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  • International Journal of Mechanical & Mechatronics Engineering IJMME-IJENS Vol:14 No:02 90

    I J E N S IJENSIJENS April 2014 -IJMME-5757-029914

    Optimization for Hierarchical Production Planning of

    Industrial Processes Asmaa A. Mahmoud

    1, Islam H. Afefy

    2, M. Abdel-Karim

    3 1. Post Graduate student -Industrial Engineering Department, Faculty of Engineering, Fayoum University

    2. Assistant Prof. Industrial Engineering Department, Faculty of Engineering, Fayoum University. 3. Professor, College of Engineering & Information Technology, University of Business & Technology, Jeddah, Saudi Arabia

    (On leave absence, Dept. of Industrial Engineering. Fayoum University, Fayoum, Egypt).

    * Corresponding Author

    Islam Helaly Afefy: Industrial Engineering Department, Faculty of Engineering, Fayoum University: e-mail:

    [email protected]

    Abstract-- In this paper, a generalized mathematical model formulation for cellular manufacturing system (CMS) using

    hierarchical production planning (HPP) approach is proposed.

    The model is applied to two different real case studies and is

    solved by using operation research optimization software (Lingo

    (12.0) program). The model is divided into three main steps as

    follows: data collection, mathematical model formula, and

    results. The proposed mathematical model of the optimization

    can solve the problems of the system under utilizing the limited

    resources in a production plan. The results show that the

    proposed mathematical model can be used to minimize

    manufacturing total costs of products for similar cases. To prove

    the work, two case studies are introduced; for the first case

    (electric water heater with capacity 50 liter (EWH1)), the results

    show that the total cost decreases by 8.46 % for the optimum

    conditions. For the second case, (electric water heater with

    capacity 80 liter (EWH2)), as global results, the total cost

    decreases by 3.7% for the optimum conditions.

    Index Term-- Hierarchical Production Planning (HPP), Cellular Manufacturing System (CMS), Group Technology (GT) and

    General Manufacturing Company (GMC).

    1. INTRODUCTION

    The hierarchical production planning (HPP) approach is firstly introduced by Hax and Meal (1975). In this approach,

    Hax and Meal structured the problem into three levels

    hierarchy based on types, families and items. Firstly,

    aggregation planning was done on types which include all

    production families. Secondly, families are the groups of

    item within types classification. These items require a

    major equipment setup before they are produced. The HPP

    divides the large planning optimization problem known as

    monolithic problem into sub- problems, as described in

    Figure 1.The components of different levels of aggregation

    for products are:

    1- Top level result from an aggregate planning model using

    linear programming and linear decision rules for variable

    according to its types. These types are sets of items that are

    similar in term of seasonal demand pattern and production

    rates.

    2- Middle level considers a heuristic disaggregation of the

    type into families. These families are sets of items having

    similar setup costs.

    3- Low level decision consists of disaggregation families that

    sets of items based on equalizing run out times.

    The HPP approach is necessary to demonstrate the CMS. The CMS is subset of group technology (GT). The GT is a

    new approach for batch production (small lot- production) in

    which similarities exist among component part or processes.

    While applying the GT, it depends on formation of part

    families on basis of design and/or manufacturing.

    Furthermore, applying GT leads to a significant improvement

    on product design, manufacturing engineering, and the CMS

    (Akturk and Wilson, 1998). The group technology family can

    have more than one feasible cell for its production. Inside such

    feasible cell, a family can be processed entirely. In general,

    the feasible cell consists of two sub- cells defined as:

    Primary cell, which is capable of producing the family at the lowest possible cost.

    Secondary cells, those are ones in which the manufacture of the family is possible at a higher cost

    due to the increase of both setup and material handling

    costs.

    Now, cell loading is a decision activity that determines

    the kind of items and quantities to be produced in each cell

    within specific time period. The production process is

    subject to production capacity and demand forecast. In batch

    production (BP) environment, there are two different

    approaches for cell loading problem which are monolithic

    and hierarchal approaches.

    The First approach known as Monolithic Approach, formulates cell loading problem as a large Mixed-

    Integer Linear Programming (MILP) problem at an

    individual item level. In this case, a heuristic

    procedure can be applied to solve cell loading

    problem.

    The second approach known as Hierarchical Approach, divides the overall problem into a

    hierarchy of smaller problems (Akturk and Wilson,

    1998).

