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G.D. Sivakumara* and P. Shahabudeenb

a

Department of Mechanical Engineering, Sethu Institute of Technology, Pulloor, Kariapatti, Virudhu Nagar Dist, Tamil Nadu, India; bDepartment of Industrial Engineering, Anna University, Chennai, Tamil Nadu, India (Received 2 September 2007; final version received 7 April 2008) The traditional kanban system with a fixed number of cards does not work satisfactorily in an unstable environment. With the adaptive kanban-type pull control mechanism, the number of kanbans is allowed to change with respect to the inventory and backorder level. It is required to set the threshold values at which cards are added or deleted, which is part of the design. Previous studies used local search and meta-heuristic methods to design an adaptive kanban system for a single stage. In a multi-stage system the cards are circulated within the stage and their presence at designated positions signals to the neighbouring stages details concerning the inventory. In this work, a model of a multi-stage system adapted from a traditional and adaptive kanban system is developed. A genetic and simulated annealing algorithm based search is employed to set the parameters of the system. The results are compared with a traditional kanban system and signs of improvement are found. The numerical results also indicate that the use of a simulated annealing algorithm produces a better solution. Keywords: advanced manufacturing processes; advanced manufacturing technology; adaptive control; JIT; kanban; lean manufacturing

Abbreviations TKS AKS MTKS MAKS GA SA JIT MP WIP CONWIP CTMC tc c traditional kanban system adaptive kanban system multi-stage traditional kanban system multi-stage adaptive kanban system genetic algorithm simulated annealing just in time manufacturing process work in process constant work in process continuous time Markov chain total cards number of identical parallel servers mean processing rate

ISSN 00207543 print/ISSN 1366588X online 2009 Taylor & Francis DOI: 10.1080/00207540802302071 http://www.informaworld.com

G.D. Sivakumar and P. Shahabudeen number of workstations number of parts in MP quantity of finished parts in excess of back orders at time t demand rate expected throughput rate number of production cards or kanban cards number of extra cards capture threshold release threshold number of finished parts in the system minus the total number of orders number of extra cards in circulation cost ratio per unit time total number of states probability of being in state (i,x) expected finished good inventory in adaptive kanban system expected backlog in adaptive kanban-type pull control system final stage stage ( j 1, 2, . . . , N) objective function for single stage objective function for multi-stage

1. Introduction In the traditional kanban system (TKS), the number of cards used in a manufacturing process (MP) is kept constant. However, in an unstable environment the TKS does not work satisfactorily. Di Mascolo et al. (1996) developed an analytical method for the performance evaluation of TKS. Wijngaard (2004) and Karaesmen et al. (2004) used inventory control policies that resulted in significant cost savings in the TKS through inventory reductions and improvement in customer service. Liberopoulos and Koukoumialos (2005) presented a simulation model of the TKS in which the effect of advanced demand information is analysed. However, in an unstable environment the TKS does not work satisfactorily. Philipoom et al. (1987) and Rees et al. (1987) investigated the key factors that affect the number of kanbans in the system. Savsar and Al-jawini (1995) presented a simulation study of the performance of JIT systems. In the latter paper the effects of processing time, demand variability, kanban withdrawal policies, number of kanbans between stations and the line length are examined by computing the performance measures throughput rate, work-in-process and station utilisation. Savsar (1997) developed a simulation model to determine the minimum number of kanbans attached to batches of printed circuit boards to satisfy a certain percentage of demand. Savsar and Choueiki (2000) developed a generalised systematic procedure (GSP) to determine the optimum kanban allocation in JIT controlled production lines. They also used the simulation model to simulate the JIT production line and evaluated the line performance using a neural network. A few papers have discussed systems in which the number of kanban cards in use is adjusted according to the status of the MP. Such systems are called flexible or adaptive kanban systems (AKS). Previous studies used the local search method to design and find the optimal solution in the adaptive kanban-type pull control mechanism.

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Shahabudeen and Sivakumar (2003) developed a heuristic-based genetic algorithm to solve the integrated optimisation model for a single-stage adaptive kanban-type pull control mechanism. The numerical results for the problems indicate that the simulated annealing algorithm (SA) is efficient for optimising the problems. In this paper a multistage model for the traditional (MTKS) as well as the multi-stage adaptive kanban (MAKS) system are developed. The systems are analysed using different heuristics and the results are compared.

2. The traditional kanban system In the traditional kanban system the number of cards in use is fixed at K. Customer demand drives the MP. Each part is attached to a kanban. When a customer demand arrives, the finished part is released to the customer and the kanban attached to that part is transferred upstream to initiate production. The demand that cannot be met, due to the non-availability of the finished part, stays as back ordered demand.

2.1 The TKS model Tardif and Maaseidvaag (2001) developed a kanban system as a closed queuing model. In this system, demand follows a Poisson process with demand rate d, the finished parts leave the manufacturing process according to a state-dependent Markovian process and its processing rate P(n) or the throughput depends on the number of parts n in the MP. The processing rate can be obtained by studying equivalent closed queuing networks. For systems with a single workstation (WS) consisting of c identical parallel servers with mean service rate : n, n5c, Pn 1 c, n ! c: According to Spearman (1991), for balanced systems with M workstations, each consisting of a single server with mean rate : P n n : n M 1 2

The behaviour can be modeled as a birth and death process with an infinite number of states. Let PK(i) be the stationary probability of state i with K cards. These probabilities exist only if d =P K51, 3

and are defined by the rate balance equation where the net inflow of a particular state is equal to the net outflow of that state. Therefore, d PK i P minK i 1, KPK i 1,

K X i1

PK i 1:

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The entry of a raw part into the MP is completely synchronised with the release of a finished part to the customer. Therefore, the number of parts in the system is constant and equal to K. The single-stage kanban system is optimised by choosing the parameter K that minimises the long-term average costs associated with backorders as well as holding inventory. Let b be the ratio of backorder cost to holding cost in the system. Let B(K) be the expected backlog for K number of kanban cards. Hence, it is required to determine the value of K that minimises the total cost: Minimise ZK K b BK, where K40. 6

