Abstract:
Finding optimum product-mix for production systems is an important decision.
Several researchers have developed algorithms to determine the product-mix
under the Theory of Constraints (TOC). Literature reveals failure of the
traditional TOC heuristic in determining product-mix when multiple constrained
resources exist. In this paper, a Mixed Integer Linear Goal Programming
(MILGP) model is proposed to deal with product-mix problem when multiple
constrained resources exist. The proposed MILGP model emphasizes utilization
of all bottlenecks as the primary goal and maximization of throughput as the
secondary goal. The proposed model is experimented on problems cited in
literature and the randomly generated ones, and the optimum results are
reported by the proposed model