Integrating production activity control into a hierarchical production‐planning model

Abstract

Presents a hierarchical production planning (HPP) model that integrates aggregate‐type planning, family disaggregate planning, lot‐sizing, job scheduling and evaluation of the final production plans into a complete planning and scheduling system. In‐corporation of a simple heuristic scheduling algorithm into the HPP model is the primary contribution. The scheduling routine schedules the jobs based on just‐in‐time (JIT) concept and provides detailed shopfloor information such as job tardiness, bottleneck work centres, capacity level, inventory or shortage level and number of set‐ups. This information is critical for effective shopfloor management. Experimental results indicate that the performance of the present model is better than the existing models in general. However, the model is truly superior under tight capacity conditions.

Operational planning level of development in production enterprises in the machine building industry and its impact on the effectiveness of production

“…By using the multiple regression, it has been shown that more efficient operational planning has better impact on effectiveness of the production process. On the other hand, the results of previous research have shown that better elaboration and production planning development, affects the increase of productivity and capacity utilisation; lowers the fallout ratio (Meybodi, 1995;Wacker & Sheu, 2006) and affects the compliance with the terms of delivery (Chen & Cochran, 2005;Mohamed & Bernardo, 1997). The only exception is the stock turnover coefficient, since the results of this article contradict the results of the research by Raman et al (2008).…”

“…Furthermore, in 1995, Meybodi (Meybodi, 1995) conducted the research in which the outcomes of the existent Hierarchical Planning Production (HPP) model (aggregate planning, disaggregated group decision planning, termination, evaluation of the production plan) were compared by using linear programming aiming at minimisation of costs: stock declaration, replacement of materials, subcontracting and labour force. The success ratio was measured by capacity utilisation and general business costs indexes.…”