3. The adaptive kanban system In a MP with fluctuation in demand, the TKS with a fixed number of cards leads to either a huge WIP or heavy backorders. Hence the concept of dynamically varying the number of kanban cards to suit the situation is given due consideration. Takahashi and Nakamura (1999) explored the benefits of the reactive just in time (JIT) control mechanism where the kanban levels are reset by fuzzy logic. Hopp and Roof (1998) developed a statistical throughput control to manipulate work in process (WIP) levels in constant work in process (CONWIP) lines. Their goal was to achieve a target throughput rate when the throughput rate fell outside the control limit. The number of kanbans is readjusted and the throughput rate is maintained within the limits. Gupta and Al-Turki (1997) proposed a procedure to adjust the number of kanbans in the system. The required number of additional cards was determined based on the demand and the system capacity. Shahabudeen and Sivakumar (2003) discussed the application of search heuristics in the design of an adaptive kanban system. Tardif and Maaseidvaag (2001) devised an AKS to handle the variable supply and demand condition. Here, the number of cards in use is allowed to vary based on the current inventory and backorders. An extra card is added to the system if a demand arrives while the inventory level is below a release threshold (R). When the inventory level exceeds a capture threshold (C) a card is retrieved from the system. Queue P contains finished parts, and queue D contains backordered demands. The single-stage adaptive mechanism uses K kanban cards and E extra cards. Initially, before any customer demand arrives at the system, queue P has a base stock of K finished parts, queue E contains all the extra cards and queue D is empty and the MP is idle. Let N(t) represent the quantity of finished parts in excess of back orders at time t (PD). When a customer demand arrives at time t, before the part is released to the customer, if N(t) is less than or equal to the release threshold (R) and if some cards are in queue E, an extra card is added to the MP and queue E is updated. Then the demand is satisfied, which releases a card that is sent to the MP. However, if N(t) before part release is greater than or equal to C, after satisfying the demand, the card is released but is not sent to the MP, instead it is sent to E. Here, R5C, and C ! K 1 so as to ensure that the system is able to return to the initial state (K, 0). The system is modeled in terms of the state (i, x) whose evaluation describes a continuous time Markov chain (CTMC). State (i, x) denotes the total number of parts in queue P minus the total number of back orders in queue D by i and the number of extra

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cards in circulation by x. Figure 1 shows the Markovian model of the AKS system. Here when d =P K E51, the steady-state probabilities exist. 7

3.1 The CTMC model of AKS Like the TKS, the behaviour of the AKS can also be modeled as a birth and death process with an infinite number of states. The states, which have similar behaviour, are combined and, using the rate balance equations, the general balance equation is derived as explained below with reference to Figure 1. Boundary state. These states require the use of extra cards to satisfy the demand due to the non-availability of cards. For each layer, this is the final state where x varies from 0 to E 1. The general rate balance equation for these states is d PK,E,R,C i, x

KX x 1 jc

d PK,E,R,C j, x 1

R X iRx1

d PK,E,R,C i, x,

where i R x, x 0, . . . , E 1. Repeating state. These states refer to the situation where production has reached the maximum possible rate of K E. The general rate balance equation for these states is d PK,E,R,C i, x P minK x i 1, K xPK,E,R,C i 1, x, where i R E, . . . , 1, x E.

Eqn 10 d K,0 d K+1,1 d K+2,2 p(1) d K+2,E d K+1,E p(E) d p(1) d K+1,2 p(2) d d K,E K-1,0 p(2) d K-1,1 p(3) d K-1,2 p(3) d d K-1,E p(E+2) p(K-R+E+1) Eqn 13 p(K+E) Eqn 9 d C,E d C,2 d d d R,E R-1,E R-2,E d d d C,0 p(K-C) d C-1,0 P(K-C+1) d d C,1 C-1,1 d d C-1,2 p(K-C+3) d R,2 d R-1,2 R-2,2 p(K-R+3) P(K-R+4) d Eqn 14 d d d 0,E d Layer E Layer 2 p(K-C+2) d d R,0 p(K-R) d R,1 R-1,1 p(K-R+2) d d Layer 1 d Eqn 8 Layer 0

Eqn 11

p(E-1)

p(E+1)

Eqn 12

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Remaining state 1. These states do not require the use of extra cards to satisfy the demand. The general rate balance equation for these states is d PK,E,R,C i, x P minK i 1, KPK,E,R,C i 1, x where i K x, . . . , R 1, x 0. Remaining state 2. These are the states in which extra cards are either released or captured based on the constraints. The general rate balance equation for these states is d PK,E,R,C i, x P minK x i 1, K xPK,E,R,C i 1, x

KX x 1 jmaxi1,c K 1 X jmaxi1, C

d PK,E,R,C j, x 1,

10

d PK,E,R,C j, x 1

K x X smaxi1,c

d PK,E,R,C s, x,

11

where i K x, . . . , R, x 1, 2, . . . , E 1. Remaining state 3. Being a part of the last layer these states cannot have inflow from an upper layer. The general rate balance equation for these states is d PK,E,R,C i, x P minK x i 1, K x PK,E,R,C i 1, x where i K x, . . . , R, x E. Remaining state 4. In these states, even though the release threshold is reached, the extra card cannot be released due to non-availability. The general rate balance equation for these states is d PK,E,R,C i, x P minK x i 1, K xPK,E,R,C i 1, x

K E X jC R X lmaxRE,i1 K E X jmaxi1,C

d PK,E,R,C j, x,

12

d PK,E,R,C j, x

d PK,E,R,C l, x 1,

13

where i R 1, . . . , R E 1, x E. Remaining state 5. These states are similar to remaining state 2 except that the states receive inflow from a lower layer (x 1). The general rate balance equation for these states is d PK,E,R,C i, x P minK x i 1, K xPK,E,R,C i 1, x

KX x 1 j C K x X vc R X imaxRx1,i1

d PK,E,R,C j, x 1

d PK,E,R,C v, x

R X WmaxRx,i1

d PK,E,R,C i, x

d PK,E,R,C w, x 1, 14

where i R 1, . . . , R x 1, x 1, . . . , E 1.

International Journal of Production Research The normalising equation for these rate balance equations is

E K x X X x0 i1

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PK,E,R,C i, x 1:

15

Here the multi-stage kanban system is optimised by choosing the parameters K, E, R and C that minimise the long-term average costs associated with backordered demands and inventories, both WIP and finished goods. It is often assumed that there is a given cost for holding a WIP or finished inventory unit. In many situations, the same assumption is valid for each unit of backordered demand. Therefore, the optimisation problem is to find the parameters K, E, R and C such that the objective function Z(K, E, R, C) inventory b B(K, E, R, C) is minimised. Here inventory WIP finished goods inventory. Let PK,E,R,C(i,x) be the probability of the system being in state (i,x). Finished goods exist in queue P only if i is greater than zero. Therefore, for the system with K cards, E additional cards, and thresholds R and C, the expected finished goods inventory is IK,E,R,C

E K x X X x0 i1

iPK,E,R,C i, x:

16

WIP is the amount of semi-finished products in the MP. A semi-finished product is either being processed or is waiting for the next processing operation. If the number of parts in queue P is below zero, i.e. when there is no finished part in queue P, then there should be K x parts in process at the MP. Therefore, when the number of parts in queue P is below zero (i50), then the WIP is WIPK,E,R,C

E X 1 X x0 i1

K xPK,E,R,C i, x:

17

When there are i (i40) parts in queue P, then there should be (k i x) parts in the process at the MP. Therefore, when the number of parts in queue P is greater than zero (i40), then the WIP is ! E K x X X WIPK,E,R,C K i x PK,E,R,C i, x : 18

x 0 i0

E K x X X x0 i0

K i xPK,E,R,C i, x

1 X i 1

! K xPK,E,R,C i, x : 19

A backlog exists when i is below zero (i50). The expected backlog is BK,E,R,C

E X 1 X x0 i1

iPK,E,R,C i, x:

