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Simulation-based optimization of a single-stage failure-prone manufacturing system with transportation delay

Abstract : This paper addresses the optimization of the continuous-flow model of a single-stage single-product manufacturing system with constant demand and transportation delay from the machine to the inventory. The machine is subject to either time-dependent or operation-dependent failures. The production is controlled by a hedging point policy. The goal is to determine the optimal hedging point, which minimizes the long-run average inventory holding and backlogging cost. Sample path analysis shows that the cost function is convex and sample gradient estimators are derived. A bi-section search algorithm based on simulation and sample gradients is proposed to determine the optimal hedging point.
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https://hal-emse.ccsd.cnrs.fr/emse-00449314
Contributor : Andrée-Aimée Toucas <>
Submitted on : Thursday, January 21, 2010 - 11:23:27 AM
Last modification on : Wednesday, June 24, 2020 - 4:18:36 PM

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Iyad Mourani, Sophie Hennequin, Xiaolan Xie. Simulation-based optimization of a single-stage failure-prone manufacturing system with transportation delay. International Journal of Production Economics, Elsevier, 2008, 112 (1), pp.26-36. ⟨10.1016/j.ijpe.2006.08.014⟩. ⟨emse-00449314⟩

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