Multi objective optimization model for aggregate production planning: A case study of a textile company

Abstract

This paper addresses the problem of Aggregate production planning (APP) for a case study of a textile and garment company. A multi-objective mathematical model is built in which the profit is maximized, the other three factors being rejection rate of raw material, backorder quantity and total overtime are minimized in order to adapt the fluctuation forecasted demand in a period of 12 months. 10 family products are considered simultaneously along with constraints of storage limitation, workforce level, production capacity and resources conditions of the company. Data collection provided by the company’s manager is used to test the effectiveness and efficiency of proposed model. To enhance the practical implication, different scenarios with various priority orders are operated and research findings are illustrated. By comparing with the previous year data of company, decision maker will choose which one is the most suitable. Multi-objective APP model is solved and validated by CPLEX V12.9 and Microsoft Excel spreadsheet. Keywords: Aggregate production planning, multi-objective mathematical model, CPLEX, optimization modeling, textile industry