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3 views

Factory_Planning_Project

Uploaded by

neilmehta1971
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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ISE 426: Final Project

1 Factory Planning
A factory makes six products (P1 to P6) on the following machines: four grinders, two
vertical drills, and three horizontal drills. Each product yields a certain contribution to
profit (defined as selling price minus cost of raw materials and other variable costs). There
profits (in $/unit), together with the unit production times (in hours/unit) are give below.
A dash indicates that a product does not require a process.

P1 P2 P3 P4 P5 P6
Contribution to Profit 10 6 8 4 11 9
Grinding 0.5 0.7 0.5 – 0.3 0.3
Vertical Drilling 0.1 0.2 – 0.3 – 0.6
Horizontal Drilling 0.2 – 0.8 – 0.6 –

In the present month (November) and the five subsequent months, certain machines will
be down for maintenance (for the entire month). The current maintenance schedule is given
below:
Month Machine for Maintenance
Nov. 1 grinder
Dec. 2 horizontal drills
Jan. none
Feb. 1 vertical drill
Mar. 1 grinder and 1 horizontal drill
Apr. 1 vertical drill

The orders for each product in each month are given in the following table:

1
P1 P2 P3 P4 P5 P6
Nov. 500 1000 300 300 800 200
Dec. 600 500 200 500 400 300
Jan. 300 600 200 10 500 400
Feb. 200 300 400 500 200 800
Mar. 0 100 500 100 1000 300
Apr. 500 500 800 300 1100 500

Unmet demand in any given month results in lost sales. It is possible to hold inventories
of each product at a cost of $0.50 per unit per month. There are no inventories at present,
and no inventories are desired at the end of April.
The factory works six days a week with two 8-hour shifts per day to operate the machines.
Assume that there are 24 working days in every month.
Consider four versions of the problem:

• Do not take into account the down time of the machines; that is, assume that the given
maintenance schedule is unnecessary.

• Take into account the given maintenance schedule.

• Instead of stipulating when each machine is down for maintenance, it is desired to


find the best month for each machine to be down. Each vertical and horizontal drill
must be down for maintenance in one month of the six. Only two of the grinders (say
grinders 1 and 2) need to be down for maintenance in the next six months.

• Find the best month for each machine to be down when all the following additional
restrictions must be met:

– No more than one machine of each type can be maintained during a single month.
– at most two machines can be maintained during the same month.
– When a grinder or horizontal drill is maintained, then no vertical drill can be
maintained during the same month.

2 Questions
For each of these problems:

1. Formulate an optimization model to solve this problem

2
(a) Clearly define the decision variables you plan to use for the formulation
(b) Clearly state the algebraic formulation of the problem by giving the objective
function and the constraints in terms of your decision variables. Divide and
name the different constraints. It is highly recommended that you use a
generic model for your problem (i.e., using parameters rather than
particular numerical values), as this is the formulation that you would
likely implement in AMPL in the next question(s).

2. Design AMPL model and data files to solve your optimization model(s) (provide a
print out of your model and data files).

3. Use AMPL to find the optimal assignment of your decision variables (produce a print
out of your solutions)

4. Write a brief executive report on the solution of the models.

• Use tables and/or plots to explain the solution that should be implemented by
the company in each case and how they compare.

For one of the versions of the problem:

5. What feature(s) would you add to this model and how? Present the new formulation
of your model, solve it, and compare the new solution with the initial one.

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