• Journal of Korean Society of Industrial and Systems Engineering
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• v.44 no.1
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• pp.45-50
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• 2021

Machines and facilities are physically or chemically degenerated by continuous usage. The representative type of the degeneration is the wearing of tools, which results in the process mean shift. According to the increasing wear level, non-conforming products cost and quality loss cost are increasing simultaneously. Therefore, a preventive maintenance is necessary at some point. The problem of determining the maintenance period (or wear limit) which minimizes the total cost is called the 'process mean shift problem'. The total cost includes three items: maintenance cost (or adjustment cost), non-conforming cost due to the non-conforming products, and quality loss cost due to the difference between the process target value and the product characteristic value among the conforming products. In this study, we set the production volume as a decreasing function rather than a constant. Also we treat the process variance as a function to the increasing wear rather than a constant. To the quality loss function, we adopted the Cpm+, which is the left and right asymmetric process capability index based on the process target value. These can more reflect the production site. In this study, we presented a more extensive maintenance model compared to previous studies, by integrating the items mentioned above. The objective equation of this model is the total cost per unit wear. The determining variables are the wear limit and the initial process setting position that minimize the objective equation.

• Journal of the Society of Naval Architects of Korea
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• v.31 no.3
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• pp.154-164
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• 1994

In this study, to find an economical production method which yields welded built-up beams with high quality, simulation techniques and optimization method are used. At first, fabrication variables such as welding current, voltage and speed and heated depth and breadth are selected and fabrication cost of a built-up beam is expressed by these parameters, which is optimized under the constraints. As advanced studies, total production cost including the fabrication cost and the material cost of the beam is expressed by the fabrication and design variables, and optimized with the design constraints by the class rules. In addition, assuming that heating for straightening is impossible. the optimization method of multi-objective functions based on the weighting method is applied to obtain the compromised optimal solutions of the total production cost and the welding deformation.

• Journal of Korean Institute of Industrial Engineers
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• v.34 no.4
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• pp.425-432
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• 2008

While the Vendor-Managed Inventory(VMI) is a convenient inventory replenishment policy for the customer company, the supplier usually bears the burden of higher inventory and urgent shipments to avoid shortage. Recently some manufacturers begin to fix the production schedule for the next few days (such as three days). Utilizing that information can improve the efficiency of the VMI. In this study, we present a myopic optimization model using a mixed inter programming; and a heuristics algorithm. We compare the performance of the two proposed methods with the existing (s, S) reorder policy. We consider the total cost as the sum of transportation cost and inventory cost at the customer's site. Numerical tests indicate that the two proposed methods significantly reduce the total cost over the (s, S) policy.

• Journal of the Korean Operations Research and Management Science Society
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• v.34 no.2
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• pp.77-90
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• 2009

Total profit level Increases if a company increase the cost for achieving R&D related goals of equipment productivity enhancement, production cost saving, or for achieving equipment scale target, sales volume goal. But how much money should be invested to achieve a certain level of profit? We formulated the model to set the optimal goal levels to minimize the investment cost under the constraint that certain level of total profit should be guaranteed. This model derived from a case of P steel company. We found that this should be considered in relation with the production sales planning (known as optimal product mix problem) to guarantee the profit. We suggested a nonlinear programming model, 3 valiant form of the p+roduct mix problem. We can find the optimal Investment level for the R&D related goals or sales volume goal, equipment scale target for the P steel company using the model.

• Journal of applied mathematics & informatics
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• v.41 no.1
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• pp.215-228
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• 2023

The ready-made garments (RMG) have been making a crucial contribution about of 81% of total export and 12.36 % of total GDP of the country which is now the single biggest export earner for Bangladesh. The cheap production cost is the key important factor to explore this RMG sector. But these RMG sector is running on the basis of intuition based decisions. Though they are making profit it is not optimal. In this study, a deterministic model is developed to help the RMG to minimize the production cost and to maximize their profit along with optimal utilization of available resources. 10 different types of products are taken from one of the garments factories of Gazipur, Dhaka to prepare this research work. This model suggests the manufacturer on which products along with how much should be produced to meet the future demand by maintaining the lowest production cost that ultimately maximize the profit of the organization, and also helps Bangladesh to compete in the international market with 'Made in Bangladesh'. LINDO programming is used here to solve this LP model.

