An integrated optimization of production scheduling and logistics by a distributed decision making: Application to an aluminum rolling processing line

A distributed decision making system for integrated optimization of scheduling and logistics is proposed in this paper. The proposed decision making system consists of several sub-systems. Each sub-system has its own objective function and optimizes the decision variables independently. The proposed approach is applied to an aluminum rolling processing line. In the proposed system, all of the decision variables such as arrival date of raw materials, lot-sizing, production scheduling and allocation of products to the warehouses are optimized simultaneously by repeating the local optimization at material resource planning sub-system, scheduling sub-system for each production process and warehouse planning sub-system. The effectiveness of the proposed approach is demonstrated.