Performance Evaluation and Optimization of a Two-stage Production-sistribution System with Batch Orders and Finite Transportation Time
| Authors: | Li Jie, University of Metz,France, France
Sava Alexandru, University of Metz,France, France
Xie Xiaolan, University of Metz,France, France |
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| Topic: | 5.1 Manufacturing Plant Control |
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| Session: | Plant-wide Production Planning and Control Issues |
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| Keywords: | Production-distribution systems, batch orders, performance evaluation, analytical approach |
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Abstract
This paper proposes an analytical method for performance evaluation and optimisation of a production-distribution system composed of a warehouse supplied from an upstream manufacturing plant. Customer orders arrive randomly with random order size and the production capacity is finite. Transportation time from plant to warehouse is fixed. The analytical approach needs only the first two moments of random variables of the system to evaluate the order-to-delivery lead-time of the warehouse, the total inventory on order, the inventory holding, backlogging cost and fill rate. We use a gradient-based method to minimize the average total inventory cost subject to fill rate requirement. Numerical comparisons with simulation show that the analytical approach is very efficient. Copyright © 2005 IFAC
