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inspection
 optimization
   for MSPS

  Sofie Van
   Volsem
                      Joint optimization of all inspection
Introduction
                    parameters for multi-stage processes:
MSPS
Inspection

                      algorithm, simulation and test set
Cost
Process model


Method
Finding solutions
Part 1: TIC

                                  Sofie Van Volsem
Part 2: EA

Conclusion

                            Department of Industrial Management
                                    Ghent University


                               Bruges, April 15, 2009
Overview

  inspection
 optimization
   for MSPS
                        Introduction
                    1
  Sofie Van
   Volsem
                           Multistage production systems
                           Inspection strategy
Introduction
MSPS

                           Cost-efficient inspection
Inspection
Cost

                           Process model
Process model


Method
Finding solutions

                        Method
                    2
Part 1: TIC
Part 2: EA

                          Finding solutions
Conclusion
                          First problem: calculating inspection costs
                          Second problem: an intelligent solution space search

                        Conclusion
                    3
Sequential linear multistage production system
                    (MSPS)
  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem

Introduction
MSPS
Inspection
Cost
Process model


Method
Finding solutions
Part 1: TIC
Part 2: EA

Conclusion
Sequential linear multistage production system
                    (MSPS)
  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem

Introduction
MSPS
Inspection
Cost
                    example: Production of chocolate cookies
Process model


                        production stage 1: preparation of dough
Method
Finding solutions

                        production stage 2: baking of cookies
Part 1: TIC
Part 2: EA

                        production stage 3: finishing with chocolate
Conclusion
Inspection strategies for MSPS

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem


                        An inspection strategy for MSPS is
Introduction
MSPS
                        a set of decisions
Inspection
Cost
                             WHERE to inspect:
                         1
Process model

                             after which of the production stages?
Method
                             HOW STRINGENT to inspect:
Finding solutions        2
Part 1: TIC

                             what are the acceptance limits?
Part 2: EA


                             HOW MUCH to inspect:
                         3
Conclusion

                             all products or only a sample?
Inspection strategies for MSPS

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem


                        An inspection strategy for MSPS is
Introduction
MSPS
                        a set of decisions
Inspection
Cost
                             WHERE to inspect:
                         1
Process model

                             after which of the production stages?
Method
                             HOW STRINGENT to inspect:
Finding solutions        2
Part 1: TIC

                             what are the acceptance limits?
Part 2: EA


                             HOW MUCH to inspect:
                         3
Conclusion

                             all products or only a sample?
Inspection strategies for MSPS

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem


                        An inspection strategy for MSPS is
Introduction
MSPS
                        a set of decisions
Inspection
Cost
                             WHERE to inspect:
                         1
Process model

                             after which of the production stages?
Method
                             HOW STRINGENT to inspect:
Finding solutions        2
Part 1: TIC

                             what are the acceptance limits?
Part 2: EA


                             HOW MUCH to inspect:
                         3
Conclusion

                             all products or only a sample?
Inspection strategies for MSPS

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem


                        An inspection strategy for MSPS is
Introduction
MSPS
                        a set of decisions
Inspection
Cost
                             WHERE to inspect:
                         1
Process model

                             after which of the production stages?
Method
                             HOW STRINGENT to inspect:
Finding solutions        2
Part 1: TIC

                             what are the acceptance limits?
Part 2: EA


                             HOW MUCH to inspect:
                         3
Conclusion

                             all products or only a sample?
Inspection costs

  inspection
 optimization
   for MSPS

  Sofie Van
                        Costs associated with a selected inspection strategy:
   Volsem

                              execute inspection
                          1
Introduction
                              (test cost, TC)
MSPS
Inspection
                              repair or replace faulty products internally
                          2
Cost

                              (rework cost, RC)
Process model


Method
                              repair or replace faulty products externally
                          3
Finding solutions
                              (penalty cost, PC)
Part 1: TIC
Part 2: EA

                        Total costs also includes (loss of) production time,
Conclusion

                        capacity, product image, ...
                        Simplified: more and tighter inspection will lead to
                        higher quality, but will also induce higher costs.
Inspection costs

  inspection
 optimization
   for MSPS

  Sofie Van
                        Costs associated with a selected inspection strategy:
   Volsem

