Design decisions system with different production strategies

摘要

For response and survival in the market, competition is needed and the organizations should be flexible to variations of market. In addition, they ought to utilize their maximum capacity and reduce storage costs. According to the demand of product, choosing the appropriate production strategy can help to achieving these goals. In this paper, we examine the market to identify competitors. Then, we examine different strategies and present a model for selecting production strategy. In this paper, the idea of the algorithm "Knapsack" is used to select production strategy. Moreover, we have attempted to utilize simple numerical method for solving model. The diverse production strategies which we interpret them in this paper are: MTS, MTO, ATO and ETO. Finally, the numerical experiments reveal to show the advantages of the applied mathematical programming model.