An integrated production and maintenance model for one failure prone machine-finite capacity buffer system for perishable products with constant demand

This paper proposes an optimal design and operation model for a production system producing a perishable product. This production system consists of one failure prone machine and a finite capacity buffer. The machine is replaced or submitted to an overhaul at failure and at predetermined instants T, 2T, 3T, … During these inactivity periods of random durations due to preventive and corrective maintenance, the demand is fulfilled from the buffer stock whose capacity S is to be determined. A mathematical model and a numerical procedure are developed to determine a couple (S*, T*) which minimizes the expected total cost per unit of time over an infinite horizon. Included are the maintenance costs, holding and shortage costs and waste cost due to the fact that the product is perishable. Calculations are carried out through a numerical example to validate the coherence of the model.