MILP-based approach to mid-term production planning of batch manufacturing environment producing bulk products

2018 
Abstract This paper considers process industry and more especially single stage multi product environment which is composed of many manufacturing lines producing different bulk products and many storage facilities. These lines and storage facilities are located at different facilities in a large multi-facility plant forming a production-inventory network. The problem of medium-term planning is studied. This problem is modeled as a network flow problem. A Mixed Integer Linear Program (MILP), modeling a graph flow problem, with a weighted bi-objective, is proposed which aims to maximize demand satisfaction while minimizing storage. Using this MILP for capacity allocation and resources sizing, an optimal solution is obtained which determines the planning in order to satisfy the total demand versus a given production, storage and distribution capacities. The efficacy and usefulness of the model are illustrated with an example involving six manufacturing lines, nine storage facilities and fourteen bulk products.
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