• Title/Summary/Keyword: Planning Costs

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A sutyd on Production Scheduling and Capacity Requirements in Discrete Demand, Fixed Production Quantity System (이산수요, 고정량 생산시스템의 생산일정과 소요용량에 관한 연구)

  • 김만수;강석호
    • Journal of the Korean Operations Research and Management Science Society
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    • v.13 no.2
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    • pp.59-65
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    • 1988
  • This paper discusses the problem of coordinating aggregate planning and production schedules, minimizing the combined set-up inventory and capacity costs. In this study, by using the relation of fixed production quantity and the number of set-up we develop a heuristirc procedure of solving the discrete demand, fixed production quantity, variable capacity problem. First, we obtain the trade-off between set-up cost and capacity cost, then search the point minimizing the combined inventory and capacity costs.

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A Study on optimal Inspection plans in Multi-Stage Machining process (다단계 기계가공공정의 최적검사계획에 관한 연구)

  • 조재립;황의철
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.10 no.15
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    • pp.33-38
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    • 1987
  • In establishing Multi-Stage Machining process inspection procedures, however, where costs of inspection md defective products are often directly measurable, a better method for formulating inspection plans is available. If one of the primary interest of a manufacturing concern is to maximize profits, then optimal inspection plans ought to be selected so as to minimize costs. This paper is aimed to find a methodology of optimal inspection planning in Multi-stage Machining process and to develope a proper algorithm.

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A Literature Survey on Warranty Policies

  • Suh, Young-Sung;Park, Young-Taek;Son, Eun-Il
    • Journal of Korean Society for Quality Management
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    • v.24 no.2
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    • pp.102-112
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    • 1996
  • Estimation of warranty costs is an important application area of reliability engineering. On the manufacturer's point of view, exact estimation of warranty costs helps decisions on budgeting, product pricing, and A/S capacity planning, etc. We reviewed the state-of-the-art of existing models on warranty policies and suggested some future research directions.

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Evaluating Direct Costs of Gastric Cancer Treatment in Iran - Case Study in Kerman City in 2015

  • Izadi, Azar;Sirizi, Mohammad Jaffari;Esmaeelpour, Safa;Barouni, Mohsen
    • Asian Pacific Journal of Cancer Prevention
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    • v.17 no.6
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    • pp.3007-3013
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    • 2016
  • Background: Gastrointestinal cancers are common malignancies associated with high mortality rates. Healthcare systems are always faced with high costs of treatment of gastrointestinal cancers including stomach cancer. Identification and prioritization of these costs can help determine economic burden and then improve of health planning by policy-makers. This study was performed in 2015 in Kerman City aimed at estimating the direct hospital costs for patients with gastric cancer. Materials and Methods: In this cross-sectional study, the medical records of 160 patients with stomach cancer admitted from 2011 to 2014 to Shafa Hospital were examined, the current stage of the disease and the patients' health status were identified, and the direct costs related to the type of treatment in the public and private sectors were calculated. SPSS-19 was used for statistical analysis of the data. Results: Of the patients studied, 103 (65%) were men and 57 (35%) were women. The mean age of patients was 65 years. Distribution into four stages of the disease was 5%, 20%, 30%, and 45%, respectively. Direct costs in four stages of the disease were calculated as 2191.07, 2642.93, 2877, and 2674.07 USD (63,045,879, 76,047,934, 82,783,019, and 76,943,800 IRR), respectively. The highest percentage of costs was related to surgery in Stage I and to medication in Stages II, III, and IV. According to the results of direct costs of treatment for stomach cancer in Kerman, the mean total cost of treating a patient in the public sector was estimated at 74,705,158 IRR, of which averages of 60,141,384 IRR and 14,563,774 IRR were the shares of insurance and patients, respectively. Conclusions: The high prevalence and diagnosis of disease in old age and at advanced stages of disease impose great costs on the patients and the health system. Early diagnosis through screening and selecting an appropriate treatment method might largely ameliorate the economic burden of the disease.

Integrated Production-Distribution Planning for Single-Period Inventory Products Using a Hybrid Genetic Algorithm (혼성 유전알고리듬을 이용한 단일기간 재고품목의 통합 생산-분배계획 해법)

  • Park, Yang-Byung
    • IE interfaces
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    • v.16 no.3
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    • pp.280-290
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    • 2003
  • Many firms are trying to optimize their production and distribution functions separately, but possible savings by this approach may be limited. Nowadays, it is more important to analyze these two functions simultaneously by trading off the costs associated with the whole. In this paper, I treat a production and distribution planning problem for single-period inventory products comprised of a single production facility and multiple customers, with the aim of optimally coordinating important and interrelated decisions of production sequencing and vehicle routing. Then, I propose a hybrid genetic algorithm incorporating several local optimization techniques, HGAP, for integrated production-distribution planning. Computational results on test problems show that HGAP is effective and generates substantial cost savings over Hurter and Buer's decoupled planning approach in which vehicle routing is first developed and a production sequence is consequently derived. Especially, HGAP performs better on the problems where customers are dispersed with multi-item demand than on the problems where customers are divided into several zones based on single-item demand.

Effective Demand Selection Scheme for Satisfying Target Service Level in a Supply Chain (공급망의 목표 서비스 수준 만족을 위한 효과적인 수요선택 방안)

  • Park, Gi-Tae;Kwon, Ick-Hyun
    • Journal of the Korea Safety Management & Science
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    • v.11 no.1
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    • pp.205-211
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    • 2009
  • In reality, distribution planning for a supply chain is established using a certain probabilistic distribution estimated by forecasting. However, in general, the demands used for an actual distribution planning are of deterministic value, a single value for each of periods. Because of this reason the final result of a planning has to be a single value for each period. Unfortunately, it is very difficult to estimate a single value due to the inherent uncertainty in the probabilistic distribution of customer demand. The issue addressed in this paper is the selection of single demand value among of the distributed demand estimations for a period to be used in the distribution planning. This paper proposes an efficient demand selection scheme for minimizing total inventory costs while satisfying target service level under the various experimental conditions.

