A mathematical model for multiple machine replacement with material handling and relocation considerations

With the introduction of Flexible Manufacturing Systems, a number of factors such as machine acquisition, machine flexibility, input requirements, material handling and machine reloction influence the multiple machine replacement problem. In this paper, a mathematical model is developed to optimally determine the product mix, replacement of old machine(s) with new machine(s) and relocation of machine(s) considering the limitations of existing resources. The objective of the model is to maximize the profit. A number of example problems are solved to illustrate the application of the model and its ability to react to changes in input parameters.