20

Here, the objective is to minimise the cost associated with the backorder and the inventory. Therefore, the objective function is Minimise ZK,E,R,C IK,E,R,C WIPK,E,R,C b BK,E,R,C , with K, E, R and C as decision variables based on the constraints C K,E,R,C40. 21

K 1, R5C and

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4. The multi-stage kanban system The multi-stage manufacturing system is decomposed into stages and the stages are in a tandem configuration. Each stage is controlled by a kanban mechanism. Thus the parameters of the control policy are the number of kanbans for each stage. Therefore, once the system has been decomposed into stages, the design of the kanban control system is reduced to setting the number of kanbans for each stage. These parameters play an important role in the efficiency of the kanban control system. Bruno et al. (2001) presented an analytical method for analysing a multi-class queuing network in which each kanban loop is represented by a class of customers. Di mascalo et al. (1996) also presented an analytical method to handle manufacturing stages consisting of any number of machines. Huang et al. (1983) carried out an extensive simulation study to determine the effects of service and production time at every stage. Mitra and Mitrani (1990, 1991) constructed a stochastic model for a manufacturing facility and analysed the performance of the traditional kanban system in all stages.

4.1 The multi-stage traditional kanban system (MTKS) As shown in Figure 2, there are N such stages numbered 1, 2, 3, . . . , N. Ahead of the initial stage (1) there is an infinite supply of raw parts, while at the final stage (N) there is a continuous demand for finished products. The raw parts for stage j are the completed parts

MANUFACTURING NODE

MANUFACTURING NODE

mj-1

mj

BULLETIN BOARD

OUTPUT HOPPER

BULLETIN BOARD

OUTPUT HOPPER

KJ CARDS STAGE J

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of stage j 1 ( j 2, . . . , N). In stage j, there is a fixed number, Kj, of cards, or kanbans (Kj ! 1). A part must acquire one of these cards in order to enter the stage. Thus, the inventory in stage j (the total number of raw and completed parts) can never exceed Kj. Any unattached cards that are present in the stage are to be found on the bulletin board and are considered as requests for raw parts. Let Q be a part that has just completed service at the manufacturing node in stage j 1, and O be the card attached to it. Q and O move to the output hopper of stage j 1. There are two possible courses of action, depending on the state of the bulletin board in stage j. (a) If that board is empty, then Q and O wait at the output hopper of stage j 1. (b) If the board is not empty, then the following moves occur immediately. Q is transferred from stage j 1 to stage j, where it is attached to the leading card and moves to the manufacturing node. O goes to the bulletin board of stage j 1. Some implications of the above rules are worth pointing out. One of these is that it is impossible for the bulletin board in stage j and the output hopper in stage j 1 to be nonempty simultaneously. In particular, since the pool of raw parts preceding stage 1 is never empty, the bulletin board in stage 1 is always empty. As soon as a card appears there requesting input, that request is satisfied and a new part enters the stage. Similarly, since the pool of demands following stage N is never empty, the output hopper in stage N is always empty. As soon as a part is completed, it is removed from the stage. Hence, the bulletin board in stage 1 and output hopper of stage N are superfluous and their elimination does not affect operation. Another consequence of the scheduling rules is that a service completion event in one stage can trigger several simultaneous moves in the preceding stage. For instance, in the situation illustrated in Figure 2, the arrival of a card into the bulletin board of stage j 1 would cause a departure of a part from stage j, freeing a card in that stage, which in turn enables a part to move out of stage j 1. 4.1.1 The multi-stage traditional kanban system model Here we assume that the manufacturing system is decomposed into stages and in each stage there are c parallel servers. The stages are in tandem configuration. Therefore, in the long run, the throughputs of the stages are equal (Mitra and Mitrani 1991). We also assume that there is an infinite supply of raw parts at initial stage 1 and continuous demand at stage N. The service time is exponentially distributed and demand follows a Poisson distribution. To maintain a steady-state the average arrival rate of demand must be less than the throughput or production capacity of the system, i.e. (d/P(K))51. The mean service time per machine for stage 1 and the mean demand rate of stage N are known. 4.1.1.1 Calculation of throughput and average production capacity per machine in each stage. Since the stages of the system are in tandem the throughput of stages are equal, P K1 P K2 P K3 . The throughput of stage 1 throughput of stage 2 throughput of stage N. (i) Using Equation (1) the throughput for stage 1 is K1 1 , K1 5c1 , : P K1 c1 1 , K1 ! c1

22

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(ii) For the subsequent stages ( j 2, 3, . . . , N) we can compute the average production capacity per machine or average service rate per machine mj based on Kj and cj throughput=Kj , Kj 5cj , j 23 throughput=cj , Kj ! cj : 4.1.1.2 Calculation of the mean demand rate. In the long run the number of parts in the output buffer of stage N is KN. When the mean demand arrives in stage j, this demand is satisfied and cards are sent to the bulletin board of stage j. The numbers of cards are the mean demand rate for the j 1 stage. For stage N, the demand rate is the actual arrival rate of the customer dN d : 24 If the number of demand arrivals is less than the number of kanban cards in circulation, then the number of cards sent to the bulletin board depends on the demand arrival rate, otherwise it depends on the number of cards in circulation. Here, the number of cards in the bulletin board is based on the demand arrival rate or number of cards in circulation of that stage. The number of cards in the bulletin board of stage j min{dj, Kj} dj1 minfdj , Kj g, where j 1, 2, 3, . . . , N 1. 4.1.1.3 Objective function. After calculating the mean demand rate and production capacity of each stage, the objective function value of each stage can be computed using Equation (6). The overall objective function value of a multi-stage system is obtained by the summation of the Z stages as given below, which should be minimised: Zmult Z1 Z2 ZN : 26 25

4.1.2 Algorithm for the design of MTKS Algorithm for the design of MTKS Step 0: Input N: cj : bj : 1 : dN : Initialise Zj : Zopt : K ( j) : tc : Zmin(tc 1) value of objective function at stage j 0 optimum Z 0 number of cards at stage j 0 total number of cards N M (M is a large ve value) number of stages number of machines in stage j cost ratio of stage j mean production rate/machine of stage 1 mean demand arrival rate of stage N

International Journal of Production Research { for ( j2 1; j2 tc ( j1 (N 2)); j2) { : for ( jN 1; jN tc ( j1 j2 jN1); jN) { K(1) j1; K(2) j2; : K(N) jN; Step 2: Compute dj and mj for each stage Step 3: Compute Zj for each stage Step 4: Compute Zmult Step 5: If Zmin(tc)4Zmult Zmin(tc) Zmult } : } } Step 6: If Zmin(tc)5Zmin(tc 1), let tc tc go to step 1 Else Zopt Zmin tc 1 Step 7: The optimum card settings in stages 1, . . . , N are K(1), . . . , K(N).

