Determination of the optimal production run in cases with multiple quality characteristics

This paper deals with the implementation of a multivariate loss function into the research area of optimal control of a deteriorating process with multiple quality characteristics of interest, in which the optimal production run length can be determined. During the production process, the means of the quality characteristics are assumed to drift away from the intended target values, and the drift behaviour of the quality characteristics are characterised by the deterministic trend and integrated moving average IMA(1,1). Numerical examples are provided to illustrate the application and usefulness of the proposed model. Sensitivity analyses are provided to study the impact of the process adjustment cost on the model. It is found that the optimal production run length can be significantly affected by changing this input parameter. Furthermore, some new directions for future research are outlined.

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