Global Profit Optimization in Multiple Production Systems Employing Different Mixes of Production Factors in the Production Cycle

Said El Noshokaty


In the operations-management literature, the multiple production systems employ their own factors of production along with some other coupling factors of production cutting across all systems. Of these production systems, there are some systems which employ fixed amounts of factors of production in the production cycle. Some other systems can employ different mixes of factors of production in the production cycle. Car industry is just one example of the latter systems. The car may be assembled using more robots and little manpower intervention and may be assembled by more manpower and little robot’s intervention. For such multiple production systems, a model is here built to find the mix of factors of production employed in each production cycle which result in a global optimal gross-profit-per-day for all products of all systems. The entrepreneur is more interested in the mix which brings him at least the same gross profit but with less production time. He can then repeat the production cycle of more profit-per-day more times as to collect more gross profit by the end of the year. This research is to announce the existence of the solution methodology that best solve the problem of such systems and a DSS software application that incorporates this methodology for liner and tramp shipping.


Multiple production systems, Global optimization, Factors of production

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