    Hierarchical approach that is used directly toward

    enhancements in several ways utilizing knowledge of group

    technology based on manufacturing system. These

    enhancements can be summarized as:

    Formulation of production planning problem with adding capacity constraints of the systems. The

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    results of the production rates are determined

    within capacity of the system.

    At the HPP approach the decision making is top-down, being from highest level to lower level.

    At cell loading level, there are three basic ways of responding

    to change in demand:

    1. Holding alternatively constant production rate and using inventory to satisfy demand peaks.

    2. Using changes in level of production which include overtime and assigning some of items to their

    secondary cells with an additional production cost.

    3. Combining these two strategies to meet demand modified by Akturk and Wilson (1998).

    This paper is divided into five sections. In section 1, the

    HPP approach is described shortly. In section 2, the

    background of our research (literature reviews) is discussed.

    In section 3 a methodology for solving the CMS is given. In

    section 4 a description of case study and application

    methodology for HPP are introduced. Finally; conclusions and

    recommendations in section 5.

    2. LITERATURE REVIEWS

    The main objective of many researchers was to obtain an optimization method to solve the problems of the system

    under utilizing the limited resources in a production plan to

    meet variability in products demand. So a classification for the

    HPP approach at many cases can be summarized as following:

    Goloven (1975); based on Hax and Meal was first

    introduced the HPP approach for single-stage production

    planning and the concept of hierarchal planning through the

    difference between planning and operational. He also

    modified multi-stage production planning as an extension to

    the HPP approach for single stage models to systems with

    multi-stages. A pioneer at the HPP approach at the case of

    seasonal demand was introduced by Haas (1979), as proposed

    a heuristic to perform the levels of hierarchical planning.

    Gfrerer and Zipfel (1995) were proposed the HPP approach at

    the case of uncertain demand for multi-period model .It

    consist of an aggregate planning level and a detailed planning

    level. Then, this approach modified by Wu and Ierapetritou

    (2007). Carravilla and Sousa (1995) discussed a complex

    analysis production planning problem in a make- to- order

    company using hierarchical production planning approach.

    Katayama (1996) proposed a relevant production planning

    procedure for multi-item continuous production in term of

    two- stage automated hierarchical planning procedure. The

    HPP approach for complex manufacturing systems is studied

    in details by Mehraz et al., (1996). Akturk and Wilson (1998)

    discussed the CMS by proposing a hierarchical cell loading

    approach to solve the production planning problem. Ozdamar

    and Birbil (1999) described the HPP approach at case of

    energy intensive production environment for energy intensive

    industries (e.g. steel, tile and glass ware industries).This

    search was to minimize the number of active kilns throughout

    the year besides optimizing the process design in the curing

    department. El-Houssaine et al., (2011) investigated a robust

    HPP approach for a two-stage real world capacitated

    production system operating in an uncertain environment.

    Habibie et al (2012), developed multi objectives model using

    Lingo program (software).

    3. METHODOLOGY

    In this research, the CMS problem is solved using Lingo

    program, which is a comprehensive tool designed to make

    building and solving mathematical optimization models easier

    and more efficient. Lingo (12.0) provides a completely

    integrated package that includes a powerful language for

    expressing optimization models and a full-featured

    environment for building and editing problems. In addition, it

    has a set of fast built-in solvers capable of efficiently solving

    most classes of optimization models. Lingos results of the

    CMS are reducing costs in order to be competitive, saving

    time, increasing achieving market demand and achieving goal

    of the system under certain criteria and constraints design.

    3.1 Mathematical Modeling

    This section will develop three parts for solving the CMS

    problem. The first part illustrates objective function; the

    second part defines the mathematical formulation while the

    third part is devoted to illustrate index and notation. These

    parts are described briefly in the following subsections.

    A. Objective Function

    The objective function is to minimize variable production

    cost. Such as (production cost, cells setup cost, inventory

    holding cost and regular capacity cost). These variables can be

    simplified as:

    4

    1

    4

    1

    2

    1

    7

    1 )(

    .)/()(t t i

    itit

    j

    jtjtijt

    Pi

    ijtij

    jFSi

    ijtijt IFhRrXQBPXCCostMinj

    (1)

    B. Mathematical Formulation

    There are three types of constraints at hierarchical model

    for cell loading problem in the CMS. These constraints can be

    defined as:

    Production Constraints for families and items described by Eqs.(2) and (3)

    Inventory Constraints for families and items described by Eqs.(2), (3), and (4)

    Production and resources capacity constraints over the planning horizon described by Eqs (5), (6), (7), (8),

    and (9)), respectively.

