Optimizing the production schedule to minimize operating costs and maximize profits is a challenge that a Portland, Oregon, based high-tech Company is facing. The objective of this project was to create a model that could be used as a tool by business analysts to enable informed and educated operational, production, and inventory decisions. An Integer Linear Programming model has been utilized to propose a build schedule and parts order process to meet the forecasted demand and production constraints for which the Company is contending. In addition to minimizing costs, the outputs of the model will allow the procurement team an opportunity to balance the parts necessary for the creation of the products by conforming to a just-in-time manufacturing methodology. Ultimately, this model can produce and will enable the analyst to explore the impacts of new and different constraints involved with creating an optimized production plan, which will improve the inventory, manufacturing, and production costs.
Finn, Daragh; Blank, Alex; Maier, Felix; and Krueger, Justin, "Production Scheduling and Inventory Optimization: For a High-Tech Company to Manufacture Products Efficiently" (2015). Engineering and Technology Management Student Projects. 248.