An effective method to reduce inventory in job shops

Inventory plays a major role in deciding the overall manufacturing costs, and a good scheduling system should balance the on-time delivery of products versus low work-in-process (WIP) inventory. In this paper, the "constant work-in-process" (CONWIP) concept is applied to job shop schedulin...

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Hauptverfasser: Luh, P.B., Xiaohui Zhou, Tomastik, R.N.
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description Inventory plays a major role in deciding the overall manufacturing costs, and a good scheduling system should balance the on-time delivery of products versus low work-in-process (WIP) inventory. In this paper, the "constant work-in-process" (CONWIP) concept is applied to job shop scheduling to effectively control WIP inventory. A new mathematical formulation of CONWIP-based job shop scheduling with a separable structure is presented. By using a synergistic combination of Lagrangian relaxation, dynamic programming, and heuristic methods, good schedules are obtained in a reasonable amount of computation time. Results show that the new method can directly control WIP levels while maintaining good on-time delivery performance.
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subjects Capacity planning
Costs
Job shop scheduling
Lagrangian functions
Manufacturing
Materials requirements planning
Processor scheduling
Production systems
Raw materials
Throughput
title An effective method to reduce inventory in job shops
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