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4.2 The multi-stage adaptive kanban system (MAKS) A systematic representation of a multi-stage adaptive kanban system is given in Figure 3. The raw material enters stage 1, is processed through subsequent stages and the finished product is delivered in stage N. The analysis and computation of the objective function values are similar to MTKS as explained in Section 4.1.1. The difference lies in the operations as given below. When a demand arrives it is satisfied at stage N from the output hopper. The information to initiate production in the downstream stages is generated based on the kanban cards at each stage. At any given stage there are Kj fixed cards and E extra cards are provided. Rj and Cj are the release threshold and capture threshold, respectively, for stage j. The operation of these threshold values is similar to the explanation given for the single-stage adaptive kanban system (AKS). Since the value over all Z depends upon the values of K, E, R and C at the stages, it was decided to employ a search heuristic.

4.2.1 Calculation of throughput and production capacity per machine in each stage Since the stages are in tandem, the throughputs of all stages are equal. The throughput of stage 1 throughput of stage 2 throughput of stage N.

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N(t) C & X(t) < E

CUSTOMER DEMAND

P NO OUTPUT HOPPER D MP

NO

MP

OUTPUT HOPPER

N(t) R & X(t) >0

NO

NO

STAGE j-1

STAGE j

International Journal of Production Research (i) Using Equation (1) the throughput for stage 1 is K1 E1 1 , K1 E1 5c1 , P K1 E1 c 1 1 , K1 E1 ! c1 :

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27

(ii) For the subsequent stages ( j 2, 3, . . . , N) the value j based on Kj and Cj is throughput=Kj Ej , Kj Ej 5cj , j 28 throughput=cj , Kj Ej ! cj : 4.2.2 Calculation of the mean demand rate In the long run the number of parts in the output buffer of stage N is KN x. This number of parts is based on the mean demand rate, where x is the number of extra cards in circulation. When the mean demand arrives at stage j, this demand is satisfied and cards are sent to the bulletin board of stage j. The number of cards is the mean demand rate for stage j 1. For stage N, the demand rate is the actual arrival rate of the customer dN d : 29

If the number of demand arrivals is less than the number of kanban cards in circulation, then the number of cards sent to the bulletin board depends on the demand arrival rate, otherwise it depends on the number of cards in circulation. Here, the number of cards in the bulletin board is based on the demand arrival rate of that stage. The number of cards in the bulletin board of stage j min{dj, Kj xj} dj1 minfdj , Kj xj g, where j 1, 2, 3, . . . , N 1. 4.2.3 Objective function After calculating the mean demand rate and production capacity of each stage, the objective function value of each stage can be computed using Equation (21). The overall objective function value of the MAKS is similar to the MTKS given by Equation (26). 30

5. Design of the MAKS The design of the MAKS requires the determination of the number of cards (K), the number of extra cards (E), the release threshold (R) and the capture threshold (C) for each stage. Tardif and Maaseidvaag proposed a local search method (LSM) to determine the optimal parameters for K, E, R and C for a single stage. In that search method, E, R and C were held constant (initially E 1, R 2, C 3) and the value of K was varied. The value of K that gave the best Z value was determined. Fixing K at that level, another parameter was varied. For a multi-stage system, this process is repeated for all stages. This method is not computationally efficient and also has the possibility of becoming trapped in local minima. Hence, it was decided to use meta-heuristics, namely GA and SA, to study the performance of the system and also to determine the near-global optimal solution.

A genetic algorithm is an adaptive procedure that finds solutions to problems by an evolutionary process based on natural selection and genetics (Pirlot 1996). It works with a population of solutions and attempts to guide the search towards improvement, using a survival-of-the-fittest principle (Dowsland 1996). The application of a GA to a kanban system is reported by Kochel and Nielander (2002). They showed that their approach outperforms the heuristic methods of Mitra and Mitrani (1991) and Wang and Wang (1990, 1991). Shahabudeen and Krishnaiah (1999) used a GA to set the number of kanbans at each station and the lot size. A simulation model with a single-card system was designed and used for analysis. Paris et al. (2001) proposed a simulation model with a GA to optimise the design options of manufacturing systems. These design options include type of material handling (automated guided vehicles versus conveyor belts), the buffer stock (kanban versus CONWIP), etc. In addition, the authors used a tree structure chromosome to represent this multilevel structure. Reproduction, crossover and mutation are the operators employed in a GA. 5.1.1 GA for MAKS The details of the GA parameters with respect to MAKS, such as chromosome design, crossover operator and mutation operator, are given below. 5.1.1.1 Chromosome. In this work the chromosome consists of four genes (Kj, Ej, Rj, Cj) representing the number of kanban cards, the number of extra cards, the release threshold, and the capture threshold, respectively, for stage j.

K1 12 E1 19 R1 5 C1 11 K2 12 E2 15 R2 5 C2 12 K3 14 E3 11 R3 8 C3 11

5.1.1.2 The initial population. The population size of the GA should be large enough to adequately cover the solution space without incurring excessive computational effort. Many authors (Reeves 1993, Sadegheih 2006) suggest that a population size as small as 30 is sufficient to produce satisfactory results. Hence, in this work, a population size of 30 was considered. The initial population is generated randomly subject to constraints in each stage: Cj Kj 1, Rj5Cj and Rj40, where j 1, 2, . . . , N stages. 5.1.1.3 Fitness value. Since in this paper the objective is to minimise the cost as given by Equation (24), the fitness function f is obtained using the following transformation: f 1=1 Zmult :

5.1.1.4 Steps to determine the fitness value. Step 1: Find the processing rate P n of stage j. Step 2: Find the total number of elements (or) states in the process (U).

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Form the rate balance equation (VP) for each state based on the general equation and represent it in the form of a matrix. In matrix notation, the rate balance equations VP B, where 9 8 V1,1 V1,2 V1,U1 > > > > > > > = < V2,1 V2,2 V2,U1 > , V Vij . . . > > . . . > > . . > >. > > ; : 1 1 1 where i 1, 2, . . . , U 1 and j 1, 2, . . . ,U 1. The entries V00, V01, etc. of matrix V are computed using the rate balance equation. P is a column matrix representing state probability P(i, x). 2 3 0 607 6 7 7: B6 6. 7 .5 4. 1

Step 4:

Find the probability of each state. To find the probability, multiply each side of the equation VP B by the inverse matrix of V, i.e. [V]1[V][P] [V]1BI[P] [V]1 B.

