Title: Multi-site integrated production and distribution planning: a multi-objective approach

Authors: Gaurav Kumar Badhotiya; Gunjan Soni; M.L. Mittal

Addresses: Department of Mechanical Engineering, Malaviya National Institute of Technology Jaipur, Jaipur 302017, Rajasthan, India ' Department of Mechanical Engineering, Malaviya National Institute of Technology Jaipur, Jaipur 302017, Rajasthan, India ' Department of Mechanical Engineering, Malaviya National Institute of Technology Jaipur, Jaipur 302017, Rajasthan, India

Abstract: To compete in this globalised market, enterprises should focus on optimising and integrating production and distribution functions simultaneously. This study deals with the problem of integrated production and distribution planning in multi-site manufacturing environment. A multi-objective mixed integer programming model is formulated considering three important aspects of production and distribution planning; capacity of heterogeneous transportation, setup and backordering. Three conflicting objectives that need to be minimised are total cost, delivery time and backorder level. To solve the proposed multi-objective mathematical model, preemptive goal programming approach is implemented. A real world case example of an automobile industry is considered to demonstrate analytical results of the proposed approach. Further analysis is conducted to visualise effect of changing priority level on objective functions and deviation variables. The results demonstrate flexibility of decision maker by adjusting priorities of objective functions according to importance and aspiration level with respect to desired target values.

Keywords: multi-site manufacturing; production planning; distribution planning; inventory; transportation; goal programming.

DOI: 10.1504/IJPD.2018.095923

International Journal of Product Development, 2018 Vol.22 No.6, pp.488 - 501

Received: 20 Mar 2018
Accepted: 01 Oct 2018
Published online: 04 Nov 2018 *

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