IMPLEMENTING FLEXIBLE AUTOMATION - A MULTIPLE CRITERIA DECISION-MAKING APPROACH

This paper presents a multiple objective mixed integer linear programming model for the multiperiod flexible automation selection problem. The model includes five objectives, designed to address financial aspects, flexibility, firm disruption, and group homogeneity of new modules. The proposed model incorporates several types of flexibility. An interactive multiple criteria solution procedure is used to obtain an approximate optimal solution, based on a decision maker's implicit and unknown value function. The solution provides schedule for replacement of current machines, implementation of new modules, and production plans capitalizing on flexibility during transition and subsequent periods. A numerical example is provided to illustrate the approach. The optimal solution is then contrasted with that of a single-objective model.