A model for batch advanced available-to-promise

A model for batch advanced available-to-promise

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Article ID: iaor2004137
Country: United States
Volume: 11
Issue: 4
Start Page Number: 424
End Page Number: 440
Publication Date: Dec 2002
Journal: Production and Operations Management
Authors: , ,
Keywords: programming: integer, simulation: applications
Abstract:

The available-to-promise (ATP) function is becoming increasingly important in supply chain management since it directly links production resources with customer orders. In this paper, a mixed integer programming (MIP) ATP model is presented. This model can provide an order-promising and fulfillment solution for a batch of orders that arrive within a predefined batching interval. A variety of constraints, such as raw material availability, production capacity, material compatibility, and customer preferences, are considered. Simulation experiments using the model investigate the sensitivity of supply chain performance to changes in certain parameters, such as batching interval size and customer order flexibility.

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