Original scientific paper

AN INTERACTIVE PROCEDURE FOR AGGREGATE PRODUCTION PLANNING

Maciej Nowak orcid.org/0000-0002-8561-3863 ; University of Economics in Katowice, Katowice, Poland

Abstract

Minimizing production cost over the planning period is usually assumed to be the objective of aggregate planning. However, other issues of strategic type may be even more important. Smoothing employment levels, driving down inventory levels or meeting high level of service usually are also considered. Thus, aggregate planning problem constitutes a multiple criteria decision making problem. In the paper a new approach for production aggregate planning problem is proposed. The procedure combines linear programming, simulation, and interactive approach. Linear programming models are used to generate initial solutions. In order to check how the fluctuations in demand will affect the results obtained under each of these solutions simulation experiments are performed. Finally, an interactive procedure is used for identifying the final solution of the problem.

Keywords

Aggregate production planning; Production risk; Simulation; Multiple criteria analysis; Interactive approach

Hrčak ID:

97402

URI

https://hrcak.srce.hr/97402

Publication date:

1.2.2013.

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