Minimum Average Cost Production Planning in Stochastic Manufacturing Systems
Mathematical Models and Methods in Applied Sciences, Vol. 8, No. 7, pp. 1251-1276, November 1998
25 Pages Posted: 18 Apr 2008 Last revised: 30 Apr 2014
Recently, the production control problem in stochastic manufacturing systems has generated a great deal of interest. The goal is to obtain production rates to minimize total expected surplus and production cost. This paper reviews the research devoted to minimum average cost production planning problems in stochastic manufacturing systems. Manufacturing systems involve a single or parallel failure-prone machines producing a number of different products, random production capacity, and constant demands.
Keywords: Dynamic programming, manufacturing systems, long-run average cost minimization, unreliable machines, production planning
JEL Classification: M11, C61, M20
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