Abstract

In this paper, we consider a production system consisting of multiple tandem machines subject to random failures. The objective of the study is to find the production rates of the machines in order to minimize the total inventory and backlog costs. By combining analytical formalism and simulation-based statistical tools such as design of experiments (DOE) and response surface methodology (RSM), an approximation of the optimal control policy is obtained. The combined discrete/continuous simulation modeling is used to obtain an estimate of the cost in a fraction of the time necessary for discrete event simulation by reducing the number of events related to parts production. This is achieved by replacing the discrete dynamics of part production by a set of differential equations that describe this process. This technique makes it possible to tackle optimization problems that would otherwise be too time consuming. We provide some numerical examples of optimization and compare computational times between discrete event and discrete/continuous simulation modeling. The proposed combination of DOE, RSM and combined discrete/continuous simulation modeling allows us to obtain the optimization results in a fairly short time period on widely available computer resources.

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