Production planning: An improved hybrid approach

This paper proposes an extended linear programming model for the hybrid approach proposed by Byrne and Bakir (International Journal of Production Economics 59 (1999) 305) and Kim and Kim (International Journal of Production Economics 73 (2001) 165). In this new model the workload of jobs is sub-divided to introduce the unit load concept of JIT. While an optimum plan is sought, due to this unit load concept, the model takes account of the requirement of small lot sizes which is one factor of the JIT approach. The effective loading ratio (ratio of the output quantity to the input quantity) is modified by omitting the slack time for each job. This helps to ensure that correct quantity of product is produced in each period, thus minimising any excess inventory or backlogging. Omission of slack time will also improve equipment utilisation and throughput. A flexible capacity constraint is also introduced which takes into account the availability of resources based on their previous histories. The incorporation of the unit load concept and modification of resource requirements and constraints in the proposed LP formulation are expected to help to improve the planning model by reducing the level of WIP and total flow time. (C) 2004 Elsevier B.V. All rights reserved.