IDEAS home Printed from https://ideas.repec.org/a/eee/jomega/v34y2006i2p167-177.html
   My bibliography  Save this article

An interactive decision support system for an aggregate production planning model based on multiple criteria mixed integer linear programming

Author

Listed:
  • Gomes da Silva, Carlos
  • Figueira, José
  • Lisboa, João
  • Barman, Samir

Abstract

In this paper, we present an aggregate production planning (APP) model applied to a Portuguese firm that produces construction materials. A multiple criteria mixed integer linear programming (MCMILP) model is developed with the following performance criteria: (1) maximize profit, (2) minimize late orders, and (3) minimize work force level changes. It includes certain operational features such as partial inflexibility of the work force, legal restrictions on workload, work force size (workers to be hired and downsized), workers in training, and production and inventory capacity. The purpose is to determine the number of workers for each worker type, the number of overtime hours, the inventory level for each product category, and the level of subcontracting in order to meet the forecasted demand for a planning period of 12 months. Additionally, a decision support system (DSS) based on the MCMILP model is proposed. It will help practitioners find the "best" solution for an APP problem without having to familiarize themselves with the mathematical complexities associated with the model. An example to illustrate the use of the DSS is also included.

Suggested Citation

  • Gomes da Silva, Carlos & Figueira, José & Lisboa, João & Barman, Samir, 2006. "An interactive decision support system for an aggregate production planning model based on multiple criteria mixed integer linear programming," Omega, Elsevier, vol. 34(2), pages 167-177, April.
  • Handle: RePEc:eee:jomega:v:34:y:2006:i:2:p:167-177
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0305-0483(04)00140-9
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. William H. Taubert, 1968. "A Search Decision Rule for the Aggregate Scheduling Problem," Management Science, INFORMS, vol. 14(6), pages 343-359, February.
    2. Edward H. Bowman, 1956. "Production Scheduling by the Transportation Method of Linear Programming," Operations Research, INFORMS, vol. 4(1), pages 100-103, February.
    3. Wang, Reay-Chen & Fang, Hsiao-Hua, 2001. "Aggregate production planning with multiple objectives in a fuzzy environment," European Journal of Operational Research, Elsevier, vol. 133(3), pages 521-536, September.
    4. Charles C. Holt & Franco Modigliani & Herbert A. Simon, 1955. "A Linear Decision Rule for Production and Employment Scheduling," Management Science, INFORMS, vol. 2(1), pages 1-30, October.
    5. Joseph M. Mellichamp & Robert M. Love, 1978. "Production Switching Heuristics for the Aggregate Planning Problem," Management Science, INFORMS, vol. 24(12), pages 1242-1251, August.
    6. Charles C. Holt & Franco Modigliani & John F. Muth, 1956. "Derivation of a Linear Decision Rule for Production and Employment," Management Science, INFORMS, vol. 2(2), pages 159-177, January.
    7. Fred Hanssmann & Sidney W. Hess, 1960. "A Linear Programming Approach to Production and Employment Scheduling," Management Science, INFORMS, vol. 0(1), pages 46-51, January.
    8. David A. Goodman, 1974. "A Goal Programming Approach to Aggregate Planning of Production and Work Force," Management Science, INFORMS, vol. 20(12), pages 1569-1575, August.
    9. Curtis H. Jones, 1967. "Parametric Production Planning," Management Science, INFORMS, vol. 13(11), pages 843-866, July.
    10. William W. Damon & Richard Schramm, 1972. "A Simultaneous Decision Model for Production, Marketing and Finance," Management Science, INFORMS, vol. 19(2), pages 161-172, October.