                              execute inspection
                          1
Introduction
                              (test cost, TC)
MSPS
Inspection
                              repair or replace faulty products internally
                          2
Cost

                              (rework cost, RC)
Process model


Method
                              repair or replace faulty products externally
                          3
Finding solutions
                              (penalty cost, PC)
Part 1: TIC
Part 2: EA

                        Total costs also includes (loss of) production time,
Conclusion

                        capacity, product image, ...
                        Simplified: more and tighter inspection will lead to
                        higher quality, but will also induce higher costs.
Inspection costs

  inspection
 optimization
   for MSPS

  Sofie Van
                        Costs associated with a selected inspection strategy:
   Volsem

                              execute inspection
                          1
Introduction
                              (test cost, TC)
MSPS
Inspection
                              repair or replace faulty products internally
                          2
Cost

                              (rework cost, RC)
Process model


Method
                              repair or replace faulty products externally
                          3
Finding solutions
                              (penalty cost, PC)
Part 1: TIC
Part 2: EA

                        Total costs also includes (loss of) production time,
Conclusion

                        capacity, product image, ...
                        Simplified: more and tighter inspection will lead to
                        higher quality, but will also induce higher costs.
Inspection costs

  inspection
 optimization
   for MSPS

  Sofie Van
                        Costs associated with a selected inspection strategy:
   Volsem

                              execute inspection
                          1
Introduction
                              (test cost, TC)
MSPS
Inspection
                              repair or replace faulty products internally
                          2
Cost

                              (rework cost, RC)
Process model


Method
                              repair or replace faulty products externally
                          3
Finding solutions
                              (penalty cost, PC)
Part 1: TIC
Part 2: EA

                        Total costs also includes (loss of) production time,
Conclusion

                        capacity, product image, ...
                        Simplified: more and tighter inspection will lead to
                        higher quality, but will also induce higher costs.
Inspection optimization for MSPS: process
                    model
  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem

Introduction
MSPS
Inspection
Cost
Process model

                    For each production stage:
Method
Finding solutions
                        Cost parameters
Part 1: TIC
Part 2: EA
                        (test cost TC, rework cost RC,
Conclusion
                        penalty cost, PC (only after final production stage))
                        Process parameters
                        (process characteristics: mean and variance)
                        Inspection parameters
                        (where, how much and how stringent to inspect?)
Optimization: what are the decision variables?

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem
                        Cost and process parameters are given.
Introduction
                        Only the inspection parameters are decision variables.
MSPS
Inspection
                        In multistage systems three types of inspection
Cost

                        parameters can be distinguished, namely
Process model


Method
                             inspection type
                         1
Finding solutions
Part 1: TIC
                                  100% inspection (F)
Part 2: EA

                                  sampling inspection (S)
Conclusion
                                  no inspection (N)
                             inspection (acceptance) limits
                         2

                             sampling parameters
                         3
Optimization: what are the decision variables?

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem
                        Cost and process parameters are given.
Introduction
                        Only the inspection parameters are decision variables.
MSPS
Inspection
                        In multistage systems three types of inspection
Cost

                        parameters can be distinguished, namely
Process model


Method
                             inspection type
                         1
Finding solutions
Part 1: TIC
                                  100% inspection (F)
Part 2: EA

                                  sampling inspection (S)
Conclusion
                                  no inspection (N)
                             inspection (acceptance) limits
                         2

                             sampling parameters
                         3
Decision variables: illustration

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem

Introduction
MSPS
Inspection
Cost
Process model


Method
Finding solutions
Part 1: TIC
Part 2: EA

Conclusion
Finding solutions

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem
                          Solution = cost-efficient inspection strategy for MSPS
Introduction
                          Best solution => lowest total inspection cost (TIC)
MSPS
Inspection
Cost

                          For every possible solution we need to be able to
                      1
Process model


Method
                          calculate TIC
Finding solutions
Part 1: TIC
                          Number of possible solutions is infinite
                      2
Part 2: EA


                              => naive heuristic = calculate every possibility to find
Conclusion

                              the best = impossible
                              => development of an intelligent search method =
                              metaheuristic
Finding solutions

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem
                          Solution = cost-efficient inspection strategy for MSPS
Introduction
                          Best solution => lowest total inspection cost (TIC)
MSPS
Inspection
Cost

                          For every possible solution we need to be able to
                      1
Process model