    7

    1

    1,

    j

    itittiijt dIFIFX (2) , for j=1, 2,7,

    t =1,2, 4

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    )(

    0iTIk

    n

    Iw

    itktw IFI

    (3)

    jtPi

    ijtijtij

    jFSi

    ijtij RXQbpXaj

    )./()(

    (4)

    )lim(0 itupperR jt j (5)

    )( )(

    )(jFSi iTIk

    LT

    n

    Iw

    kjtwkl RRZPR LR(j),j,t (6)

    )1).(lim(0 LtLt itupperRR L,t (7)

    0)(

    jt

    jLRl

    Lt RRR (8)

    0,,,,,,, LtLtktwkjtwjtjtitijt RRORIZROIFX j,t (9)

    C. Index and Notation

    In this section, the notations in the formulation will be

    described. It should be noted that, all cost parameters are

    measured in Egyptian pound (L.E). The notations are

    classified into parameters and decision variables as shown in

    details in the following:

    Parameters:

    ija

    : Average total time required to produce one unit of

    family i at cell j, (h/unit).

    ijBP

    : Setup cost for family i in primary cell j, (L.E).

    ijbp

    : Setup time for family i in primary cell j, (h/unit).

    ijtC

    : Average unit cost for producing one unit of

    family i by cell j in period t, (L.E).

    itd

    : demand for family i in period t, (Unit).

    ktwd

    : Demand for item k in sub period w of period t,

    (Unit).

    FS (j): A feasible set of families assignable to cell j.

    ith

    : Average holding cost for family j in period t,

    (L.E).

    J : number of cells

    K : number of items

    L : number of resources

    jP

    : Set of families which their primary cell is j, (Unit)

    klPR

    : Average total time required to produce one unit

    of item k using resource l, (h).

    ijtQ

    : Initial estimation for the lot size of family i in cell

    j in period t, (Unit)

    jtr

    : Average cost of one regular time unit for cell j

    during period t, (L.E).

    T : planning horizon.

    TI (i): A set of items belonging to family i

    t : n*w, where n is an integer multiple , and w is sub

    period.

    lt

    : Average proportion of time resource l is down in

    period t.

    Decision variables:

    kitwI

    : Inventory of item k at the end sub period w of

    period t, (Unit).

    itIF

    : Inventory of family i at the end of period t, (Unit).

    jtR

    : Regular time used by cell j in period t, (h/month).

    ltRR

    : Regular time used by total resources l in period t,

    (h/month).

    ijtX

    : Number of units of family i produced by cell j in

    period t, (Unit).

    kitwZ

    : Number of units of item k produced by cell j in sub

    period w of period t, (Unit).

    The most important part in this study is conceptual

    framework and mathematical model which were proposed for

    CMS. The study shows the basic principles of calculations of

    the method for CMS model. Through; define Lagrange theory,

    apply decomposition procedures, update the values of

    Lagrange method using gradient method and use optimization

    software program Lingo (12.0) to solve mathematical model.

    Moreover, the flowchart of algorithms framework is carried

    out. This chart concluded in details all the steps of solving the

    problem, and the final part is devoted to illustrate the proposed

    software methodology in solving the mathematical

    optimization models in an easier and more efficient way. In

    the previous study M. Akturk, and G. Wilson, were stopped at

    using Lagrange theory but our solution complete the previous

    study as it consists of formulating a Lagrange relaxation of the

    initial model, solving this dual problem by efficient and

    iterative solution procedures, applying decomposition

    procedures, updating the values of Lagrange method using

    gradient method and using optimization software program

    Lingo (12.0) to solve mathematical model.

    4. CASE STUDY This case study analyzes the impact of the changes in

    parameters of several goals that must be achieved. First, lets

    define a real case study applied at General Manufacturing

    Company (GMC) for manufacturing engineering in Egypt.

    The company manufactures three products: full automatic

    washing machine, gas cooker and electrical water heaters

    (EWH) with capacity of (30, 40, 50, 80,100 Liter). Its main

    With respect to

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    interest is studying the last product i.e. EWH especially with

    capacity of 50 L and 80 L in details. Hence, the proposed

    mathematical model is applied through data collection as a

    first step then through mathematical formula as a second step

    and finally through obtaining results in the last step.

