Cost-Benefit Analysis to Hedge with Third Party Producers in Demand-Driven Production
One of the characteristics of Demand-Driven Production is that goods should be manufactured and delivered to customers within the specified pe-riod of time. Manufacturers achieve this by utilizing various efficient production planning, scheduling tools and techniques. But situations may arise where...
| Main Authors: | , |
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| Other Authors: | |
| Format: | Book Chapter |
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Springer
2010
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| Online Access: | http://hdl.handle.net/20.500.11937/20857 |
| _version_ | 1848750427039858688 |
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| author | Hussain, Omar Dillon, Tharam S. |
| author2 | Fatos Xhafa |
| author_facet | Fatos Xhafa Hussain, Omar Dillon, Tharam S. |
| author_sort | Hussain, Omar |
| building | Curtin Institutional Repository |
| collection | Online Access |
| description | One of the characteristics of Demand-Driven Production is that goods should be manufactured and delivered to customers within the specified pe-riod of time. Manufacturers achieve this by utilizing various efficient production planning, scheduling tools and techniques. But situations may arise where the manufacturer, despite such techniques, may not be able to meet the required de-mand. So strategies need to be developed by which situations like these are coun-tered and the financial loss from them alleviated. One such strategy is to hedge the production of goods from third party producers. But before doing so, the manufac-turer has to carry out a cost-benefit analysis that will determine the feasibility and viability of considering this option. In this chapter, we propose a methodology by which the manufacturer does the cost-benefit analysis and then makes an informed decision about whether to hedge with third party producers. |
| first_indexed | 2025-11-14T07:36:39Z |
| format | Book Chapter |
| id | curtin-20.500.11937-20857 |
| institution | Curtin University Malaysia |
| institution_category | Local University |
| last_indexed | 2025-11-14T07:36:39Z |
| publishDate | 2010 |
| publisher | Springer |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | curtin-20.500.11937-208572023-01-13T07:56:30Z Cost-Benefit Analysis to Hedge with Third Party Producers in Demand-Driven Production Hussain, Omar Dillon, Tharam S. Fatos Xhafa Leonard Barolli Petraq J. Papajorgji Cost-benefit analysis Equivalent Demand Expected Curve Demand-Driven Production Demand Expected Curve Hedging Decision-making One of the characteristics of Demand-Driven Production is that goods should be manufactured and delivered to customers within the specified pe-riod of time. Manufacturers achieve this by utilizing various efficient production planning, scheduling tools and techniques. But situations may arise where the manufacturer, despite such techniques, may not be able to meet the required de-mand. So strategies need to be developed by which situations like these are coun-tered and the financial loss from them alleviated. One such strategy is to hedge the production of goods from third party producers. But before doing so, the manufac-turer has to carry out a cost-benefit analysis that will determine the feasibility and viability of considering this option. In this chapter, we propose a methodology by which the manufacturer does the cost-benefit analysis and then makes an informed decision about whether to hedge with third party producers. 2010 Book Chapter http://hdl.handle.net/20.500.11937/20857 Springer restricted |
| spellingShingle | Cost-benefit analysis Equivalent Demand Expected Curve Demand-Driven Production Demand Expected Curve Hedging Decision-making Hussain, Omar Dillon, Tharam S. Cost-Benefit Analysis to Hedge with Third Party Producers in Demand-Driven Production |
| title | Cost-Benefit Analysis to Hedge with Third Party Producers in Demand-Driven Production |
| title_full | Cost-Benefit Analysis to Hedge with Third Party Producers in Demand-Driven Production |
| title_fullStr | Cost-Benefit Analysis to Hedge with Third Party Producers in Demand-Driven Production |
| title_full_unstemmed | Cost-Benefit Analysis to Hedge with Third Party Producers in Demand-Driven Production |
| title_short | Cost-Benefit Analysis to Hedge with Third Party Producers in Demand-Driven Production |
| title_sort | cost-benefit analysis to hedge with third party producers in demand-driven production |
| topic | Cost-benefit analysis Equivalent Demand Expected Curve Demand-Driven Production Demand Expected Curve Hedging Decision-making |
| url | http://hdl.handle.net/20.500.11937/20857 |