The most critical stage in a garment industry is sewing process, because generally, it consists of a number of operations and a large number of sewing machines for each operation. Therefore, it requires a balancing method that can assign task to work station with balance workloads. Many studies on assembly line balancing assume a new assembly line, but in reality, due to demand fluctuation and demand increased a re-balancing is needed. To cope with those fluctuating demand changes, additional capacity can be carried out by investing in spare sewing machine and paying for sewing service through outsourcing. This study develops an assembly line balancing (ALB) model on existing line to cope with fluctuating demand change. Capacity redesign is decided if the fluctuation demand exceeds the available capacity through a combination of making investment on new machines and outsourcing while considering for minimizing the cost of idle capacity in the future. The objective of the model is to minimize the total cost of the line assembly that consists of operating costs, machine cost, adding capacity cost, losses cost due to idle capacity and outsourcing costs. The model develop is based on an integer programming model. The model is tested for a set of data of one year demand with the existing number of sewing machines of 41 units. The result shows that additional maximum capacity up to 76 units of machine required when there is an increase of 60% of the average demand, at the equal cost parameters..
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