Step 5: Using the state probability values, compute the finished goods inventory, the expected WIP and back log using Equations (16), (19), and (20). Step 6: Find the objective function Z using Equation (21) of stage j. Step 7: Repeat the above procedure for the other stages. Step 8: Compute the objective function Zmult. Step 9: Transform the objective value into fitness value f. The initial population generated and the fitness value computed are shown in Table 1. 5.1.1.5 Reproduction (or) selection. Rank order selection is used for regeneration (Saravanan et al. 2003). Table 2 shows the rank order selection procedure and Table 3 shows the chromosomes after regeneration. 5.1.1.6 Crossover. Single-point crossover with a probability (PC) of 0.7 is used. In the single-point crossover method, the crossover is performed by randomly choosing a cross site along the chromosome and by exchanging all the genes to the right of the crossover site in each stage, as illustrated below. Consider parents 1 and 2 as follows:

Stage 1 Parent 1 Parent 2 12 13 19 9 5 8 11 13 12 11 Stage 2 15 6 5 1 12 2 14 12 Stage 3 11 14 8 1 11 3

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Chromosome in stage 1 S.No 1 2 3 4 5 6 7 8 9 10 K1 7 13 13 7 12 13 7 10 5 14 E1 10 2 11 10 19 9 13 8 10 9 R1 6 3 1 6 5 8 4 1 4 13 C1 7 5 4 7 11 13 7 7 5 14 K2 10 11 10 14 12 9 5 7 6 13 Chromosome in stage 2 E2 9 13 14 5 15 6 10 1 16 10 R2 1 3 1 5 5 1 3 6 3 1 C2 3 7 2 6 12 2 5 7 7 10 K3 9 12 8 6 14 12 14 10 5 14 Chromosome in stage 3 E3 5 13 6 1 11 14 8 11 13 5 R3 4 4 1 5 8 1 2 1 4 10 C3 5 5 2 6 11 3 6 2 5 13 Z1 14.15 13.82 13.85 14.15 14.49 15.60 16.98 17.42 23.38 18.40 Z2 18.72 14.42 18.85 14.43 14.08 26.35 39.30 16.84 25.80 13.82 Z3 16.79 13.45 36.76 28.98 15.2 13.38 14.27 17.00 30.78 15.72 Ztot 49.66 41.69 69.46 57.49 43.87 55.33 70.56 51.55 79.96 47.95 Fitness value 0.019739 0.023425 0.014192 0.017097 0.022287 0.017753 0.013974 0.019029 0.012352 0.020429

Chromosome in stage 1 Sorted S. No fitness 1 2 3 4 5 6 7 8 9 10 0.01235 0.01397 0.01419 0.01709 0.01775 0.01902 0.01973 0.02042 0.02228 0.02342 K1 5 7 13 7 13 10 7 14 12 13 E1 10 13 11 10 9 8 10 9 19 2 R1 4 4 1 6 8 1 6 13 5 3 C1 5 7 4 7 13 7 7 14 11 5 Chromosome in stage 2 K2 6 5 10 14 11 7 10 13 12 11 E2 16 10 14 5 6 1 9 10 15 13 R2 3 3 1 5 1 6 1 1 5 3 C2 7 5 2 6 2 7 3 10 12 7 Chromosome in stage 3 K3 5 14 8 6 12 10 9 14 14 12 E3 13 8 6 1 14 11 5 5 11 13 R3 4 2 1 5 1 1 4 10 8 4 Prob. Cum. C3 Rank selection prob 5 6 2 6 3 2 5 13 11 5 1 2 3 4 5 6 7 8 9 10 0.0268 0.0429 0.0453 0.0824 0.0919 0.1110 0.1220 0.1328 0.1629 0.1818 0.0268 0.0697 0.1150 0.1974 0.2893 0.4003 0.5223 0.6551 0.8180 1 Range 0267 268696 6971149 11491973 19742892 28934002 40025222 52226550 65518179 81809999

Chromosome in stage 1 S. No 1 2 3 4 5 6 7 8 9 10 Random number 2001 1129 4501 9555 8025 9765 1132 4555 2007 8020 K1 13 13 7 13 12 13 13 7 13 12 E1 9 11 10 2 19 2 11 10 9 19 R1 8 1 6 3 5 3 1 6 8 5 C1 13 4 7 5 11 5 4 7 13 11 K2 11 10 10 11 12 11 10 10 11 12 Chromosome in stage 2 E2 6 14 9 13 15 13 14 9 6 15 R2 1 1 1 3 5 3 1 1 1 5 C2 2 2 3 7 12 7 2 3 2 12 K3 12 8 9 12 14 12 8 9 12 14 Chromosome in stage 3 E3 14 6 5 13 11 13 6 5 14 11 R3 1 1 4 4 8 4 1 4 1 8 C3 3 2 5 5 11 5 2 5 3 11

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Let the randomly generated crossover site be 2 for stage 1. Let the randomly generated crossover site be 2 for stage 2. Let the randomly generated crossover site be 1 for stage 3. The offspring after the cross over operation are

Stage 1 Parent 1 Parent 2 12 13 19 9 8 5 13 11 12 11 Stage 2 15 6 1 5 2 12 14 12 Stage 3 14 11 1 8 3 11

After every crossover the offspring are checked for the feasibility of the relationship between K, R, E and C in each stage. If the offspring are found to be infeasible, crossover is repeated. 5.1.1.7 Mutation. Here, order-based shift mutation (Sadegheih 2006) with a probability (Pm) of 0.05 is used. In this method, two randomly selected genes mutually exchange their positions in the chromosome as shown below.

Stage 1 Before mutation Genes selected After mutation 10 11 14 14 5 5 11 10 14 14 Stage 2 15 12 5 5 12 15 10 10 Stage 3 2 3 3 2 11 11

This gives random movement above the search space, thus preventing the GA becoming trapped in blind corners. This order-based shift mutation generally works better than onepoint mutation. As in the case of crossover, after mutation the offspring are checked for the feasibility of the relationship between K, R, E and C in each stage. If the offspring are found to be infeasible, mutation is repeated. 5.1.1.8 Generation. The above steps complete one generation of the GA and the current best value of f and the corresponding chromosome are recorded. The above steps are repeated for 100 generations. However, to prevent the GA from searching local optima, a saturation operator is used to monitor the similarity of the chromosomes every 25th generation. If there is no improvement in the best fitness value, there is the possibility of the search becoming trapped in local optima. In such a situation, the mutation rate is increased (0.05 to 0.08, 0.15) in order to release the search from the local search space. Convergence of the GA solution is shown in Figure 4.

5.2 Simulated annealing Simulated annealing is a global search method. The simulated annealing approach attempts to avoid entrapment in a local optimum by accepting a move that deteriorates the objective value with a certain probability. It has been used successfully for various combinatorial problems (Johnson et al. 1991). Shahabudeen et al. (2002) used SA to set the number of kanbans at each station for a multi-product system with dynamic demand variation. A simulation model with a single card system was designed and used for analysis. Mohamed and Talal (2002) developed SA for solving discrete stochastic optimisation problems. John and Cathal (2004) compared two different production inventory policies (hybrid push/pull and CONWIP/pull) using SA.

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0.071 0.07 0.069 0.068 0.067 0.066 0.065 0.064 0.063 0.062 0.061 1 3

Fitness

9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 Generation

5.2.1 The SA-based MAKS model The features of the simulated annealing based model for the design of MAKS are as follows. The initial temperature (Ti), cooling factor () and the final temperature (Tf) are set as 10, 0.98 and 0.1, respectively, by conducting a pilot study. Step 1: Set the initial temperature (Ti) 10, cooling ratio () 0.98, final temperature (Tf) 0.1. Step 2: Generate a random initial solution for all stages S01 , S02 , . . . , S0N T Ti : Step 3: Compute Z01, Z02, . . . , Z0N for each stage and compute Zmult. Set Z0 Zmult. Z Z0 and

S 1 S01 , S2 S02 , S3 S03 , . . . , SN S0N :

Step 4: Use the perturbation algorithm to find the neighbourhood solution S1, S2, S3, . . . , SN for each stage. 4.1. Select the parameter to be modified (K, E, R or C). 4.2. Neighbourhood for S01, S02, . . . , S0N. 4.2.1. 4.2.1. Increase or decrease the selected parameter subject to the conditions R5C and C K. Set the neighbourhood solution vector (S1, S2, . . . , SN).

