A Comparative Analysis for the Justification of FutureManufacturing Systems

Abstract

Traditional procedures alone are not appropriate for justifying advanced manufacturing systems. It is necessary to consider the benefits of new technology in manufacturing systems since financial return is dependent on many factors outside manufacturing. An in‐depth examination is the foundation of the comprehensive comparative analysis presented here. The mechanism used to combine and synthesise tangible and intangible benefits of advanced technology is the analytic hierarchy process. A cost/ benefit analysis incorporates cashflows and benefits to determine the best manufacturing system choice. A detailed example is given to illustrate the procedure, and to compare the results with that of the traditional return on investment method.