation rules, while equations (2) <strong>and</strong> (4) model the<br />

constraints on the outflows <strong>and</strong> the interaction between the queues. This model while<br />

conceptually simple, exhibits surprisingly complex behaviors.<br />

Dynamical Behavior<br />

The analytic approach to solve for the flow model under constant arrivals (i.e. λ<br />

k<br />

= λ for all k)<br />

shows several classes of solutions. The system is found to batch its workload even for perfectly<br />

smooth arrival patterns. Following are the characteristics of behavior of the system:<br />

1) Above a threshold arrival rate ( λ ≥ / 2 ), a momentary overload can send the system<br />

µ b<br />

into a number of stable modes of oscillations.<br />

2) Each mode of oscillations is characterized by distinct average queuing delays.<br />

3) The extreme sensitivity to parameters, <strong>and</strong> the existence of chaos, implies the system at a<br />

given time may be any one of a number of distinct steady-state modes.<br />

The batching of the workload can cause significant queuing delays even at moderate occupancies.<br />

Also such oscillatory behavior significantly lowers the real-time capacity of the system. For<br />

details of application of this model in supply chain context, refer to (Kumara et al. 2003).<br />

5.1.2 Managerial Systems<br />

Decision-making is another typical characteristic in which the entities in a supply chain are<br />

continuously engaged in. Entities make decisions to optimize their self-interests, often based on<br />

local, delayed <strong>and</strong> imperfect information.<br />

To illustrate the effects of decisions on the dynamics of supply chain as a whole, we consider a<br />

managerial system, which allocates resources to its production <strong>and</strong> marketing departments in<br />

accordance with shifts in inventory <strong>and</strong>/or backlog (Rasmussen <strong>and</strong> Moseklide 1988). It has four<br />

level variables: resources in production, resources in sales, inventory of finished products <strong>and</strong><br />

number of customers. In order to represent the time required to adjust production, a third order<br />

delay is introduced between production rate <strong>and</strong> inventory. The sum of the two resource variables<br />

is kept constant. The rate of production is determined from resources in production through a<br />

nonlinear function, which expresses a decreasing productivity of additional resources as the

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