A Novel Predictive Control Strategy for Supply Chain Management under Networked Manufacturing

Abstract

A novel predictive control strategy is applied to dynamic supply chain management under networked manufacturing. The optimisation-based control scheme aims at a complete management framework for production-inventory systems that is based on model predictive control (MPC) and on a neural network time series forecasting model. The model proves to be very useful in production-inventory systems that is enough to keep production and inventory balance. A move suppression term that penalises the rate of change in the transported quantities through the network increases the system’s robustness. The results show that the proposed scheme can improve significantly the performance of the production-inventory system, due to the fact that more accurate predictions are provided to the formulation of the MPC optimization problem in real time.