𝔖 Bobbio Scriptorium
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The cost of production breaks

✍ Scribed by Jeffrey D. Camm; Norman Keith Womer

Publisher
John Wiley and Sons
Year
1987
Tongue
English
Weight
351 KB
Volume
34
Category
Article
ISSN
0894-069X

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✦ Synopsis

Disruptions in the production process can have a serious impact on production costs. Most of the previous literature which addresses the cost impact of production breaks attributes the observed increase in costs solely to "loss of learning." We develop a mathematical model which implies that breaks in the unit learning curve can occur because of a production break, even under the assumption of no forgetting. In such cases, increases in unit cost can be caused by decreasing returns as the amount of time available to meet the delivery schedule decreases due to the production break.

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