Step 5: Determine the neighbourhood objective function Z1, Z2, . . . , ZN of the corresponding neighbourhood solution S1, S2, S3, . . . , SN. Compute Zmult. Step 6: Compute E Zmult Z0. Step 7: If (E 0) and r

S 1 S1 , S2 S2 , S3 S3 , S4 S4

0.029 0.0285 0.028 Objective funtion 0.0275 0.027 0.0265 0.026 0.0255 0.025 0.0245 1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 Iteration

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else goto step 9. Step 8: Set S01 S1, S02 S2, . . . , S0N SN, Z0 Zmult. Step 9: The temperature is reduced to T T. If Tf5T go to step 4.

Step 10: Final temperature reached. Report S 1 , S2 , S3 , . . . , SN and Z. Stop. The convergence of the SA solution is given in Figure 5.

5.2.2 Numerical illustration of SA Step 1: Set the initial temperature (Ti) 10, cooling ratio () 0.98, final temperature (Tf) 0.1. Step 2: Generate random initial solution in all stages S01 fK 3, E 4, R 1, C 2g, S02 fK 2, E 1, R 1, C 2g, S03 fK 3, E 4, R 1, C 2g, S0N S04 fK 2, E 1, R 1, C 2g: T Ti : Step 3: Compute Z01 3:79 Z02 2:63 Z03 3:95 Z04 2:75 Zmult 13:11 Set Z0 Zmult : Z Z0 and

S 1 S01 , S2 S02 , S3 S03 , . . . , SN S0N :

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Step 4: Using the perturbation algorithm, find the neighbourhood solution S1, S2, S3, . . . , SN for each stage. 4.1 Select the parameter to be modified for solution S01, S02, S03, . . . , S0Nin each stage (i) For S01, Let r 0.12. Since r (0.23) lies in the range 0.000.25, parameter K isselected for modification. (ii) For S02, Let r 0.84. Since r (0.84) lies in the range 0.751.00, parameter C isselected for modification. (iii) For S03, Let r 0.48. Since r (0.48) lies in the range 0.250.50, parameter E isselected for modification. (iv) For S04, Let r 0.39. Since r (0.39) lies in the range 0.250.50, parameter E isselected for modification. Neighbourhood for S01, S02, . . . , S0N. For S01, Let r 0.39. Since r50.5, increment the selected parameter K subject to the condition R5C and C K. Hence the neighbourhood solution vector (S1){4,4,1,2} (ii) For S02, Let r 0.39. Since r50.5, increment the selected parameter C subject to the condition R5C and C K. Hence the neighbourhood solution vector (S2){2,1,1,3} (iii) For S03, Let r 0.93. Since r40.5, decrement the selected parameter E subject to the condition R5C and C K. Hence the neighbourhood solution vector (S3){3,3,1,2} (iv) For S04, Let r 0.39. Since r50.5, increment the selected parameter E subject to the condition R5C and C K. Hence the neighbourhood solution vector (S4){2,2,1,2} Step 5: The neighbourhood objective function Z1 4:23, Z2 2:52, Z3 3:47, Z4 2:86 of the corresponding neighbourhood solution S1, S2, S3, S4. Zmult 13.08. Step 6: Compute E Zmult Z0 13.0813.11 0.03. Step 7: If (E 0)

and S 1 S1 , S2 S2 , S3 S3 , S4 S4 :

4.2

(i)

International Journal of Production Research Step 9: The temperature is reduced to T T 10 0.98 9.8. Here Tf5T go to step 4. Repeat steps 4 through 9 until the final temperature is reached. Report S 1 , S2 , S3 , S4 and Z. Stop.

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6. Numerical experiments and results The algorithm was implemented using MATLAB and tested with several examples, by varying the number of stages, demand rate and the service rate of the manufacturing process. Case 1: The kanban system is composed of thee stages in tandem configuration (Figure 6). The demand follows a Poisson process with d 8. The throughputs of the stages are equal. Each stage contains one workstation. Each WS contains 10 parallel machines. The mean service time per machine for the WS in stage 1 is exponentially distributed with mean 0.6. Therefore, the service rate is 1.6667(1/0.6). The expected throughput rate of the WS1 is given by P n n=0:6, 10=0:6, n < 10, n ! 10:

The back order penalty cost ratios are 500, 800 and 1000 for stages 1, 2 and 3, respectively P1 P2 P3 : The details of other cases used for the numerical experiment are given in Table 4.

6.1 Results and discussion In order to compare the performance of the MAKS, the performance measures of the MTKS are computed. The use of SA in the design of the MAKS is compared with the results of MTKS under the following two categories: objective function value (Zmult), and number of cards used. The results obtained for the MTKS are given in Table 5, the results obtained for the MAKS using GA are given in Table 6, and the results obtained for the MAKS using SA are given in Table 7.

Stage 1

Stage 2

Stage 3

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Table 4. Data used for the numerical experiments. Cost ratio in stage 1 2 3 4 5 6 7 8 9 10 1 2 3 4 No. of. m/cs in stage 5 6 7 8 9 10

Case No.

1 2 3 4 5 6 7 8 9 10 11 12 13 80 90 80 80 80 80 80 90 90 90 90 100 100 100 110 110 100 120 100 100 100 100

3 3 3 3 3 3 4 4 6 4 7 8 10

1.667 1.667 1.25 1.25 6.66 2.22 0.2 0.2 1.43 6.66 1.43 1.49 6.66

8 8 5 5 50 60 0.2 0.2 6 50 6 7 10

10 11 7 10 10 30 10 9 11 10 11 11 11

10 10 9 9 10 40 15 7 10 10 10 10 11

10 9 10 7 10 45 15 9 9 10 9 9 10

10 9 7 10 7 9 10

7 7 9 10 9 9 10 9 9 10 9 10

10

10

Case

1 2 3 4 5 6 7 8 9 10 11 12 13 4 2 1 1 4 1 1 3 4 2 1 5.16 2.67 1.36 1.05 8.84 5.52 2.69 1.06 2.76 2.86 2.48 24.22 1.34 1.32 1.05

