Minimising schedule cost via simulation optimisation: an application in pipe manufacturing

摘要

We present a method to minimise the cost of batch schedules for a pipe manufacturing facility. The method determines the sequence of production and start date of the batch considering raw material and finished goods holding cost, late delivery cost, and changeover. Our approach is designed to interface to the company's manufacturing execution system, and uses a simplified model of the production line for speed of execution. We demonstrate that methodology results in significant cost savings when compared to existing schedules.