    11. E. H. Bowman, 1963. "Consistency and Optimality in Managerial Decision Making," Management Science, INFORMS, vol. 9(2), pages 310-321, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Dolgui, Alexandre & Kovalev, Sergey & Pesch, Erwin, 2015. "Approximate solution of a profit maximization constrained virtual business planning problem," Omega, Elsevier, vol. 57(PB), pages 212-216.
    2. Andrea Borenich & Peter Greistorfer & Marc Reimann, 2020. "Model-based production cost estimation to support bid processes: an automotive case study," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 28(3), pages 841-868, September.
    3. Najmaddin Akhundov & Nail Tahirov & Christoph H. Glock, 2022. "Optimal Scheduling of Waitstaff with Different Experience Levels at a Restaurant Chain," Interfaces, INFORMS, vol. 52(4), pages 324-343, July.
    4. Donya Rahmani & Arash Zandi & Sara Behdad & Arezou Entezaminia, 2021. "A light robust model for aggregate production planning with consideration of environmental impacts of machines," Operational Research, Springer, vol. 21(1), pages 273-297, March.
    5. Mohammadipour, Maryam & Boylan, John E., 2012. "Forecast horizon aggregation in integer autoregressive moving average (INARMA) models," Omega, Elsevier, vol. 40(6), pages 703-712.
    6. Caner TaskIn, Z. & Tamer Ünal, A., 2009. "Tactical level planning in float glass manufacturing with co-production, random yields and substitutable products," European Journal of Operational Research, Elsevier, vol. 199(1), pages 252-261, November.
    7. Wenstøp, Fred & Koppang, Haavard, 2009. "On operations research and value conflicts," Omega, Elsevier, vol. 37(6), pages 1109-1120, December.
    8. Sevastjanov, Pavel & Dymova, Ludmila, 2009. "Stock screening with use of multiple criteria decision making and optimization," Omega, Elsevier, vol. 37(3), pages 659-671, June.
    9. Tang, Lixin & Wang, Gongshu, 2008. "Decision support system for the batching problems of steelmaking and continuous-casting production," Omega, Elsevier, vol. 36(6), pages 976-991, December.
    10. Yasser A. Davizón & César Martínez-Olvera & Rogelio Soto & Carlos Hinojosa & Piero Espino-Román, 2015. "Optimal Control Approaches to the Aggregate Production Planning Problem," Sustainability, MDPI, vol. 7(12), pages 1-16, December.
    11. Nikolaos Argyris & José Figueira & Alec Morton, 2011. "Identifying preferred solutions to Multi-Objective Binary Optimisation problems, with an application to the Multi-Objective Knapsack Problem," Journal of Global Optimization, Springer, vol. 49(2), pages 213-235, February.
    12. Shih-Pin Chen & Wen-Lung Huang, 2014. "Solving Fuzzy Multiproduct Aggregate Production Planning Problems Based on Extension Principle," International Journal of Mathematics and Mathematical Sciences, Hindawi, vol. 2014, pages 1-18, August.
    13. Yuan Li & William J. Kettinger, 2022. "Testing the Relationship Between Information and Knowledge in Computer-Aided Decision-Making," Information Systems Frontiers, Springer, vol. 24(6), pages 1827-1843, December.
    14. Chung, Ji-Won & Oh, Seog-Moon & Choi, In-Chan, 2009. "A hybrid genetic algorithm for train sequencing in the Korean railway," Omega, Elsevier, vol. 37(3), pages 555-565, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Wu, Chia-Chin & Chang, Ni-Bin, 2004. "Corporate optimal production planning with varying environmental costs: A grey compromise programming approach," European Journal of Operational Research, Elsevier, vol. 155(1), pages 68-95, May.
    2. Wang, Reay-Chen & Liang, Tien-Fu, 2005. "Applying possibilistic linear programming to aggregate production planning," International Journal of Production Economics, Elsevier, vol. 98(3), pages 328-341, December.
    3. Shih-Pin Chen & Wen-Lung Huang, 2014. "Solving Fuzzy Multiproduct Aggregate Production Planning Problems Based on Extension Principle," International Journal of Mathematics and Mathematical Sciences, Hindawi, vol. 2014, pages 1-18, August.
