Abstract:
In recent years, due to high interest rates and strict monetary policy. reducing inventory holding costs have become a crucial issue. Minimizing inventory holding costs has been an emphatic objective in search for increased productive efficiency. In the determination of efficient production schedules, possibilities of time substitution of a limiting resource with th aim of having minimum inventory levels plays an important role. This study proposes a model for scheduling production in single-stage multi-item capacity constrained production systems. Our algorithm schedules production as late as possible so as to minimize inventory holding costs. Items are independent and have external demands to be met. Two main classes of capacity constraints are considered. The algorithm deals with superoptimal (infeasible) solutions and moves backward in time in order to schedule production within the capacity bounds.
