Abstract
The search for minimum scrap is the core problem in any aluminum product manufacturing process. This paper presents a methodology for scrap reduction in an aluminium extruding plant which produces aluminium sections from aluminium billets. The main problem under consideration is to find the different sizes of billets to be stocked to supply the total demand requirements such that the total scrap is minimized. The approach to the problem has three stages, namely: determination of all feasible billet sizes in the light of the plant limitations, determination of an optimal set of billet sizes used to produce the number of product types desired using 0–1 integer linear programming, and selection of a subset of billet sizes from the optimal set to be stocked using dynamic programming.
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