Title: Optimal production rate in production planning problem with simulation optimisation approach by simulated annealing

Authors: Seyed Mojtaba Sajadi; Mansoureh Farzam Rad

Addresses: Faculty of Entrepreneurship, University of Tehran, Farshi Moghadam (16 St.), 14395-796, North Kargar Ave., Tehran, Iran ' Department of Industrial Engineering, Islamic Azad University, Najafabad Branch, Isfahan, Iran

Abstract: In manufacturing environments, the production planning is at the high level of production and operation management. This paper intends to plan a flow shop manufacturing system producing multi products during multi periods. By planning, the optimal production rate of each product in every period will be determined. In order to specify the optimal production rate, three objectives must be met simultaneously. Planning is done in a stochastic situation and some uncertain parameters are considered for the problem. The simulation-optimisation approach was used and SA algorithm was chosen as the optimiser. Ultimately, after generating 225 new feasible solutions, the optimal production rate was determined. Results showed the trend of searching new solutions reached to a convergence and the average value of objective function decreased from 222,657 to 56,430 and it has been a remarkable reduction. So, the simulation optimisation approach is capable in solving uncertain production planning model even by considering multi objectives simultaneously.

Keywords: production planning; simulation; multi-objective optimisation; simulated annealing; manufacturing industry; flow shops; production rate; uncertainty.

DOI: 10.1504/IJISE.2016.074709

International Journal of Industrial and Systems Engineering, 2016 Vol.22 No.3, pp.262 - 280

Available online: 16 Feb 2016 *

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