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Volume :10 Issue : 2 2003      Add To Cart                                                                    Download

The Optimization of Production Planning at An Industrial Company

Auther : Wadad A. Saad

Two linear programming models for the problem of determining optimal planning strategies for an industrial production are presented in this paper. These models are established for two departments in a factory: foam and mattresses departments. The first model relates to finding a production planning for the foam department, whose products are either used in the mattresses department or sold directly to customers. The second model is concerned with the production of mattresses. An integer linear program is established to take into account the nature of the output of this department. Solutions are obtained, using the simplex algorithm, that does not only result in greater expected revenue compared to the previous period which had the same data, but also are less costly. The implementation of the optimal solutions leads to an increase in the revenue which equals up to 28.13% per period, without any additional costs. Sensitivity analysis for the optimal solution of foam production is developed to show possible changes in the optimal solution as a result of making changes in the original model.

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