Effects of variable setup cost, reliability, and production costs under controlled carbon emissions in a reliable production system

Ilkyeong Moon, Won Young Yun and Biswajit Sarkar

European Journal of Industrial Engineering, 2022, vol. 16, issue 4, 371-397

Abstract: Although important for production industries to reach fully sustainable manufacturing processes, those implementing production systems face challenges in reaching this reliability goal. In this direction, a production system is modelled through a basic economic-production paradigm under carbon emissions with a storage constraint and demand-dependent unit production cost. More reliable production houses produce fewer defective products than the unreliable production system. As the model contains a power-function, a geometric programming procedure is employed to obtain a quasi-closed form of the optimal solution. A numerical example based on data from the literature and a case study based on industry data, are provided to demonstrate geometric programming as a valuable analytical tool to resolve this type of problem for a production system under carbon emissions. Finally, a sensitivity analysis and graphical illustration are provided to illustrate the model. Numerical results show that the production system becomes completely reliable when the recommended model is used. [Submitted: 18 May 2019; Accepted: 8 March 2021]

Keywords: manufacturing systems; production design; geometric programming; inventory; variable production cost. (search for similar items in EconPapers)
Date: 2022
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Citations: View citations in EconPapers (14)

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