Method
                          calculate TIC
Finding solutions
Part 1: TIC
                          Number of possible solutions is infinite
                      2
Part 2: EA


                              => naive heuristic = calculate every possibility to find
Conclusion

                              the best = impossible
                              => development of an intelligent search method =
                              metaheuristic
Finding solutions

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem
                          Solution = cost-efficient inspection strategy for MSPS
Introduction
                          Best solution => lowest total inspection cost (TIC)
MSPS
Inspection
Cost

                          For every possible solution we need to be able to
                      1
Process model


Method
                          calculate TIC
Finding solutions
Part 1: TIC
                          Number of possible solutions is infinite
                      2
Part 2: EA


                              => naive heuristic = calculate every possibility to find
Conclusion

                              the best = impossible
                              => development of an intelligent search method =
                              metaheuristic
Calculating TIC: formula

  inspection
 optimization
   for MSPS

  Sofie Van
                             TIC              TTC + TRC + TPC                 (1)
                                      =
   Volsem

                                     with
Introduction
                                               n
MSPS
Inspection

                             TTC                    TCi                       (2)
                                      =
Cost
Process model

                                              i=1
Method
                                               n
Finding solutions
Part 1: TIC
                            TRC                     RCi                       (3)
                                      =
Part 2: EA


                                              i=1
Conclusion

                             TPC              cP .dn                          (4)
                                      =
                                   and with
                             TCi              cT ,i .(αF ,i .K + αS,i .si )   (5)
                                      =
                             RCi              cR,i .pi .αF ,i .K              (6)
                                      =
Calculating TIC: illustration

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem

Introduction
MSPS
Inspection
Cost
Process model


Method
Finding solutions
Part 1: TIC
Part 2: EA

Conclusion
Calculating TIC: method

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem
                        With known defect rates pi , analytical calculation of TIC
                        is straightforward.
Introduction
MSPS

                        Alas, no closed analytical formula for pi available for
Inspection
Cost

                        non-trivial cases.
Process model


Method
                        Definition:
Finding solutions
Part 1: TIC
Part 2: EA

                           pi = P [Xi ∈ [LILi , UILi ]] = 1 − P[LILi ≤ Xi ≤ UILi ]
                                      /
Conclusion


                        => TIC is therefore calculated (approximated) through
                        Monte Carlo simulation.
Search strategy: evolutionary algorithm

                    Applied metaheuristic search method: Evolutionary
  inspection
 optimization
                    Algorithm (EA)
   for MSPS

  Sofie Van
                        based on Darwin’s theory on biological evolution:
   Volsem

                        desirable characteristics => better chance of survival
Introduction
MSPS
                        => better chance of transferral to next generation.
Inspection
Cost
                        characteristics quot;storedquot; in genes; genes are transferred
Process model


                        through reproduction/breeding.
Method
Finding solutions

                        principles evolutionary algorithm:
Part 1: TIC
Part 2: EA

                              encoding of candidate solutions;
                          1
Conclusion
                              creation of an intital population
                              evaluating and ordering candidate solutions
                          2

                              creating a new generation of candidate solutions from
                          3

                              promising (parts of) candidate solutions of the previous
                              generation
                              iterating steps 2 and 3 until stopping criterium;
                          4

                              decoding of quot;bestquot; solution
Search strategy: evolutionary algorithm

                    Applied metaheuristic search method: Evolutionary
  inspection
 optimization
                    Algorithm (EA)
   for MSPS

  Sofie Van
                        based on Darwin’s theory on biological evolution:
   Volsem

                        desirable characteristics => better chance of survival
Introduction
MSPS
                        => better chance of transferral to next generation.
Inspection
Cost
                        characteristics quot;storedquot; in genes; genes are transferred
Process model


                        through reproduction/breeding.
Method
Finding solutions

                        principles evolutionary algorithm:
Part 1: TIC
Part 2: EA

                              encoding of candidate solutions;
                          1
Conclusion
                              creation of an intital population
                              evaluating and ordering candidate solutions
                          2

                              creating a new generation of candidate solutions from
                          3

                              promising (parts of) candidate solutions of the previous
                              generation
                              iterating steps 2 and 3 until stopping criterium;
                          4

                              decoding of quot;bestquot; solution
Search strategy: evolutionary algorithm

                    Applied metaheuristic search method: Evolutionary
  inspection
 optimization
                    Algorithm (EA)
   for MSPS

