A stochastic programming model for aggregate production planning

This paper looks at a problem of production planning at the level of the work centre, rather than of the individual machine. The approach is based on methodology which combines aspects of decision analysis with mathematical programming procedures.A model is developed which can take into account various real life factors in the planning phase, including delaying production, and the probability of production being scrapped, or of extra work being required. An extension to the multiple objective situation is outlined, and some computational results are reported.