Optimal Production Scheduling and Lot-Sizing in Dairy Plants: The Yogurt Production Line

The lot-sizing and production scheduling problem in a multiproduct yogurt production line of a real-life dairy plant is addressed in this work. A new mixed discrete/continuous-time mixed-integer linear programming model, based on the definition of families of products, is proposed. The problem under question is mainly focused on the packaging stage, whereas timing and capacity constraints are imposed with respect to the pasteurization/homogenization and fermentation stage. Packaging units operate in parallel and share common resources. Sequence-dependent times and costs are explicitly taken into account and optimized by the proposed framework. Several scenarios for a large-scale dairy plant have been solved to optimality using the proposed model. Production bottlenecks are revealed, and several retrofit design options are proposed to enhance the production capacity and flexibility of the plant.