Algorithms for robust single and multiple period layout planning for manufacturing systems

Abstract In many layout design situations, the use of ‘optimality’ with respect to a design objective, such as the minimization of the material handling cost, is insufficiently discriminating. Robustness of the layout, in cases of demand uncertainty, is more important for the manufacturing manager. A robust layout is one that is close to the optimal solution for a wide variety of demand scenarios even though it may not be optimal under any specific demand scenario. In this paper, we develop algorithms to generate robust layout designs for manufacturing systems. Our robustness approach to the layout decision making can be applied to single and multiple period problems in the presence of considerable uncertainty, both in terms of products to be produced as well as their production volumes. Our algorithms, executed in a heuristic fashion, can be effectively used for layout design of large size manufacturing systems.