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Problem 1 Production Batch Scheduling

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Problem 1

Production Batch Scheduling

1.1
MIP, Mixed Integer Programming Best solution, but requires knowledge
Heuristics, like for example Silver-Meal Easy to learn and use, good solutions
Dynamic Programming, i.e. Wagner-Within Optimal like MIP but harder to program
Network Modelling Also optimal but not as easy as above
Genetic Algorithm Not necessary unless further complexity

1.2
Daytime Overtime Batches Inventory Demand Max X Max Y Max I
t Xt Yt Bt It Dt 525 0 525
1 240 0 1 190 50 525 0 525
2 0 0 0 130 60 0 0 525
3 0 0 0 60 70 0 0 525
4 0 0 0 0 60 0 0 525
5 285 0 1 190 95 525 0 525
6 0 0 0 115 75 0 0 525
7 0 0 0 55 60 0 0 525
8 0 0 0 0 55 0 0 525
Total: 525 0 2 740 525
Cost: 0 0 47,000 50 Z= 131,000

Silver-Meal should give the same solution


NB: If we use EOQ: Average weekly demand is 66
EOQ = 351
However as the planning horizon is only 8 weeks this would not be optimal.
Problem 2 Network Model 000 IKR
2.1 Skipped here Price of new car 10,000
2.2
Age Salvage Net Price Maint Accum Total Cost
1 7,000 3,000 300 300 3,300
2 6,000 4,000 500 800 4,800
3 4,000 6,000 800 1,600 7,600
4 3,000 7,000 1,200 2,800 9,800
5 2,000 8,000 1,600 4,400 12,400
6 1,000 9,000 2,200 6,600 15,600

To year 1 2 3 4 5 6
From year 0 3,300 4,800 7,600 9,800 12,400 15,600
1 3,300 4,800 7,600 9,800 12,400
2 3,300 4,800 7,600 9,800
3 3,300 4,800 7,600
4 3,300 4,800
5 3,300

This drawing shows only a part of the network

0 1 2 3 4 5 6

Network arcs Flow balance constraints


Origin Dest Cost Flow Node Outflow Required
0 1 3300 0 0 1 = 1
0 2 4800 1 NodeNetOutflow Required
0 3 7600 0 1 0 = 0
0 4 9800 0 2 0 = 0
0 5 12400 0 3 0 = 0
0 6 15600 0 4 0 = 0
1 2 3300 0 5 0 = 0
1 3 4800 0 Node Inflow Required
1 4 7600 0 6 1 = 1
1 5 9800 0
1 6 12400 0 Range names used:
Origins - A5:A39
2 3 3300 0
Dests - B5:B39
2 4 4800 1 Dists - C5:C39
2 5 7600 0 Flows - D5:D39
2 6 9800 0 Outflow - G5
3 4 3300 0 NetOutflows - G8:G15
3 5 4800 0 Inflow - G18
3 6 7600 0 TotDist - B41
4 5 3300 0
4 6 4800 1
5 6 3300 0 Total Cost 14,400
Replace in years 2 and 4!
Problem 3
3.1 Skipped here
3.2
Template for Economic Analysis of M/M/s Queueing Model
Data Results Range Na Cells
20 (mean arrival rate) L = 2.009009 CostOfServC18
10 (mean service rate) Lq = 0.009009 CostOfWaitC19
s= 6 (# servers) min Cs C15
W= 0.10045 6.03 Cw C16
Pr(W > t) = 0.609361 Wq = 0.00045 0.03 L G4
when t = 0.05 Lambda C4
0.333333 Lq G5
Prob(W q > t) = 0.002438 Mu C5
when t = 0.05 n Pn n F13:F38
1 0 0.135135 P0 G13
2 Economic Analysis: 1 Err:504 Pn G13:G38
2 Cs = $5.000 (cost / server / unit tim 2 Err:504 Rho G10
1.333333 Cw = $10.000 (waiting cost / unit tim 3 Err:504 s C6
0.666667 4 Err:504 Time1 C9
0.266667 of Service $30.000 5 Err:504 Time2 C12
0 of Waiting $20.090 6 Err:504 TotalCost C20
0 Total Cost $50.090 7 Err:504 W G7
0 8 Err:504 Wq G8
0 9 Err:504
Probability

0.3
0 10 Err:504
0
0.25 11 Err:504
0
0.2 12 Err:504
0 13 Err:504
0.15
0 14 Err:504
0
0.1 15 Err:504
0
0.05 16 Err:504
0 17 Err:504
00 18 Err:504
0 Number of Customers in System 19 Err:504
0 20 Err:504
0 21 Err:504
0 Servers Cost/hour 22 Err:504
0 3 43.890 23 Err:504
B Best: 4 41.740 24 Err:504
0 5 45.400 25 Err:504
6 50.090

Cost/hour
60
50
40
30
20
10
0
1 2 3 4
50
40
30
20
10
0
1 2 3 4

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