    4. Buxey, Geoff, 2003. "Strategy not tactics drives aggregate planning," International Journal of Production Economics, Elsevier, vol. 85(3), pages 331-346, September.
    5. Mirzapour Al-e-hashem, S.M.J. & Malekly, H. & Aryanezhad, M.B., 2011. "A multi-objective robust optimization model for multi-product multi-site aggregate production planning in a supply chain under uncertainty," International Journal of Production Economics, Elsevier, vol. 134(1), pages 28-42, November.
    6. Mirzapour Al-e-hashem, S.M.J. & Baboli, A. & Sazvar, Z., 2013. "A stochastic aggregate production planning model in a green supply chain: Considering flexible lead times, nonlinear purchase and shortage cost functions," European Journal of Operational Research, Elsevier, vol. 230(1), pages 26-41.
    7. Krishna Kumar, C. & Sinha, Bani K., 1999. "Efficiency based production planning and control models," European Journal of Operational Research, Elsevier, vol. 117(3), pages 450-469, September.
    8. Andrea Borenich & Peter Greistorfer & Marc Reimann, 2020. "Model-based production cost estimation to support bid processes: an automotive case study," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 28(3), pages 841-868, September.
    9. Marvin D. Troutt & Wan-Kai Pang & Shui-Hung Hou, 2006. "Behavioral Estimation of Mathematical Programming Objective Function Coefficients," Management Science, INFORMS, vol. 52(3), pages 422-434, March.
    10. Logan, Samuel H., 1984. "An Annual Planning Model for Food Processing: An Example of the Tomato Industry," Research Reports 251942, University of California, Davis, Giannini Foundation.
    11. Jean-Bernard Chatelain & Kirsten Ralf, 2020. "How macroeconomists lost control of stabilization policy: towards dark ages," The European Journal of the History of Economic Thought, Taylor & Francis Journals, vol. 27(6), pages 938-982, November.
    12. Marshall Fisher, 2007. "Strengthening the Empirical Base of Operations Management," Manufacturing & Service Operations Management, INFORMS, vol. 9(4), pages 368-382, December.
    13. Donya Rahmani & Arash Zandi & Sara Behdad & Arezou Entezaminia, 2021. "A light robust model for aggregate production planning with consideration of environmental impacts of machines," Operational Research, Springer, vol. 21(1), pages 273-297, March.
    14. Hax, Arnoldo C. & Meal, Harlan C., 1973. "Hierarchical integration of production planning and scheduling," Working papers 656-73., Massachusetts Institute of Technology (MIT), Sloan School of Management.
    15. Suresh P. Sethi & Sushil Gupta & Vipin K. Agrawal & Vijay K. Agrawal, 2022. "Nobel laureates’ contributions to and impacts on operations management," Production and Operations Management, Production and Operations Management Society, vol. 31(12), pages 4283-4303, December.
    16. Saravanan Kesavan & Bradley R. Staats & Wendell Gilland, 2014. "Volume Flexibility in Services: The Costs and Benefits of Flexible Labor Resources," Management Science, INFORMS, vol. 60(8), pages 1884-1906, August.
    17. Yasser A. Davizón & César Martínez-Olvera & Rogelio Soto & Carlos Hinojosa & Piero Espino-Román, 2015. "Optimal Control Approaches to the Aggregate Production Planning Problem," Sustainability, MDPI, vol. 7(12), pages 1-16, December.
    18. Harvey M. Wagner, 2002. "And Then There Were None," Operations Research, INFORMS, vol. 50(1), pages 217-226, February.
    19. Wang, Reay-Chen & Fang, Hsiao-Hua, 2001. "Aggregate production planning with multiple objectives in a fuzzy environment," European Journal of Operational Research, Elsevier, vol. 133(3), pages 521-536, September.
    20. White, Sheneeta W. & Badinelli, Ralph D., 2012. "A model for efficiency-based resource integration in services," European Journal of Operational Research, Elsevier, vol. 217(2), pages 439-447.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jomega:v:34:y:2006:i:2:p:167-177. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/375/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.