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Constraints (7) and (13) control levels of WIP inventories of MTS/MTO products, while levels of raw materials in each factory are controlled through Constraints (9) and (10) with respect to every period.
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The 2 × 2 factorial design had two levels of raw material (barley grits and barley flour) and two levels of screw configuration severity (medium and severe).
Inventory level of raw material r in the factory j at the end of period t.
Determine the optimal lot size by minimizing the total cost of controlling raw material n required at plant k subjected to the given customer service level of raw material n at plant k.
Customer service level of raw material n at plant k is given by the following relation (Ballou 2004): F 1 nk = 1 - LI 1 nk × σ 1 nk Q 1 nk.
These factors include procurement lead time, customer delivery lead time, manufacturing lead time and levels of predictability of raw materials availability and customer demand levels.
The necessity to optimize the management of material stocks during the delivery is substantiated along with the creation of functioning logistical networks of the minimum necessary stock volume providing for the proper functioning of the enterprise, manufacturing, advancement, and sales of finished products at all levels (from suppliers of raw materials to final product users).
Other, long-term measures including establishing levels of contamination of raw materials and ready-to-eat pork products, assessment of production processes, and establishing reliable microbiologic methods were suggested.
This situation is a result of the high level of contamination of raw materials originating from animals and vegetables, as these microorganisms may persist for variable periods in the industrial environment.
Efficiency improvements push down costs at every level — from the mining of raw materials to the fabrication and transportation of finished goods to the frequency and intensity of actual use — and reduced costs stimulate increased consumption.
In spite of these existing targets, resource use is usually neglected as an indicator during environmental analysis at the micro level, particularly in terms of raw materials.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com