    4.1. Problem Statement

    In this section, we describe the problem of planning

    production in this application. We first discuss the problem

    statement, and then we introduce the solution method. In

    general, systems play an important role in many industrial

    processes. Particularly, the main objective of the CMS is to

    obtain the optimum method to solve the problem of

    minimizing the variable production costs (production cost,

    cells setup cost, inventory holding cost and regular capacity

    cost). The problem of our case study is to minimize the total

    product cost, and increase profitability ; therefore, we use the

    HPP approach for solving this problem .To achieve this target,

    it is necessary to manage and control the relation between the

    limited resources in the plan of the production and variability

    in products demand.

    4.2. Solution Method

    A schematic flow chart for framework of algorithm used

    to the CMS is illustrated in details in figure 2. Using this

    algorithm provides optimal solution for the system. It should

    be noted that, the algorithm consists of three main steps

    named as: data collection, mathematical model and results.

    These steps are discussed too. This schematic is introduced in

    details at Appendix. A and B and its steps of optimal solution

    are shown.

    4.3 Data Collection In order to illustrate the capabilities of the proposed-model,

    actual data from the GMC (with emphasis on the case of EWH

    with only two capacities i.e. 50 Liter and 80 Liter) have been

    collected. A comprehensive numerical example is presented to

    illustrate the applicability of the proposed model in

    environment. This example is solved with the Lingo (12.0)

    software.

    In this case, all different types of cost parameters that are

    used for the computational study are carried out. The data

    collections concerning of studying EWH which is presented as

    following: 2 families of EWH with capacity of 50L (EWH1)

    and EWH with capacity of 80L (EWH2). In addition to 7

    manufacturing cells, 4 planning horizon period (4 weeks), 5

    resources of production (machine, manpower, material ,

    maintenance (spare parts)and energy), 65 (parts) items, no

    secondary cells in production , no overall overtime, no

    backorder, P1,P2,,P7 ={family 1.2}, where P1 is a set

    of families at primary

    cell(1),FS(1),.FS(7)={family1.2},where FS(1) is a

    feasible set of families assignable to cell (1), TI (1) =TI (2)

    =65 items, where TI (1) is a set of items to family(1),and

    LR(1)=LR(2),LR(7)={resource1,2,3,4,5},where

    LR(1) is a set of resources belonging to cell (1). Moreover,

    variable parameters in the system are summarized in table (1),

    where UN~ [a, b] represents a uniformly distributed random

    variable in interval [a, b]. It should be noted that, most of the

    value of these parameters are constant throughout the planning

    horizon .In addition, the processing time of each item at each

    feasible resource klPR , and the number of operations for each

    item are fixed.

    4.4 Results In this section, the results for different cases which are

    under consideration, will be presented and discussed in details.

    Two comprehensive examples with full input data and results

    analysis are presented. Also, an explanatory scheme shows the

    results of our system for the planning period. First, let us

    consider the first product i.e., the EWH1 product. The

    comparison between the initial and optimum total product cost

    for EWH1 is presented in figure 3. A significant difference is

    founded in the total product cost. It can be observed that the

    optimum total product cost (Z) of EWH1 decreases with

    respect to the initial values from 4.48*108 L.E in the initial

    value conditions to 4.1*108 L.E in the optimum.

    There are different types of variables which are shown in

    table 2. We have 15 variables, but the most effective three

    were discussed. These three effective variables cause

    decreasing in the total product cost as plotted in figure 4 and

    6. The optimization problem has been solved for the variable

    parameter values given in table 2. The optimum value of each

    variable was calculated, in which minimizing the total product

    cost for EWH1 is represented by that variable. This table

    shows the average cost of one regular time unit of cell

    decreases from 21164.73 L.E in the initial conditions to

    20251.47 L.E in the optimum conditions. Moreover,

    approximately 8.43% of the total product cost for EWH1 was

    saved according to the optimization results in the initial

    conditions.

    A Comparison between Initial and Optimal Variables

    Values for EWH1 Product are plotted in figure 4. It is found

    that there are improvements of these variables which reflect

    the reducing total product cost of EWH1. For example,

    inventory of the product at the end of planning period

    decreases from 1295 unit/ month in the initial

    conditions to 1275 unit/ month in the optimum conditions.

    Also, the total product cost decreased with the decreasing of

    the inventory cost.

