Industrial Engineering MS Thesis Defense by Cem Kazan

KOÇ UNIVERSITY

GRADUATE SCHOOL OF SCIENCES & ENGINEERING

INDUSTRIAL ENGINEERING

MS THESIS DEFENSE BY CEM KAZAN

Title: New Approach to Aggregate Production Planning Model for a more Sustainable Supply Chain

Speaker: Cem Kazan

Time: January 30, 2018, 11:00

Place: ENG B15

Koç University

Rumeli Feneri Yolu

Sariyer, Istanbul

Thesis Committee Members:

Prof. Dr. Metin Türkay (Advisor, Koc University)

Prof. Dr. Emre Alper Yıldırım (Koc University)

Assoc. Prof. Dr. Utku Koç (MEF University)

Abstract:

Supply chain management uses different tools in the planning process one of which is aggregate production planning model. This model determines production rates, inventory levels, and workforce requirements of a production plant on a periodic basis to minimize total costs (or maximize total profit) while fulfilling customer demands in time. The aggregate production planning model is a cost-driven model like other prevalent supply chain management tools. However, the widespread adoption of economic factors while ignoring environmental, social and cultural factors in the planning and management of the supply chain derives a flawed approach. The supply chain cannot be expressed apart from environmental, social, and cultural factors as an island isolated from the remaining part of the world. Therefore, the requirement for a step change to a future model leading to sustainability forces the decision makers to be more demanding and sensitive to all four pillars of the sustainability. In this scope, this study aims to fill gaps in the current body of knowledge by combining economic, environmental, social, and cultural factors of sustainability within aggregate production planning model. To do so, firstly we define new parameters, decision variables, and constraints to the standard aggregate planning model, and then reformulate it as both single- and multi-objective model. Finally, we analyze the arranged models with the case study from real life.