13 13 14 11 10 30 6 6 11 10 11 11 6

14 12 16 11 3 37 2 2 1 1 1 1 1

14 12 17 10 19 53 2 2 1 3 1 1 1

2 2 1 20 1 1 1

1 1 1

15.11 13.84 17.97 12.09 4.47 66.67 2.57 2.67 1.26 1.13 1.26 1.24 1.04

15.38 13.37 19.06 11.15 23.92 160.79 2.67 2.76 1.30 5.10 1.30 1.28 1.05

13.79 1.06

1.61

4.48

44.92 41.00 52.86 35.41 38.39 257.57 14.01 14.29 30.06 40.45 32.42 38.06 19.47

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Table 6. Results obtained for the MAKS using the GA. Z value in stage 7 11.81 12.90 13.33 12.03 15.83 15.64 11.62 10.16 8.00 28.49 34.66 118.0 3.79 3.87 2,1, 3,1, 2,3 3,4 6.88 4.75 4.77 2.20 6.67 2.24 1.75 2.24 2.18 1.57 2.69 2.75 2.35 2.63 3.95 2.75 2.81 3.89 4.64 9.15 5.39 21.63 2.35 2.27 1.58 2.46 2.57 4.46 12.81 2.37 2.47 4.18 1.58 1.59 1.60 4.74 14.35 1.61 1.60 1.89 3.96 4.99 23.95 11.27 16.21 11.35 16.21 8 9 10 1 2 3 4 5 6 7 8 9 10 Zmul 40.93 36.70 47.70 33.04 36.94 181.2 13.14 12.14 28.97 35.65 31.80 37.36 19.18

Case

10

11

12

15,15, 15,16 3,4, 1,2 3,4, 1,2 6,5, 4,5 6,4, 6,7 2,9, 2,3 4,11,2,3 1,1, 1,2 1,1, 1,2 1,1, 1,2 3,1, 3,4 1,1, 1,1, 3,1, 1,2 1,2 3,4 1,1, 1,2 1,1, 1,2 1,1, 1,2 2,1, 2,3 2,1, 2,3 1,1, 1,2

13

1,7, 1,2

18,17, 18,19 2,1, 1,2 2,1, 1,2 1,1, 1,2 1,1, 1,2 1,1, 1,2 1,1, 1,2 1,1, 1,2

8,1, 8,9 9,1, 9,10 14,1, 14,15 10,4, 4,10 19,1, 1,2 30,10, 30,31 3,4, 1,2 2,1, 1,2 1,1, 1,2 4,1, 4,5 1,1, 1,2 1,1, 1,2 1,1, 1,2

2,1, 1,2 2,1, 1,2 1,1, 1,2 19,1, 19,20 1,1, 1,2 1,1, 1,2 1,1, 1,2

Table 7. Results obtained for the MAKS using SA. Z value in stage 8 11.81 12.38 11.31 11.49 14.30 15.64 10.20 10.16 7.00 28.49 34.18 103.3 3.79 3.87 2,1, 3,1, 2,3 3,4 2.20 3.1,3,4 4.75 4.14 1.99 6.04 2.24 1.60 2.24 2.18 1.54 2.69 2.75 2.35 2.63 2.69 2.76 2.81 3.89 4.64 9.15 5.43 21.62 2.35 2.27 1.54 2.46 4.18 4.86 9.68 2.37 2.47 4.18 4.74 14.35 1.55 1.55 1.56 1.56 1.56 1.71 3.73 4.91 21.42 10.60 16.01 11.35 12.73 9 10 1 2 3 4 5 6 7 8 9 10 Zmul 36.70 47.70 33.04 36.94 181.2 13.14 12.14 28.97 40.93 30.85 30.52 36.70 18.31

Case

10

11

12

13

9,1, 9,10 10,1, 10,11 12,1, 12,13 9,1, 9,10 7,3, 1,2 15,15, 15,16 3,4, 1,2 3,4, 1,2 6,5, 1,2 1,9, 1,2 2,9, 2,3 3,10, 1,2 1,15, 1,2 1,1, 1,2 1,1, 1,2 1,1, 1,2 2,1, 2,3 1,1, 1,2 3,1, 3,4 1,1, 1,1, 3,1, 1,2 1,2 3,4 2,1, 2,3 1,1, 1,2 1,1, 1,2

10,1, 10,11 8,1, 8,9 13,1, 13,14 8,1, 8,9 3,1, 3,4 18,17, 18,19 2,1, 1,2 2,1, 1,2 1,1, 1,2 1,1, 1,2 1,1, 1,2 1,1, 1,2 1,1, 1,2

10,1, 10,11 9,1, 9,10 13,1, 13,14 9,2, 5,6 19,1, 19,20 30,8, 30,31 2,1, 1,2 2,1, 1,2 1,1, 1,2 2,1, 2,3 1,1, 1,2 1,1, 1,2 1,1, 1,2

2,1, 1,2 2,1, 1,2 1,1, 1,2 19,1, 19,20 1,1, 1,2 1,1, 1,2 1,1, 1,2

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6.1.1 Objective function value The objective of the model is to minimise the cost. The improvement in the Zmult value using SA for the MAKS is compared with that of MTKS. Case 1: MTKS: for this case we start with tc 15. Since for K1, K2, K355, (d/P(Ki))41, we obtain Zmin tc 15 1:0e 004 for K1 5, K2 5, K3 5, : Zmin tc 36 50:60 : Zmin tc 39 46:62 Zmin tc 40 45:12 Zmin tc 41 44:92 Zmin tc 42 45:57 Zmin tc 43 46:12 : Since Zmin(tc 42) is larger than Zmin(tc 41), stop. The optimal number of cards in the system is Zmin(tc 41). The optimal number of kanbans in MTKS is K1 13, K2 14, K3 14 with Zmult 44.92. For the card setting suggested by GA for MAKS, the Zmult value obtained is 40.93. For the card setting suggested by SA for MAKS, the Zmult value obtained is 36.92. Hence, MAKS designed using GA gives an 8.89% improvement and SA gives 17.81 over the traditional system. Case 2: The optimal number of kanbans in MTKS is K1 13, K2 14, K3 14 with Zmult 41.007. For the card setting suggested by GA for MAKS, the Zmult value obtained is 36.70. For the card setting suggested by SA for MAKS, the Zmult value obtained is 34.15. Hence, MAKS designed using GA gives a 10.48% improvement and SA gives 16.70% over the traditional system. Case 3: The optimal number of kanbans in MTKS is K1 13, K2 14, K3 14 with Zmult 52.86. For the card setting suggested by GA for MAKS, the Zmult value obtained is 47.70. For the card setting suggested by SA for MAKS, the Zmult value obtained is 45.95. Hence, MAKS designed using GA gives a 9.77% improvement and SA gives 13.07% over the traditional system. Case 4: The optimal number of kanbans in MTKS is K1 13, K2 14, K3 14 with Zmult 35.41. For the card setting suggested by GA for MAKS, the Zmult value obtained is 33.04. For the cards setting suggested by SA for MAKS, the Zmult value obtained is 31.02. Hence, MAKS designed using GA gives a 6.72% improvement and SA gives 12.40% over the traditional system. Similar details for other cases are given in Table 8. The results are summarised in Tables 6 and 7 for MAKS using GA and SA and the results obtained for MTKS are given in Table 5. Table 8 gives the percentage of improvement in Zmult for MAKS over MTKS. Figure 7 shows a comparison of the Zmult for K1 12, K2 11, K3 13, for K1 13, K2 12, K3 14, for K1 13, K2 13, K3 14, for K1 13, K2 14, K3 14, for K1 13, K2 15, K3 14, for K1 13, K2 15, K3 15:

