HIERARCHICAL MULTI-CONSTRAINT PRODUCTION PLANNING PROBLEM USING LINEAR PROGRAMMING AND HEURISTICS

Yin-Yann Chen*

Department of Industrial Engineering and Technology Management

Da-Yeh University

No.112, Shanjiao Rd., Dacun, Changhua 515, Taiwan

James T. Lin

Department of Industrial Engineering and Engineering Management

National Tsing-Hua University

No.101, Section 2 Kuang Fu Rd., Hsinchu 300, Taiwan

ABSTRACT

In this paper, we discuss the hierarchical multi-site production chain planning framework, which consists of supply network planning (SNP) and master production scheduling (MPS) models. Besides, a TFT-LCD manufacturer case in Taiwan is taken as an illustration to explain these planning issues. Then, mathematical programming models considering multiple practical planning characteristics and constraints are developed. We employ linear programming (LP) and evolution-based particle swarm optimization (PSO) techniques. Through these planning procedures, the information on production or procurement in the multi-plant network can be derived. In addition, three different planning decision models are compared and related sensitivity analysis are also discussed.

Keywords: hierarchical planning, TFT-LCD, supply chain, particle swarm

(*Contact: E-mail yyc@mail.dyu.edu.tw )

Cite this article as: Yin-Yann Chen and James T. Lin, "Hierarchical Multi-Constraint Production Planning Problem Using Linear Programming and Heuristics," Journal of the Chinese Institute of Industrial Engineers, 25, 347-357 (2008).