Abstract
The increased customization of products obliges many companies to adopt hybrid production strategy (HPS) combining make-to-stock (MTS) and make-to-order (MTO) products. Research for the order promising process in HPS is very scarce. This paper proposes a novel MILP model to support the process of committing orders including MTO and MTS products. With scarce availability of resources, companies may be interested in accepting only order proposals ensuring a minimum profit. For that, the model checks and synchronize three levels of availability to promise both type of MTS and MTO products: ATP (Available-To-Promise), CTP (Capable-To-Promise) and PTP (Profitable-To-Promise). The model validation demonstrates its usefulness in environments with tight supply and shortages.
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Esteso, A., Alemany, M.M.E., Ortiz, A., Cruz, S. (2024). Order Promising Process Optimization for Hybrid Production Strategy. In: Bautista-Valhondo, J., Mateo-Doll, M., Lusa, A., Pastor-Moreno, R. (eds) Proceedings of the 17th International Conference on Industrial Engineering and Industrial Management (ICIEIM) – XXVII Congreso de Ingeniería de Organización (CIO2023). CIO 2023. Lecture Notes on Data Engineering and Communications Technologies, vol 206. Springer, Cham. https://doi.org/10.1007/978-3-031-57996-7_12
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DOI: https://doi.org/10.1007/978-3-031-57996-7_12
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