Using Theory of Constraints in Production Management and Scheduling (A Case Study)

Subject Areas : Operation Research

Ahmad  Hooshmand ¹ (Department of Accounting, torbat heidareh Branch, Islamic Azad University, torbat heidarehr, Iran)
Ali Reza  Mehrazeen ² (Department of Accounting, Neyshabur Branch, Islamic Azad University, Neyshabur, Iran)
Ali Reza  Davoody ³ (Department of Mathematics, Neyshabur Branch, Islamic Azad University, Neyshabur, Iran)
Mohamad Reza  Shorvarzi ⁴ (Department of Accounting, Neyshabur Branch, Islamic Azad University, Neyshabur, Iran)

Received: 2018-11-07 Accepted : 2019-09-24 Published : 2019-12-01

Keywords: Sensitivity analysis, Theory of Constraints, Bottleneck, production scheduling,

Abstract :

In manufacturing institutes the only access way to maximum profit is identifying the production mix of the products based on the limitations such as policies and politics, demand and production processes. This study identifies the constraints of a tile-manufacturing company including constraints in its production and demand line using LINGO software version 15, and identifying production bottleneck, i.e. furnace, production scheduling was provided and sensitivity analysis was con-ducted on the variables and right hand items. Positive shadow price of furnace shows efficiency of every unit on throughput. Also, in demand constraint, negative shadow price of product 16 shows decreasing effect of increase of every unit on throughput. Allowable increase and decrease of right hand items show allowable increase in furnace section and limitlessness of allowable decrease of product 16. Changes in this range causes that the current basis remains optimal changes in which causes changes in the optimal value of the target function regarding shadow prices.

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