• Journal of Korean Institute of Industrial Engineers
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• v.32 no.1
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• pp.29-41
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• 2006

As the quality and environmental problems become one of the most concerned issues of company, the rework policy needs to be efficiently designed and implemented to sustain the company's competitiveness. This paper examines three basic rework policies in multi-stage production systems and analyzes them in terms of costs of setup, production, inspection, and inventory. For analyzing the performance of the rework policies, we propose mathematical models which can compute total production cost and determine the optimal production batch size to minimize the total production cost. The rework policies are classified by the number and location of inspection stages. Using the mathematical models, we could analyze the performances of rework policies and suggest the optimal rework policy according to each manufacturing environment. The analyses show that the proposed model can be used to analytically evaluate and choose the rework policies.

• Proceedings of the Korean Operations and Management Science Society Conference
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• 2006.11a
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• pp.506-512
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• 2006

In this paper, we propose a lot-sizing and scheduling problem that seeks to minimize the sum of production cost and inventory cost over a given planning horizon while considering idle state of a machine in a batch production system. For this problem, we develop an integer programming model. And, we develop an efficient 2-phase heuristic algorithm to find a high quality feasible solution within reasonable time bounds. In the first phase, we seek to minimize the production cost by assigning batches to machines. Then, in the second phase, we find a production sequence of batches that reduces the inventory cost, while considering adding or deleting idle states between batches. Computational results show that the developed heuristic algorithm finds excellent feasible solutions within reasonable time bounds. Also, we could significantly reduce the total cost consisting of production cost and inventory cost by using the developed heuristic algorithm at a real manufacturing system that produces zinc alloys.

• Fisheries and Aquatic Sciences
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• v.14 no.3
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• pp.230-233
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• 2011

To determine the cost-effectiveness of converting fish waste into liquid fertilizer, this study analyzed the production of 3 L of liquid fertilizer from the fermentation of fish waste. The total product cost of the fertilizer was calculated to be $165.26 for a one-batch operation. If the seed culture was repeated five times, the total product cost could be reduced to $36.39/L. According to this analysis, the reutilization of fish waste as liquid fertilizer was not particularly economically attractive at present, and plant-scale production would be necessary for commercialization. This is the first cost-effectiveness analysis of the bioconversion of fish waste into liquid fertilizer.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.38 no.3
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• pp.117-126
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• 2015

This paper is to analyze an integrated production and inventory model in a single-vendor multi-buyer supply chain. The vendor is defined as the manufacturer and the buyers as the retailers. The product that the manufacturer produces is supplied to the retailers with constant periodic time interval. The production rate of the manufacturer is constant for the time. The demand of the retailers is constant for the time. The cycle time of the vendor is defined as the elapsed time from the start of the production to the start of the next production, while the cycle times of the buyer as the elapsed time between the adjacent supply times from the vendor to the buyer. The cycle times of the vendor and the buyers that minimizes the total cost in a supply chain are analyzed. The cost factors are the production setup cost and the inventory holding cost of the manufacturer, the ordering cost and the inventory holding cost of the retailers. The cycle time of the vendor is investigated through the cycle time that satisfies economic production quantity with the production setup cost and the inventory holding cost of the manufacturer. An integrated production and inventory model is formulated, and an algorithm is developed. An numerical example is presented to explain the algorithm. The solution of the algorithm for the numerical examples is compared with that of genetic algorithm. Numerical example shows that the vendor and the buyers can save cost by integrated decision making.

• The Journal of the Korea Contents Association
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• v.14 no.11
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• pp.102-110
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• 2014

It is a time to change the investment system for performances of co-producing according to development of the environment of performing arts in Korea. If we keep producing performances through the conventional method of the investment, we soon fall behind because production costs will increase by extension of the performance period. Investment companies generally require to the production company the investment principal guarantee as a condition for a investment. Producing companies have been producing performance with only ticket revenue and money of investment companies without their own money. Those two unreasonable things have raised a risk. So first of all, it is necessary to account marginal cost instead of average cost to decide more exactly open-running of performance. Second, it is necessary to change total cost as an investment parameter to production cost to avoid the unreasonable demands, such as a principal guarantee to production company. Therefore, we have to accept the budget planning of the United States to account the marginal cost and the production cost.