A new procedure for deciding the production planning is suggested based on an information theory approach. The procedure involves two steps: the determination of the frequency of each production level on the planning horizon minimizing the influence of the variation in demand levels and maximizing the expective profit; the determination of production level at each period in accordance with the decided frequency. In the first step an information theory approach shall be attempted using the Kullback-Leibler information as a measure of distance between the demand and the production frequency distributions.
|Title of host publication||Unknown Host Publication Title|
|Number of pages||5|
|Publication status||Published - Dec 1 1985|
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