An integrated re-planning ILP approach on the production capacity and sequence in the automotive industry.

Abstract

Automotive contract manufacturers in Europe encounter significant market challenges due to the evolving market landscape towards e-mobility. This change involves a shift to smaller batch sizes and an expansion of the product portfolio. Further, the increased variety also raises the probability of production idleness caused by supply chain disruptions, which challenge production planning and control. This paper presents an integrated re-planning approach on the production capacity and sequence. We consider capacity and sequence restrictions, as well as the utilization of the production itself. An ILP is formulated for solving the problem and enabling further sensitivity analysis and risk reduction.