Integrated dynamic single item lot-sizing and quality inspection planning

This paper proposes an integrated model for single item dynamic lot-sizing problem and Quality Inspection Planning (QIP). The objective is to provide a model of production planning that takes into account a targeted level of outgoing quality or an Acceptable quality level (AQL) when the manufacturing system inherently generates a proportion of defectives that increases significantly when the system switches from the in-control state to the out-of-control state. The average outgoing quality of each period of time of the planning horizon is bounded as a function of the inspection capacity. The effects of integrating QIP are analysed and discussed through several experiments representing different quality control system's parameters, i.e. inspection capacity, inspection cost and AQL. The simulation results show that it is very important to take into account the inspection process into production planning decisions. This study will help the decision-makers to negotiate service levels or react properly to given customer quality requirements based on cost and lead time parameters in addition to their process characteristics in terms of capability and stability.