TY - JOUR
T1 - Global production planning considering marine transportation factors
AU - Huang, Qian
AU - Weng, Jiahua
AU - Li, Weihao
AU - Onari, Hisashi
PY - 2018/1/1
Y1 - 2018/1/1
N2 - In previous studies regarding production-distribution problems, sales planning was not considered and transportation processes were simplified. Such non-consideration and simplification can lead to a decrease in profits since both sales planning and distribution directly influence production planning. Therefore, this paper develops a global production planning model that integrates production and sales planning while considering marine transportation factors (hub selection) as decision variables. Since the model proposed is a nonlinear problem with a nonconvex objective function and nonlinear constraints, it was reformulated into a mixed-integer linear problem so that it can be solved using an optimization solver. Moreover, computational experiments were conducted, and the findings show that, under different production or transportation environments, the hub selection approach realizes more profit compared to a predefined hub approach. Furthermore, scale effect in production and marine transportation processes have also been found in hub selection approach.
AB - In previous studies regarding production-distribution problems, sales planning was not considered and transportation processes were simplified. Such non-consideration and simplification can lead to a decrease in profits since both sales planning and distribution directly influence production planning. Therefore, this paper develops a global production planning model that integrates production and sales planning while considering marine transportation factors (hub selection) as decision variables. Since the model proposed is a nonlinear problem with a nonconvex objective function and nonlinear constraints, it was reformulated into a mixed-integer linear problem so that it can be solved using an optimization solver. Moreover, computational experiments were conducted, and the findings show that, under different production or transportation environments, the hub selection approach realizes more profit compared to a predefined hub approach. Furthermore, scale effect in production and marine transportation processes have also been found in hub selection approach.
KW - Global production planning
KW - Hub selection
KW - Integrated approach
KW - Marine transportation
KW - Mathematical model
UR - http://www.scopus.com/inward/record.url?scp=85052890861&partnerID=8YFLogxK
UR - http://www.scopus.com/inward/citedby.url?scp=85052890861&partnerID=8YFLogxK
U2 - 10.11221/jima.69.113
DO - 10.11221/jima.69.113
M3 - Article
AN - SCOPUS:85052890861
VL - 69
SP - 113
EP - 120
JO - Journal of Japan Industrial Management Association
JF - Journal of Japan Industrial Management Association
SN - 0386-4812
IS - 2E
ER -