    As shown in figure 5, is presented the comparison between

    initial and optimum total product cost of EWH2 as obtained

    from Lingo program. A significant difference in the total

    product cost of EWH2 can be observed. This means reduction

    in the total product cost of EWH2 can be obtain by using a

    suitable optimum technique. This figure shows approximately

    5.4*106 L.E was saved according to the optimization results in

    the case study.

    To discuss these results in details, the comparison between

    initial and optimum variable values is presented in table 3.

    The critical securitizations for this table indicate that. There is

    notable improvement at specific effective variables

    parameters. It found that the optimum total product cost

    decreased with existence of the initial values. This table shows

    that the average cost of one regular time unit of cell decreases

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    from 36751.25 L.E in the initial conditions to 36001.29 L.E in

    the optimum conditions. Approximately 4.04 % of the total

    product cost was saved according to the optimization results in

    the case study of (EWH2). These results agree with the results

    of those previous investigations for Akturk and Wilson, 1998.

    For more clear and discussed data in table 3, where there

    are effective variable parameters. These effective variable

    parameters are presented and analyzed in graph as shown in

    figure 6. From figure 6, it is observed that there are

    improvements at these variables that reflect the reducing of

    total product cost. For example, initial estimation for the lot

    size of the product in cell at planning period decreases from

    2055 unit/ month in the initial conditions to 2047 unit/ month

    in the optimum conditions. Also, the total product cost is

    decreased with respect to the decrease of the production cost.

    4.5 Sensitivity Analysis on the Optimization Model for CMS Results

    In order to carry out an analysis to determine the sensitivity

    of the problem developed for CMS using the HPP approach, a

    different parameters utilized in the case study for (EWH1,

    EWH2) with emphasis on the effective variable parameters:

    ijtX , ijtQ , itIF , itd ,and kitwI . Those values, of all these

    parameters, that resulted in minimum total product cost are

    chosen to be used for sensitivity analysis. The sensitivity of

    the approach against variations in the numbers of ijtX , ijtQ ,

    itIF , itd , and kitwI is presented in figures 7, 8, 9and 10.We

    observe the effective variable parameters for (EWH1, EWH2)

    against the variance and the variance percentage (%)

    respectively. This sensitivity analysis agrees with Adnan.

    Tariq (2010) and Tarik. Aljuneidi (2013). Figure 7 is plotted that the most effective variable on the

    variance is jtR = 913.26 h/ month, which indicate that it is

    effective variable in minimization of total product cost for the

    case study. Further, as far as analysis is presented in figures 8,

    9and 10 respectively. The analysis on whole is showing the

    most effective parameter variance, and variance (%) for

    (EWH1, EWH2).

    Figure 8 discusses the most effective variable on the

    variance (%) which is ijtQ = 21.45 %, and ijtX = itd = 4.46

    %, that indicats these effective variables in the same sound at

    minimization of total product cost for the case study.

    As shown in figure 9, which presents an analysis regarding

    that there are two equal effective variables on the minimizing

    of total product cost which are ijtX and itd .therefore; these

    two variables play an important role in the case study. The

    same as for figure 10, which introduces an analysis of the

    effective variables which cause minimizing the total product

    cost for the case study .These variables are ijtX and itd .

    Also there is a relation between total product costs saved

    for (EWH1, EWH2) against the variance (%) that is shown in

    figure 11. It found that there are big variances (%) through

    using the proposed mathematical model. For more clear data

    figure 12 presents the total product costs saved for (EWH1,

    EWH2).

    It can be concluded from the analysis of the effective

    variable parameters which is presented above that serves the

    satisfactory performance of the proposed algorithm. The total

    product costs are saved for two products and the aim achieved

    by using the HPP approach for CMS, which saved 37.85*106

    L.E (34.8%), 54.57*106 L.E (4.04 %) respectively. These

    results are obtained from the improvement.

    As a result of the HPP approach for the CMS, the

    following recommendations (critical issues for future study)

    could be outlined as: Development of the model under more

    variables parameters such as costs,

    processing routes and machine availability, Aggregating

    proposed model with other assumptions like layout problem

    considerations of CMS, as the layout design of CMS is more

    important, Lingo (12.0) can be used rather than Lingo (8.0)

    because it is the most effective optimization software program

    for solving the problem of CMS . The variables sound great

    effects as they are significant for current study, but they could

    be variable for another. Finally, verification should be applied

    to check the validity of the proposed model in the study

    5. CONCLUSIONS AND RECOMMENDATIONS

    In this paper, the proposed mathematical model is

    developed and applied to two different real case studies. The

    proposed mathematical model is solved using the Lingo

    program and good results. By analyzing and comparing theses

    results with the current value, many improvement at total cost

    result for similar cases .consequently; applying such technique

    can be used to minimum manufacturing total costs of products

    that is required at any manufacturing system to:

    Reduce costs in order to be competitive.

