Order Penetration Point Location using Fuzzy Quadratic Programming
This paper addresses one of the most important issues
have been considered in hybrid MTS/MTO production environments. To cope with the problem, a mathematical programming model is
applied from a tactical point of view. The model is converted to a fuzzy goal programming model, because a degree of uncertainty is involved in hybrid MTS/MTO context. Finally, application of the
proposed model in an industrial center is reported and the results prove the validity of the model.
[1] Y. Mu, "Design of hybrid Make-to-Stock (MTS) - Make-to-Order (MTO) manufacturing system," M.Sc. Thesis, The University of
Minnesota, 2001.
[2] M. Ebadian, M. Rabbani, F. Jolai, S. A. Torabi, and R. Tavakkoli-Moghaddam, "A new decision-making structure for the order entry stage in make-to-order environments," Int. J. Prod. Econ., vol. 111, no. 8, pp.
351-367, 2008.
[3] S. Hoekstra,and J. Romme, Integrated logistics structures: developing
customer oriented goods flow, McGraw-Hill, London, UK, 1992.
[4] J. Olhager, "Strategic positioning of order penetration point," Int. J.
Prod. Econ., vol. 85, pp. 319-329, 2003.
[5] L. A. Zadeh, "Fuzzy sets," Inf. Control., vol. 8, pp. 338-353, 1965.
[6] A. C. Hax, and H. C. Meal, "Hierarchical integration of production planning and scheduling," MIT working paper, 1973.
[7] G. R. Bitran, and A. C. Hax, "On the design of hierarchical production
planning system," Decis. Sci., vol. 8, no. 1, pp. 28-55, 1977.
[8] G. R. Bitran, and A. C. Hax, "Disaggregation and resource allocation
using convex knapsack problems with bounded variables," Manage.
Sci., vol. 27, no. 4, pp. 431-441, 1981.
[9] J. J. Golovin, "Hierarchical integration of production planning and
control," Ph.D. Thesis, MIT, Sloan School of Management,
Massachusetts, 1975.
[10] H. Gabbay, In optimal aggregation and disaggregation in hierarchical
planning, Boston, Martin Nijhof, pp. 95-106, 1979.
[11] G. R. Bitran, E. A. Haas, and A. C. Hax, "Hierarchical production
planning: a single stage system," Oper. Res., vol. 29, no. 4, pp. 717-743,
1981.
[12] S. Ray, Y. Gerchak, and E. M. Jewkes, "Joint pricing and inventory
policies for make-to-stock products with deterministic price-sensitive
demand," Int. J. Prod. Econ., vol. 97, pp. 143-158, 2005.
[13] Z. Jemaï, and F. Karaesman, "The influence of demand variability on the
performance of a make-to-stock queue," Eur. J. Oper. Res., vol. 164, pp.
195-205, 2005.
[14] S.-D. Lee, and S.-H. Ho, "Buffer sizing in manufacturing production
systems with complex routings," Int. J. Compt. Integr. Manuf., vol. 15,
no. 5, pp. 440-452, 2002.
[15] Q.-M. He, E. M. Jewkes, and J. Buzacott, "Optimal and near-optimal
inventory control policies for a make-to-order inventory-production
system," Eur. J. Oper. Res., vol. 141, pp. 113-132, 2002.
[16] C. Thierry, J. Lamothes, and V. Galvagnon, "Re-planning support
system for make-to-order production with reserved resources," Int. J.
Prod. Res., vol. 42, no. 23, pp. 4993-5008, 2004.
[17] S. A. Slotnick, and M. J. Sobel, "Manufacturing lead-time rules:
Customer retention versus tardiness costs," Eur. J. Oper. Res., Article in
press, 2004.
[18] A. Cakravastia, and K. Takahashi, "Integrated model for supplier
selection and negotiation in a make-to-oeder environment," Int. J. Prod.
Res., vol. 42, no. 21, pp. 4457-4474, 2004.
[19] T. M. Williams, "Special products and uncertainty in production/
inventory systems," Eur. J. Oper. Res., vol. 15, pp. 46-54, 1984.
[20] A. Arreola-Risa, and G. A. DeCroix, "Make-to-order versus make-tostock
in a production-inventory system with general production times,"
IIE Trans. (Inst. Ind. Eng.), vol. 30, no. 8, pp. 705-713, 1998.
[21] D. P.van Donk, "Make to stock or make to order: the decoupling point in
the food processing industries," Int. J. Prod. Econ., vol. 96, no. 3, pp.
297-306, 2001.
[22] S. Rajagopalan, "Make-to-order or make-to-stock: Model and
application," Manage. Sci., vol. 48, no. 2, 241-256, 2002.
[23] H. J. Zimmermann, Fuzzy set theory and its applications, Third edition,
Kluwer Academic Publishers, 1996.
[1] Y. Mu, "Design of hybrid Make-to-Stock (MTS) - Make-to-Order (MTO) manufacturing system," M.Sc. Thesis, The University of
Minnesota, 2001.