DEVELOPMENT OF A FRONT END PLANNING TOOL FOR SUSTAINABILITY

  • Sang-Hoon Lee;Spencer Howard;Lingguang Song;Kyungrai Kim
    • International conference on construction engineering and project management
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    • 2009.05a
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    • pp.506-513
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    • 2009
  • The Construction Industry Institute (CII) developed the Project Definition Rating Index (PDRI), as a part of their Front End Planning best practices, which helps project managers assess and measure project scope definition risk elements. U.S. Green Building Council are seeing the benefits of sustainable building and Leadership in Energy and Environmental Design certification by positively impacting life cycle costs, building marketability, and organizational productivity. However, there have been no efforts to integrate these two planning tools in construction industry. By applying a supplemental tool which combines the PDRI with the LEED rating system, construction industry can develop and implement a tailored instrument that leads to total project success in sustainability. The objective of this research is to assemble a new front end planning mechanism for green buildings by incorporating the current PDRI and LEED systems.

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The Study on Application of Activity-Based Costing System on the Department of Clinical Pathology (임상병리과의 활동기준원가 관리 적용에 관한 연구)

  • Jung, Soo-Kyung;Jung, Key-Sun;Choi, Hwang-Gue;Rhyu, Kyu-Soo
    • Korea Journal of Hospital Management
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    • v.5 no.1
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    • pp.129-155
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    • 2000
  • This empirical study, activity-based costing, a newly introduced approach that has proved to be an improvement over the conventional costing system in product or service costing, is applied at department of clinical pathology in K university hospital. The study subjects were 233 test procedures done in clinical laboratory of K university hospital. Activity analysis was done by interview, questionnaires, and time study, and the amount of resources consumed by each activity and their costs are then traced and applied to the laboratory tests. The main purpose of this study were to compare the test costs of activity-bases costing with those of conventional costing, and test fees of medical insurance, and to provide accurate cost informations for the decision makers of hospital. The major findings of this study were as belows. 1. The cost drivers for application of activity-based costing at clinical laboratory were cases of sample collection, case of specimen, cases of test, and volume-related allocation bases such as direct labor hours and total revenue of each test. 2. The profits of each clinical laboratory fields analyzed by conventional costing were different from the profits analyzed by activity-based costing, especially in the field of Urinalysis(approximately over estimated 750%). 3. The standard full costs by conventional costing were quite different from the costs computed by using activity-based costing, and the difference is most significant with the tests of long labor time. 4. From the comparison between costs computed by using activity-based costing and medical insurance fees, some test fees were significantly lower than the costs, especially in the non-automated fields. As described in this study, activity-based costing provides more accurate cost information than does conventional costing system. The former approach is especially important in the health care industry including hospitals in which planning and controlling the costs services provided are the key to maintaining a healthy financial status for the organization. Despite the contribution of activity-based costing the economic as well as technical feasibilities of implementing such a cost accounting system in an organization must be evaluated. In the development of activity-based costing systems, an activity analysis has to be conducted to identify activities that consume resources. This involves a detailed study of the organization's logistics and accounting information systems, and it is an expensive project in itself. Besides, it can be quite difficult and time consuming to identify and trace resource consumption to a specific activity. Thus the activity-based costing system should be implemented only when the decrease in cost of error far exceeds the increase in cost of measurement. By combining activity-based costing with standard costing, health care administrators can better plan and control the costs of health services provided while ensuring that the organization's bottom line is healthy.

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Highway Maintenance Cost Optimization Using GSIS (지형정보를 이용한 도로의 최적 유지관리 비용 산정)

  • 강인준;이준석
    • Journal of the Korean Society of Surveying, Geodesy, Photogrammetry and Cartography
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    • v.20 no.4
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    • pp.367-374
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    • 2002
  • Maintainability of highways is an important problem that is considered in the planning steps of a highway development process. A number of asset management systems have been developed to precisely predict maintenance and pavement expenditures for better decision making, But these systems are not helpful in reducing maintenance costs. Optimization of some highway design characteristics in the planning phases may reduce maintenance costs over the life cycle of highway. The formulations for initial and maintenance costs have been developed based on which design variables can be chosen to minimize these costs, focusing on the sideslope in cut and fill sections. Maintenance cost has been represented as a function of sideslope, width of highway cross section, and annual average daily traffic. A real geographic database of between Chung joo and Sang joo city in Choong buk was used and it is presented to investigate the sensitivities of maintenance cost and soil characteristics in selecting alignments. In this study, we present that maintenance cost and soil characteristics are important considerations in alignment optimization.

A CAPACITY EXPANSION STRATEGY ON PROJECT PLANNING

  • Joo, Un-Gi
    • ETRI Journal
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    • v.15 no.3
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    • pp.47-59
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    • 1994
  • A capacity expansion planning problem with buy-or-lease decisions is considered. Demands for capacity are deterministic and are given period-dependently at each period. Capacity additions occur by buying or leasing a capacity, and leased capacity at any period is reconverted to original source after a fixed length of periods, say, lease period. All cost functions (buying, leasing and idle costs) are assumed to be concave. And shortages of capacity and disposals are not considered. The properties of an optimal solution are characterized. This is then used in a tree search algorithm for the optimal solution and other two algorithms for a near-optimal solution are added. And these algorithms are illustrated with numerical examples.

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