LOT SIZING AND SCHEDULING OF A PERISHABLE PRODUCT IN A DAIRY INDUSTRY

This paper considers a dairy industry problem on integrated planning and scheduling a Mixed Integer Linear Programming (MILP) formulation is introduced to integrate tactical and operational decisions with uncertain demand and a heuristic approach is proposed to decompose time buckets of the decisions. The decomposition heuristic improves computational efficiency by solving big bucket planning and small bucket scheduling problems. the proposed decomposition heuristic has consistent nm results minimizing the total cost.