New Tool for Solving Materials Flow Problems: A Computer-Based Model for Maximizing Output At Minimum Cost

A method of determining least cost solutions to materials flow problems uses waiting line (queueing) theory and a direct search optimizing algorithm in a computer model. Application to flow problems in the wood industry is demonstrated. The model is generally applicable for designing new mills or redesigning existing ones to obtain target throughput at minimum investment cost. It is also useful in dealing with problems such as production scheduling and inprocess inventory control. The model provides analysis of two-stage queueing systems in which arrivals are individual, with interarrival times exponentially distributed. Provision is made for either single or multiple machines at each processing station. Material arrival rate and processing time are allowed to Vary within limits to determine an optimal solution to a cost-minimizing objective function. A direct search method is included in the model by which various combinations of mill design features and related operating policies are iteratively examined under steady state conditions.

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