Multi-product FPR model with rework and multi-shipment policy resolved by algebraic approach

Abstract

This study resolves a multi-product finite production rate (FPR) model with rework and a multi-shipment delivery policy¹ using algebraic approach. Conventional method for solving multi- product FPR model is to use d<span style="mso-bidi-font-weight:bold">ifferential calculus on system cost function to prove its convexity first, and then derive optimal common production cycle time that minimizes the long-run average system cost. Whereas the proposed approach obtains the optimal common cycle time in simplified algebraic way without using differential calculus. Simplification may enable managing practitioners to resolve real-life multi-item FPR systems more effectively.

</span>