Article ID: | iaor20001440 |
Country: | United Kingdom |
Volume: | 37 |
Issue: | 1 |
Start Page Number: | 73 |
End Page Number: | 90 |
Publication Date: | Jan 1999 |
Journal: | International Journal of Production Research |
Authors: | Matsui M., Yang G., Miya T. |
Keywords: | job shop |
Suppose that job-shop production systems consist of a sales centre with order-selection and a production centre with switch-over. We consider the control problem of maximizing the marginal profit of a job-shop production system with order-selection and switch-over. First, a stochastic model is proposed to derive the two sub-objective functions: the mean accepted price and the mean operating cost. Next, the stochastic model is formulated in two ways as the cooperative versus non-cooperative control problem of sales and production centres. Finally, the non-monotonic structure of optimal order-selection criteria is found, and the demerit of non-cooperative control is numerically discussed.