    Achieve goal of the system under certain criteria and constraints design.

    Save time and increase achieving market demand.

    Acknowledgement

    The authors wish to express their thanks to the staff

    members of the (GMC) for manufacturing engineering

    Company Egypt, for their support during carrying out this

    work.

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    University, Montreal, Quebec, Canada, 2013.

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    Appendix A

    Family /Cell Aggregation Sub-

    problem

    Item /Resources Disaggregation

    Sub-problem

    Solution procedures of mathematical model using:

    Lagrange multipliers

    Decomposition procedures

    Update the values of Lagrange method using gradient method

    1. Solution procedure for cell loading consists of formulating a Lagrange relaxation

    jtjLRl

    Lt

    J

    j

    T

    t

    jtjt

    jLRl

    Lt

    J

    j

    T

    t

    jt

    iTIk

    n

    Iw

    itktw

    n

    i

    T

    t

    it

    T

    t

    T

    t

    N

    i

    itit

    J

    j

    jtjtjtjt

    RRROOR

    IFIIFhRrOoAMinL

    )(1 1

    2

    )(1 1

    1

    )(1 11 1 11

    21 .),,(

    Part (2): According to Item / Resource Disaggregation sub-

    problem for each t (IRDt):

    )(

    2

    )(

    1

    )(

    )(jLRl

    Ltjt

    jLRl

    Ltjt

    iTIk

    n

    Iw

    ktwit RRORIZMin

    Part (1): According to Family / Cell Aggregation Sub-

    problem (FCA):

    T

    t

    T

    t

    N

    i

    ititit

    J

    j

    jtjtjtjtjtjt IFhRrOoAYMin1 1 11

    21 ).()()()(

    Outline for the Proposed Mathematical Model

    1 1

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    3. Update the values of Lagrange method using gradient Method A gradient optimization method is used to update the values of Lagrange

    multipliers .for example the it values at step c are updated by the following

    formula:

    itc 1 it

    c + c

    )i(TIk

    n

    Iw

    itktw IFI

    Where:

    Optimal solution c =

    2)(

    21 )),,((

    iTIk

    n

    Iw

    itktw

    c

    IFI

    LZ

    Cell loading decision

    (Detailed reports)

    citjtjtjtjtijijtjijtijtLtLtktwkjtwjtjtitijt hRrOoBPQBSCQRRORIZROIFX ,,,,,,,,,,,,,,,,,,

    To shop floor execution

    End

    Solving last equation to find the values of it , 1

    jt , 2

    jt

    Solving last equation to find the values of it , 1

    jt , 2

    jt

    Obtain the value of it

    , 1

    jt , 2

    jt Obtain the value of it

    , 1

    jt , 2

    jt

    1 1

    For Variable :

    2

    it

    1

    it

    IT

    0t0i

    it

    iZ

    iY

    0

    it

    it

    For Variable 2

    2212

    00

    22

    2

    2

    2 0

    iZ

    iY

    jtjt

    jt

    jt

    jt

    JT

    tj

    For Variable 1

    2111

    JT

    0t0j

    11

    1

    iZ

    iY

    0

    jtjt

    1

    jt

    jt

    1

    jt

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    Fig. 1. Components of levels of aggregation for products

    Fi. 2. Schematic flow chart of algorithm used to the CMS

    390

    400

    410

    420

    430

    440

    450

    460

    Z ,

    (10

    6L

    .E/

    Mon

    th)

    Eletrical Water Heater (50L)

    Intial

    Optimal

    Fig. 3. Comparison between Initial and Optimum Total Product Cost for EWH1.

    Equipment type

    and amount

    Production

    allocation

    among plants

    Plant capacity

    planning

    Performance characteristics,

    operating results

    Constraints

    Item production

    schedules

    Plant sizing and

    location

    Start

    Data Collection

    Mathematical Model

    Results

    End

    See Appendix. A

    GT families and items

    GT cells and resources

    Demand information on each item

    Process plans (processing time routs, set of feasible cells)

    Cost figures

    See Appendix. A

    Cell Loading (production

    Planning) problem

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    Fig. 4. Comparison between Initial and Optimal Variables Values for EWH1.

