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Optimum production layout under space constraint

Abstract An improved layout of production lines during the set-up procedures for a new product under a specified sequential operation stages often reduces costs and enlarges profits. Therefore, achieving the optimum layout of the production line is deemed to be essential. In most of the existing researches, the aspect on space capacity of the firm is always ignored. Practically, the space capacity of the firm cannot be disregarded. Thus, this paper considers this limitation as a critical characteristic that means the maximum number of the specific parallel machines possibly used in each production stage should be regarded as the most important constraint. In this paper, the mathematical model for determination of the maximum profit is constructed. The production line layout is additionally presented, and the step-by-step algorithm in achieving the optimum solution is moreover developed by introducing flexible machines to integrate operation stages under the consideration of the firm space capacity. Furthermore, the practical application is then suggested to make this model more suitable for the real-world applications.