ABSTRACT

Managing the material flow involves two kinds of uncertainty: external uncertainty that stems from an unpredictable environment and internal uncertainty arising from the technical system where functions are interdependent to varying extents. Through boundary units within the supply and stores division NASCO seeks to adjust materials requirements to the constraints and contingencies of the external supply system. Through scheduling and planning of activities in the in-house manufacturing system and of material movements within the company, NASCO seeks to reduce internal uncertainty that affects the material flow.