Nortel Redefines Factory Information Technology: An OR-Driven Approach

Published Online:https://doi.org/10.1287/inte.28.1.37

Nortel recruited a team of operations researchers and engineers to develop and implement an enterprise information system for Nortel's new PCS1900-cellular-equipment manufacturing operation. This system provides online access to quality, inventory, and cycle-time measurements, as well as linked analysis tools that provide real-time decision support. Production workers, managers, and engineers can access these tools through the Nortel intranet using Netscape. Inexpensive access to current factory information eliminated the costly delays formerly experienced gathering, analyzing, and transferring data. The OR specialists developed and implemented the network and decision-support system in less than one year. This marked a major shift from traditional shop-floor systems deployment within Nortel and within the industry in general and demonstrates an opportunity for OR to assume a leadership role in systems implementation in manufacturing operations.

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