  Sofie Van
                        based on Darwin’s theory on biological evolution:
   Volsem

                        desirable characteristics => better chance of survival
Introduction
MSPS
                        => better chance of transferral to next generation.
Inspection
Cost
                        characteristics quot;storedquot; in genes; genes are transferred
Process model


                        through reproduction/breeding.
Method
Finding solutions

                        principles evolutionary algorithm:
Part 1: TIC
Part 2: EA

                              encoding of candidate solutions;
                          1
Conclusion
                              creation of an intital population
                              evaluating and ordering candidate solutions
                          2

                              creating a new generation of candidate solutions from
                          3

                              promising (parts of) candidate solutions of the previous
                              generation
                              iterating steps 2 and 3 until stopping criterium;
                          4

                              decoding of quot;bestquot; solution
Search strategy: evolutionary algorithm

                    Applied metaheuristic search method: Evolutionary
  inspection
 optimization
                    Algorithm (EA)
   for MSPS

  Sofie Van
                        based on Darwin’s theory on biological evolution:
   Volsem

                        desirable characteristics => better chance of survival
Introduction
MSPS
                        => better chance of transferral to next generation.
Inspection
Cost
                        characteristics quot;storedquot; in genes; genes are transferred
Process model


                        through reproduction/breeding.
Method
Finding solutions

                        principles evolutionary algorithm:
Part 1: TIC
Part 2: EA

                              encoding of candidate solutions;
                          1
Conclusion
                              creation of an intital population
                              evaluating and ordering candidate solutions
                          2

                              creating a new generation of candidate solutions from
                          3

                              promising (parts of) candidate solutions of the previous
                              generation
                              iterating steps 2 and 3 until stopping criterium;
                          4

                              decoding of quot;bestquot; solution
Search strategy: evolutionary algorithm

                    Applied metaheuristic search method: Evolutionary
  inspection
 optimization
                    Algorithm (EA)
   for MSPS

  Sofie Van
                        based on Darwin’s theory on biological evolution:
   Volsem

                        desirable characteristics => better chance of survival
Introduction
MSPS
                        => better chance of transferral to next generation.
Inspection
Cost
                        characteristics quot;storedquot; in genes; genes are transferred
Process model


                        through reproduction/breeding.
Method
Finding solutions

                        principles evolutionary algorithm:
Part 1: TIC
Part 2: EA

                              encoding of candidate solutions;
                          1
Conclusion
                              creation of an intital population
                              evaluating and ordering candidate solutions
                          2

                              creating a new generation of candidate solutions from
                          3

                              promising (parts of) candidate solutions of the previous
                              generation
                              iterating steps 2 and 3 until stopping criterium;
                          4

                              decoding of quot;bestquot; solution
Search strategy: evolutionary algorithm

                    Applied metaheuristic search method: Evolutionary
  inspection
 optimization
                    Algorithm (EA)
   for MSPS

  Sofie Van
                        based on Darwin’s theory on biological evolution:
   Volsem

                        desirable characteristics => better chance of survival
Introduction
MSPS
                        => better chance of transferral to next generation.
Inspection
Cost
                        characteristics quot;storedquot; in genes; genes are transferred
Process model


                        through reproduction/breeding.
Method
Finding solutions

                        principles evolutionary algorithm:
Part 1: TIC
Part 2: EA

                              encoding of candidate solutions;
                          1
Conclusion
                              creation of an intital population
                              evaluating and ordering candidate solutions
                          2

                              creating a new generation of candidate solutions from
                          3

                              promising (parts of) candidate solutions of the previous
                              generation
                              iterating steps 2 and 3 until stopping criterium;
                          4

                              decoding of quot;bestquot; solution
Search strategy: evolutionary algorithm

                    Applied metaheuristic search method: Evolutionary
  inspection
 optimization
                    Algorithm (EA)
   for MSPS

  Sofie Van
                        based on Darwin’s theory on biological evolution:
   Volsem

                        desirable characteristics => better chance of survival
Introduction
MSPS
                        => better chance of transferral to next generation.
Inspection
Cost
                        characteristics quot;storedquot; in genes; genes are transferred
Process model