    1.27

    1.28

    1.29

    1.3

    1.31

    1.32

    1.33

    1.34

    1.35

    1.36

    Z ,

    (10

    9L

    .E/

    Mon

    th)

    Electrical Water Heater (80L)

    Intial

    Optimal

    Fig. 5. Comparison between Initial and Optimum Total Product Cost for EWH2.

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    Fig. 6. Comparison between Initial and Optimal Variables Values for EWH2

    Fig. 7. Effective Variable Parameters for EWH1on the Variance.

    Fig. 8. Effective Variable Parameters for EWH1on the Variance (%)

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    Fig. 9. Effective Variable Parameters for EWH2on the Variance.

    Fig. 10. Effective Variable Parameters for EWH2 on the Variance (%).

    Fig. 11. The Total Product Costs Saved for (EWH1, EWH2) Against the Variance (%).

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    Fig. 12. The Total Product Costs Saved for (EWH1, EWH2).

    Table I Different parameters used through data collection (Fixed parameters).

    Parameters Set of Values

    Total number of items , k 65

    Total number of resources ,L 5

    No of periods, T 1

    No of sub periods, w 4

    Cost of production, ijtC UN~[500,750]

    Cost of regular time, jtr UN~[80,100]

    Inventory Holding Cost, ith UN~[10,12]

    Setup cost for the families, ijBP UN~[50,65]

    Processing time, klPR UN~[0.07,0.075]

    No of operation per part 130

    Setup time, ijbp UN~[0.361,0.331]

    Total time required to produced one unit of family i at cell j, ija UN~[3.37,4.5]

    Table II

    Comparison between Initial and Optimal Variables Values for EWH1 Product.

    Variables IV OP V V %

    Cijt ( L.E/Unit) 500 510 -10 -2

    Xijt (Unit/ Month) 1570 1500 70 4.46

    BPij ( L.E/ Month) 233 320 -87 -37.34

    Qijt (Unit/ Month) 2000 1571 429 21.45

    Rjt ( h/ Month) 21164.73 20251.47 913.26 4.32

    hit ( L.E) 40 45 -5 -12.5

    IFit (Unit/ Month) 1295 1275 20 1.54

    Dit (Unit/ Month) 1569 1499 70 4.46

    Aij (h/unit) 13.48 13.5 -0.02 -0.15

    BOij (h/unit) 1.44 1.54 -0.1 -6.94

    Dktw (Unit/ Month) 68595 68589 6 0.01

    Zkitw (Unit/ Month) 68596 68590 6 0.01

    Iktw (Unit/ Month) 323.75 318.75 5 1.54

    RRlt (h/ Month) 21165.02 22634.78 -1469.76 -6.94

    PRkl (h/ Month) 0.3085 0.33 -0.0215 -6.97

    TotalProductCostZ(L.E/ Month) 4.49E+08 4.11E+08 37850400 8.43

    V = Initial value - Optimum value

    V % = ( V/ Initial value) *100

    IV : Initial value

    OP : Optimum value

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    Table III

    Comparison between Initial and Optimal Variables Values for EWH2 Product.

    Variables IV OP V V %

    Cijt ( L.E/Unit) 750 780 -30 -4.00

    Xijt (Unit/ Month) 2100 2000 100 4.76

    BPij ( L.E/ Month) 210 260 -50 -23.81

    Qijt (Unit/ Month) 2055 2047 8 0.39

    R jt (h/ Month) 36751.25 36001.29 749.96 2.04

    Hit ( L.E) 47 48 -1 -2.13

    IFit (Unit/ Month) 1495 1480 15 1.00

    Dit (Unit/ Month) 2099 1999 100 4.76

    Aij (h/unit) 17 18 -1 -5.88

    BOij (h/unit) 1.22 1.32 -0.1 -8.20

    Dktw (Unit/ Month) 74425 74416 9 0.01

    Zkitw (Unit/ Month) 104778.7 102710.3 2068.4 1.97

    Iktw (Unit/ Month) 373.75 370 3.75 1.00

    RRlt (h/ Month) 36751.5 36001.54 749.96 2.04

    PRkl (h/ Month) 0.35 0.35 0 0.00

    TotalProductCostZ (L.E/Month) 1.35E+09 1.30E+09 54576000 4.04

    V = Initial value - Optimum value

    V % = ( V/ Initial value) *100

    IV : Initial value

    OP : Optimum value