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An effective method to reduce inventory in job shops

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3 Author(s)
Luh, P.B. ; Dept. of Electr. & Syst. Eng., Connecticut Univ., Storrs, CT, USA ; Xiaohui Zhou ; Tomastik, R.N.

Inventory plays a major role in deciding the overall manufacturing costs, and a good scheduling system should balance the on-time delivery of products versus low work-in-progress (WIP) inventory. In this paper, the “constant work-in-process” (CONWIP) concept is applied to job shop scheduling to effectively control WIP inventory. A new mathematical formulation of CONWIP-based job shop scheduling with a separable structure is presented. By using a synergistic combination of Lagrangian relaxation, dynamic programming, and heuristic methods, good schedules are obtained in a reasonable amount of computation time. Results show that the new method can directly control the maximum WIP levels while maintaining good on-time delivery performance

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Robotics and Automation, IEEE Transactions on  (Volume:16 ,  Issue: 4 )