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12/3/2011
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Slovak University of Technology

Faculty of Material Science and Technology in Trnava









Lot size in batch

production

What is the lot size?

 Lot size is number of parts that is

processed on one workstation at the same

time, when the set up costs are spent only

once.

 Lot size is one of norms of production that

markedly influences production costs.

Problem of correct lot size



Advantages of big lot size

 Decline of set up time

 Reductiom of the number of arrangement

 The existence of inventories allows usage of capacity

proportionally

 Disadvantages

 High inventories

 Long flow time

 High production costs

Classic methods for determination of lot

size

 These methods use different mathematical

models

 Minimal lot size (capacity)

 Optimal lot size

 Empirically determined lot size

 Periodic lot size



 None of classic methods is not able to involve

many real factors, that influences lot size.

How to set up lot size?



 Conflict between systems, which go out

from MRP and JIT

 Use reductionistic alebo holistic approach?

 It is possible to expect more complex

aproach such as simulation optimization

Simulation?

 Simulation allows predicate reactions of

production system on selected lot size

 It is possible to include crucial factors that

influence on lot size into simulation model.

 Values of goal parameters of production

system are gained directly by simulation:

 system performance

 flow time

 work in process

 costs

 capacity utilisation

Usage of simulation

optimization

 The solving for determination of accurate

(optimal) lot size offers simulation

optimization

Simulation model of production

system in Witness







Skupiny

Workstation

groups

pracovísk

Workstation

Definition of objective function

IF No_out_parts () default value of flow time

Unit_Costs = SumCosts / No_out_parts

RETURN Unit_Costs

ELSE

Unit_Costs = SumCosts / No_out_parts +

constant

RETURN Unit_Costs quantitative values of

goals

ENDIF

Preparatory experiments

 model verification;

 set up simulation and warm up period;

 find out lower and upper limit of system

loading;

 determination of quantitative values of

production goals.

Optimizer Window

Otpimization results

Objective function



Optimal lot 240

Costs per 1 part

220

size 200

180

160

140 155

120

100

2 2 2 2 1 2 1 2 2 2 2 2 1 1 2 2 2 1 2 2

2

3 2 2 1 3 3 3 2 2 2 1 2 2 2 2 1 3 2 2 2

1

11 12 10 10 6 11 7 10 11 11 11 10 6 6 11 10 12 7 10 12



11 8 9 5 12 12 11 10 9 10 5 11 8 9 8 6 12 7 12 9

Values of the others goals:

Lot size VD2,

· flow time (42,26 min ); Lot size VD1,

· machine utilisation (76%); Input interval P2,

· number of finished parts (1344). Input interval VIP1

Final evaluation

 It is possible to set up optimal lot size by

simulation optimization, while the factors

that influence lot size in real are

respected.

 Simulation optimization is possible to use

also for opposite production goals

Final evaluation

 However, simulation model have to be

created.

 Simulation optimization requires special

software aid (plug in module)

 Optimization process can take long time.



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