[2] M. Ebadian, M. Rabbani, F. Jolai, S. A. Torabi, and R. Tavakkoli-Moghaddam, "A new decision-making structure for the order entry stage in make-to-order environments," Int. J. Prod. Econ., vol. 111, no. 8, pp.
351-367, 2008.
[3] S. Hoekstra,and J. Romme, Integrated logistics structures: developing
customer oriented goods flow, McGraw-Hill, London, UK, 1992.
[4] J. Olhager, "Strategic positioning of order penetration point," Int. J.
Prod. Econ., vol. 85, pp. 319-329, 2003.
[5] L. A. Zadeh, "Fuzzy sets," Inf. Control., vol. 8, pp. 338-353, 1965.
[6] A. C. Hax, and H. C. Meal, "Hierarchical integration of production planning and scheduling," MIT working paper, 1973.
[7] G. R. Bitran, and A. C. Hax, "On the design of hierarchical production
planning system," Decis. Sci., vol. 8, no. 1, pp. 28-55, 1977.
[8] G. R. Bitran, and A. C. Hax, "Disaggregation and resource allocation
using convex knapsack problems with bounded variables," Manage.
Sci., vol. 27, no. 4, pp. 431-441, 1981.
[9] J. J. Golovin, "Hierarchical integration of production planning and
control," Ph.D. Thesis, MIT, Sloan School of Management,
Massachusetts, 1975.
[10] H. Gabbay, In optimal aggregation and disaggregation in hierarchical
planning, Boston, Martin Nijhof, pp. 95-106, 1979.
[11] G. R. Bitran, E. A. Haas, and A. C. Hax, "Hierarchical production
planning: a single stage system," Oper. Res., vol. 29, no. 4, pp. 717-743,
1981.
[12] S. Ray, Y. Gerchak, and E. M. Jewkes, "Joint pricing and inventory
policies for make-to-stock products with deterministic price-sensitive
demand," Int. J. Prod. Econ., vol. 97, pp. 143-158, 2005.
[13] Z. Jemaï, and F. Karaesman, "The influence of demand variability on the
performance of a make-to-stock queue," Eur. J. Oper. Res., vol. 164, pp.
195-205, 2005.
[14] S.-D. Lee, and S.-H. Ho, "Buffer sizing in manufacturing production
systems with complex routings," Int. J. Compt. Integr. Manuf., vol. 15,
no. 5, pp. 440-452, 2002.
[15] Q.-M. He, E. M. Jewkes, and J. Buzacott, "Optimal and near-optimal
inventory control policies for a make-to-order inventory-production
system," Eur. J. Oper. Res., vol. 141, pp. 113-132, 2002.
[16] C. Thierry, J. Lamothes, and V. Galvagnon, "Re-planning support
system for make-to-order production with reserved resources," Int. J.
Prod. Res., vol. 42, no. 23, pp. 4993-5008, 2004.
[17] S. A. Slotnick, and M. J. Sobel, "Manufacturing lead-time rules:
Customer retention versus tardiness costs," Eur. J. Oper. Res., Article in
press, 2004.
[18] A. Cakravastia, and K. Takahashi, "Integrated model for supplier
selection and negotiation in a make-to-oeder environment," Int. J. Prod.
Res., vol. 42, no. 21, pp. 4457-4474, 2004.
[19] T. M. Williams, "Special products and uncertainty in production/
inventory systems," Eur. J. Oper. Res., vol. 15, pp. 46-54, 1984.
[20] A. Arreola-Risa, and G. A. DeCroix, "Make-to-order versus make-tostock
in a production-inventory system with general production times,"
IIE Trans. (Inst. Ind. Eng.), vol. 30, no. 8, pp. 705-713, 1998.
[21] D. P.van Donk, "Make to stock or make to order: the decoupling point in
the food processing industries," Int. J. Prod. Econ., vol. 96, no. 3, pp.
297-306, 2001.
[22] S. Rajagopalan, "Make-to-order or make-to-stock: Model and
application," Manage. Sci., vol. 48, no. 2, 241-256, 2002.
[23] H. J. Zimmermann, Fuzzy set theory and its applications, Third edition,
Kluwer Academic Publishers, 1996.
@article{"International Journal of Information, Control and Computer Sciences:52839", author = "Hamed Rafiei and Masoud Rabbani", title = "Order Penetration Point Location using Fuzzy Quadratic Programming", abstract = "This paper addresses one of the most important issues
have been considered in hybrid MTS/MTO production environments. To cope with the problem, a mathematical programming model is
applied from a tactical point of view. The model is converted to a fuzzy goal programming model, because a degree of uncertainty is involved in hybrid MTS/MTO context. Finally, application of the
proposed model in an industrial center is reported and the results prove the validity of the model.", keywords = "Fuzzy sets theory, Hybrid MTS/MTO, Order penetration point, Quadratic programming.", volume = "3", number = "10", pages = "2367-4", }
