Priority allocation decisions in large scale MTO/MTS - Multi-product manufacturing systems: technical report - HEC Paris - École des hautes études commerciales de Paris
Reports Year : 2008

Priority allocation decisions in large scale MTO/MTS - Multi-product manufacturing systems: technical report

Abstract

We consider a single stage multi-product manufacturing facility producing a large number of end-products for delivery within a service constraint for the customer lead-time. The manufac- turing facility is modeled as a multi-product, multi-priority queuing system. In order to reduce inventory costs, an e±cient priority allocation between items consists in producing some items according to a Make-To-Stock (MTS) policy and others according to a Make-To-Order (MTO) policy depending on their features (costs, required lead-time, demand rates). We propose a general optimization procedure that gives a near-optimal °ow control (MTO or MTS) to as- sociate with each product and the corresponding near-optimal priority strategy. We illustrate e±ciency of our procedure via several examples and by a numerical analysis. In addition, we show numerically that a small number of priority classes is su±cient to obtain near-optimal performances.
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Dates and versions

hal-00578367 , version 1 (19-03-2011)

Identifiers

  • HAL Id : hal-00578367 , version 1

Cite

Christian van Delft, Yves Dallery, K. Hadj Youssef. Priority allocation decisions in large scale MTO/MTS - Multi-product manufacturing systems: technical report. 2008. ⟨hal-00578367⟩
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