                        through reproduction/breeding.
Method
Finding solutions

                        principles evolutionary algorithm:
Part 1: TIC
Part 2: EA

                              encoding of candidate solutions;
                          1
Conclusion
                              creation of an intital population
                              evaluating and ordering candidate solutions
                          2

                              creating a new generation of candidate solutions from
                          3

                              promising (parts of) candidate solutions of the previous
                              generation
                              iterating steps 2 and 3 until stopping criterium;
                          4

                              decoding of quot;bestquot; solution
Evolutionary algorithm: example

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem

Introduction
MSPS
Inspection
Cost
Process model


Method
Finding solutions
Part 1: TIC
Part 2: EA

Conclusion
Evolutionary algorithm: example

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem

Introduction
MSPS
Inspection
Cost
Process model


Method
Finding solutions
Part 1: TIC
Part 2: EA

Conclusion
Evolutionary algorithm: example

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem

Introduction
MSPS
Inspection
Cost
Process model


Method
Finding solutions
Part 1: TIC
Part 2: EA

Conclusion
Does the method work?

  inspection
 optimization
                    1◦ EA’s convergence is established
   for MSPS

  Sofie Van
   Volsem

Introduction
MSPS
Inspection
Cost
Process model


Method
Finding solutions
Part 1: TIC
Part 2: EA

Conclusion
Does the method work?

  inspection
 optimization
                    1◦ EA’s convergence is established
   for MSPS

  Sofie Van
   Volsem

Introduction
MSPS
Inspection
Cost
Process model


Method
Finding solutions
Part 1: TIC
Part 2: EA

Conclusion
Does the method work?

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem
                    2◦ EA’s capability to find meaningful solutions is established
Introduction
MSPS
Inspection
Cost
Process model


Method
Finding solutions
Part 1: TIC
Part 2: EA

Conclusion
Does the method work?

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem
                    2◦ EA’s capability to find meaningful solutions is established
Introduction
                    10 processes (A through J) were analyzed and compared
MSPS
Inspection
Cost
Process model


Method
Finding solutions
Part 1: TIC
Part 2: EA

Conclusion
Does the method work?

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem
                    2◦ EA’s capability to find meaningful solutions is established
Introduction
                    10 processes (A through J) were analyzed and compared
MSPS
Inspection
Cost

                        cases A through J    process     mean     exp. value
Process model


Method
                             step 1           normal     µ = 10       10
Finding solutions
Part 1: TIC
                             step 2          + normal    µ = 10       20
Part 2: EA


                             step 3          + normal    µ = 10       30
Conclusion

                             step 4          + normal    µ = 10       40
Does the method work?

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem

Introduction
                        case         A         B         C          D          E
MSPS
Inspection

                      all steps   σ = 0.1   σ = 0.1   σ = 0.1    σ = 0.2   σ = 0.2
Cost
Process model

                      penalty      1 000    10 000    100 000     1 000     10 000
Method
Finding solutions
                        case         F         G         H           I         J
Part 1: TIC
Part 2: EA
                     steps 1&3    σ = 0.2   σ = 0.2   σ = 0.2    σ = 0.1   σ = 0.01
Conclusion
                     steps 2&4    σ = 0.1   σ = 0.1   σ = 0.01   σ = 0.2   σ = 0.2
                      penalty      1 000    10 000     1 000      1 000      1 000
Solutions from the case study

  inspection
 optimization
                       case          winner solution vector               TIC
   for MSPS

  Sofie Van
                        A     N             N   N         N             45 900
   Volsem
                               10.060 25                   40.405
                        B     S9.940 0      N   N         F39.595       67 255
Introduction
MSPS
                               10.012                      40.405
                        C     F9.988        N   N         F39.595      102 590
Inspection
Cost
                               10.210 100                  40.402 50
                        D     S9.790 1      N   N         S39.592 1    133 450
Process model


Method
                               10.071            31.434    40.403
                        E     F9.929        N   F28.566   F39.5957     178 940
Finding solutions
Part 1: TIC

                                                           40.417 25
Part 2: EA
                               10.166
                        F     F9.834        N   N         S39.583 0    102 935
Conclusion
                               10.034 25                   40.406
                        G     S9.966 0      N   N         F39.594      138 015
                               10.165 100        30.425
                        H     S9.835 1      N   F29.575   N             72 550
                                                           40.418
                        I     N             N   N         F39.582       73 520
                                                           40.411
                        J     N             N   N         F39.589       58 840
Further research

  inspection
 optimization
   for MSPS

  Sofie Van
   Volsem

                    Suggestions:
Introduction
MSPS
                       Extensions to the current EA
Inspection
Cost
                            non-sequential MSPS
Process model