Table 8. Percentage improvement in the Z value for MAKS over MTKS. Zmult MAKS Case 1 2 3 4 5 6 7 8 9 10 11 12 13 Zmult MTKS 44.92 41.00 52.86 35.41 38.39 257.57 14.01 14.29 30.06 40.45 32.42 38.06 19.47 Using GA 40.93 36.70 47.70 33.04 36.94 181.22 13.14 12.14 28.97 35.65 31.80 37.36 19.18 Using SA 36.92 34.15 45.95 31.02 33.33 165.98 11.87 12.14 28.32 30.85 30.52 36.70 18.31 MTKS using GA 8.89 10.48 9.77 6.72 3.78 29.00 6.20 15.00 3.63 11.87 1.91 1.83 1.48 % improvement over MTKS using SA 17.81 16.70 13.07 12.40 13.18 35.55 15.27 15.00 5.79 23.73 5.86 3.57 5.96

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GA using SA in MAKS 9.79 6.94 3.66 6.11 9.77 8.40 9.67 2.24 13.4 4.03 1.77 4.54

300 250 Objective Function 200 150 100 50 0 1 2 3 4 5 6 7 Case 8 9 10 11 12 13 MTKS MAKS using GA MAKS using SA

value for all cases of MAKS using GA and SA with MTKS. Figure 8 gives the percentage improvement in the Zmult value using GA and SA in comparison with MTKS. 6.1.2 Cards used In MTKS, a fixed number of cards is used in each stage, whereas in MAKS the number of cards in use ranges from K to K E in each stage based on the demand rate and service rate. The details are shown in Tables 9 and 10. These tables give the number of cards used in each stage. Table 11 gives a comparison of the total cards used in MTKS and MAKS. Figure 9 provides a stage-wise comparison of the cards used. It is found that, in all cases,

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MAKS using GA MAKS using SA

11

13

Table 9 Number. of cards used in each stage for the MTKS and MAKS using the GA. MTKS cards used in stage 1 2 3 4 5 6 7 8 9 10 1 2 3 MAKS cards used in stage 4 5 6 7 8 9 10

1 2 3 4 5 6 7 8 9 10 11 12 13

13 13 14 11 10 30 6 6 11 10 11 11 6

14 12 16 11 3 37 2 2 1 1 1 1 1

14 12 17 10 19 53 2 2 2 2 1 1 2 4 3 20 1 1 1 2 4 1 1 1 1 2 4 1 1 1 1 1 1 1

9 10 14 8 8 15 3 3 6 6 2 4 3 1

the number of cards used in MTKS lies within the range of cards used in MAKS designed by GA and SA. For cases 1, 2, 3, 4 and 6 it is found that the maximum number of cards used in MAKS by SA itself is less than that of MTKS. In all cases the minimum number of cards used in MAKS designed by SA is less than that of MTKS. Hence, when using MAKS designed by SA, a better Zmult value is obtained using fewer cards in comparison with MTKS and MAKS designed by a GA.

7. Conclusion The traditional kanban uses a fixed number of cards. In an unstable environment the system with a fixed number of cards does not work satisfactorily. As an alternative, the

Min K Max K E Min K Max K E Min K Max K E Min K Max K E Min K Max K E Min K Max K E Min K Max K E Min K Max K E Min K Max K E Min K Max K E 10 16 22 13 10 30 7 7 11 10 11 15 8 9 9 13 8 3 18 2 2 1 1 1 1 1 10 10 14 9 4 35 3 3 2 2 2 2 2 8 9 14 10 19 30 3 2 1 4 1 1 1 9 10 15 14 20 40 7 3 2 5 2 2 2 2 2 1 19 1 1 1 3 3 2 20 2 2 2 2 3 3 4 1 2 1 2 2 3 1 2 1 2 2 3 3 4 1 2 1 2 1 2 1 2 1 2 3 4

Case

Table 10 Number. of cards used in each stage in the MTKS and MAKS using SA. MTKS cards used in stage 1 2 3 4 5 6 7 8 9 10 1 2 3 MAKS cards used in stage 4 5 6 7 8 9

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10

1 2 3 4 5 6 7 8 9 10 11 12 13

13 13 14 11 10 30 6 6 11 10 11 11 6

14 12 16 11 3 37 2 2 1 1 1 1 1

14 12 17 10 19 53 2 2 2 2 1 1 2 4 3 20 1 1 1 2 4 1 1 1 1 2 4 1 1 1 1 1 1 1

9 10 14 8 8 15 3 3 6 1 2 3 3 1

Table 11. Comparison of cards used. MAKS (GA) Cards used Case 1 2 3 4 5 6 7 8 9 10 11 12 13 MTKS Cards used 41 37 47 32 32 120 12 12 20 34 21 22 17 Min 26 28 41 26 30 63 10 9 14 30 9 14 12 Max 29 36 51 36 34 105 20 16 24 37 24 32 20 Average 27.5 32.0 46.0 31.0 32 84 15 12.5 19 33.5 16.5 23 16 Min 29 27 38 26 29 63 9 9 14 15 11 13 12 MAKS (SA) Cards used Max 32 30 41 30 34 103 16 16 24 35 26 30 28 Average 30.5 28.5 39.5 28 31.5 83 12.5 12.5 19 25 18.5 16.5 20

adaptive kanban system permits variation in the number of cards based on demand within a certain threshold value. In such an environment, it is required to estimate the limits of the variation of cards and the threshold values. In this paper we have modeled a multi-stage adaptive kanban system, with the objective of minimising the total cost associated with inventory and back orders. Using GA and SA the near-optimal values of

Min K Max K E Min K Max K E Min K Max K E Min K Max K E Min K Max K E Min K Max K E Min K Max K E Min K Max K E Min K Max K E Min K Max K E 10 16 22 13 10 30 7 7 11 10 11 13 16 9 9 13 8 3 18 2 2 1 1 1 1 1 10 10 14 9 4 35 3 3 2 2 2 2 2 8 9 14 10 19 30 3 2 1 2 1 1 1 9 10 15 14 20 40 7 3 2 3 2 2 2 2 2 1 19 1 1 1 3 3 2 20 2 2 2 2 3 3 4 1 2 2 3 3 4 1 2 1 2 2 3 3 4 1 2 1 2 1 2 1 2 1 2 3 4

Case

S1-Stage1

S2-Stage2

S3-Stage3

S4-Stage4

S5-Stage5

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the MAKS parameters are estimated. For the sake of comparison, a multi-stage traditional system has also been developed. The results are compared with the traditional kanban system and it is found that the Z value shows improvement by up to 35.55% when using the proposed model. Hence, it is concluded that MAKS gives a better performance than MTKS. It is found that a SA-based search provides a better value for the objective function when compared with the GA-based search. Hence, it is concluded that, in the design of MAKS, the use of SA is advantageous. The work could be extended further by including factors such as machine breakdowns, availability of operators, etc.

References

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