Optimizing Total Material Handling and Inventory Holding Cost to Obtain a Cyclic Condition Within Supply Parts to Assembly Lines Production (Study case : Automotive Industry)
Ayu Hapsari Umimaryam (a), Ari Yanuar Ridwan(b), Budi Santosa Chulasoh (c)
(a,b,c) School of System Engineering and Industrial Engineering Faculty, Telkom University, Bandung Indonesia
Abstract
A Pull-based, smooth, and repetitive production system can be supported by a lean logistics. Lean logistics itself has derived the importance of delivering parts in periodically. This paper is an implementing of a mathematical model and a heuristic approach from the previous research about supply system for parts into assembly lines. The supply system in this paper occurs on a just-in-time basis and determined for the design of internal milk-run parts supply system form a warehouse to several sub-stations where parts are colected to supply several stations. The most suitable solution is decided from the least material handling cost and WIP or inventory holding cost.
Keywords: Internal milk run; Inventory holding cost; Lean logistics; Material handling cost; Parts Supply System
Topic: Industrial Engineering