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| Titel: |
Optimal capacity expansion for multi-product, multi-machine manufacturing systems with stochastic demand |
| Auteur: |
Zhang, Feng Roundy, Robin Cakanyildirim, Metin Huh, Woonghee Tim |
| Verschenen in: |
IIE transactions |
| Paginering: | Jaargang 36 (2004) nr. 1 pagina's 23-36 |
| Jaar: |
2004-01 |
| Inhoud: |
We consider a discrete-time capacity expansion problem involving multiple product families, multiple machine types, and non-stationary stochastic demand. Capacity expansion decisions are made to strike an optimal balance between investment costs and lost sales costs. Motivated by current practices in the semiconductor and other high-tech industries, we assume that only minimal amounts of finished-goods inventories are held, due to the risk of obsolescence. We assume that when capacity is in short supply, management desires to ensure that a minimal service level for all product families is obtained. Our approach uses a novel assumption that demand can be approximated by a distribution whose support is a collection of rays emanating from a point and contained in real multi-dimensional space. These assumptions allow us to solve the problem as a max-flow, min-cut problem. Computational experiments show that large problems can be solved efficiently. |
| Uitgever: |
Taylor & Francis |
| Bronbestand: |
Elektronische Wetenschappelijke Tijdschriften |
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