Development Of Aggregate Planning Using Linear Programming Technique In Casting Industry

Tai, Chui Yee (2009) Development Of Aggregate Planning Using Linear Programming Technique In Casting Industry. Project Report. UTeM, Melaka, Malaysia. (Submitted)

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Abstract

To purpose of this project is to develop a manufacturing planning by using the aggregate planning method. The target of this project is a casting company – ABC Company. This project will analyze the current planning system and indentified the problems and develop an aggregate plan for improving the company production efficiency. The aggregate planning procedure start by having data collection at the target company, the data collection including the determination of demand period, the unit cost for regular time, overtime, subcontracting, holding inventories, back orders, layoffs, company policies, and company capacities. Once the data collected, then it is arranged in an orderly form according to their types of data and necessary assumptions are to be made. It is later then used as the input to construct out the appropriate aggregate plan. A few alternatives plan will be generated. A linear programming approach is used to develop alternative plan. The generated plans will be evaluated and the alternatives plan will be selected based on the most that satisfies the objectives of the study. At the end of the project, the alternative plan was suggested and the expected improvement was list out by comparing to the current layout. As conclusion, the generated alternative plan provides improvement in term of productivity of the section and at the same time ensures the company does make profit out of the plan.

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