Abstract: Facility layout approaches have assumed infinite capacities for the production system and material handling in determining the layout. This study conducts research on addressing dynamic facility layout designs in which the demand varies from one time period to the next while taking into consideration finite capacity constraints for both the logistics and production systems. The research uses a genetic algorithm to develop the facility layout for each time period. Simulation studies are conducted for the developed layout to determine if demand can be met for the given time period. The research develops functions that can be used to evaluate the costs of changes in the parameters, such as increased production capacity, increased material handling capacity, or a combination of both parameters, to meet the demand. The aim of this research is to minimize the cost of meeting demand over a given time period under dynamic conditions.
Keywords: Capacity constraints, Dynamic conditions, Facility layout, Simulation, problem design
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