                            imperfect inspection
Method
Finding solutions
                            variable number of simulation runs
Part 1: TIC
Part 2: EA
                        further development of standard test sets
Conclusion

                        validation through real life case studies
inspection
 optimization
   for MSPS

  Sofie Van
   Volsem
                      Joint optimization of all inspection
Introduction
                    parameters for multi-stage processes:
MSPS
Inspection

                      algorithm, simulation and test set
Cost
Process model


Method
Finding solutions
Part 1: TIC

                                  Sofie Van Volsem
Part 2: EA

Conclusion

                            Department of Industrial Management
                                    Ghent University


                               Bruges, April 15, 2009

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Ecec09presentation

  • 1. inspection optimization for MSPS Sofie Van Volsem Joint optimization of all inspection Introduction parameters for multi-stage processes: MSPS Inspection algorithm, simulation and test set Cost Process model Method Finding solutions Part 1: TIC Sofie Van Volsem Part 2: EA Conclusion Department of Industrial Management Ghent University Bruges, April 15, 2009
  • 2. Overview inspection optimization for MSPS Introduction 1 Sofie Van Volsem Multistage production systems Inspection strategy Introduction MSPS Cost-efficient inspection Inspection Cost Process model Process model Method Finding solutions Method 2 Part 1: TIC Part 2: EA Finding solutions Conclusion First problem: calculating inspection costs Second problem: an intelligent solution space search Conclusion 3
  • 3. Sequential linear multistage production system (MSPS) inspection optimization for MSPS Sofie Van Volsem Introduction MSPS Inspection Cost Process model Method Finding solutions Part 1: TIC Part 2: EA Conclusion
  • 4. Sequential linear multistage production system (MSPS) inspection optimization for MSPS Sofie Van Volsem Introduction MSPS Inspection Cost example: Production of chocolate cookies Process model production stage 1: preparation of dough Method Finding solutions production stage 2: baking of cookies Part 1: TIC Part 2: EA production stage 3: finishing with chocolate Conclusion
  • 5. Inspection strategies for MSPS inspection optimization for MSPS Sofie Van Volsem An inspection strategy for MSPS is Introduction MSPS a set of decisions Inspection Cost WHERE to inspect: 1 Process model after which of the production stages? Method HOW STRINGENT to inspect: Finding solutions 2 Part 1: TIC what are the acceptance limits? Part 2: EA HOW MUCH to inspect: 3 Conclusion all products or only a sample?
  • 6. Inspection strategies for MSPS inspection optimization for MSPS Sofie Van Volsem An inspection strategy for MSPS is Introduction MSPS a set of decisions Inspection Cost WHERE to inspect: 1 Process model after which of the production stages? Method HOW STRINGENT to inspect: Finding solutions 2 Part 1: TIC what are the acceptance limits? Part 2: EA HOW MUCH to inspect: 3 Conclusion all products or only a sample?
  • 7. Inspection strategies for MSPS inspection optimization for MSPS Sofie Van Volsem An inspection strategy for MSPS is Introduction MSPS a set of decisions Inspection Cost WHERE to inspect: 1 Process model after which of the production stages? Method HOW STRINGENT to inspect: Finding solutions 2 Part 1: TIC what are the acceptance limits? Part 2: EA HOW MUCH to inspect: 3 Conclusion all products or only a sample?
  • 8. Inspection strategies for MSPS inspection optimization for MSPS Sofie Van Volsem An inspection strategy for MSPS is Introduction MSPS a set of decisions Inspection Cost WHERE to inspect: 1 Process model after which of the production stages? Method HOW STRINGENT to inspect: Finding solutions 2 Part 1: TIC what are the acceptance limits? Part 2: EA HOW MUCH to inspect: 3 Conclusion all products or only a sample?
  • 9. Inspection costs inspection optimization for MSPS Sofie Van Costs associated with a selected inspection strategy: Volsem execute inspection 1 Introduction (test cost, TC) MSPS Inspection repair or replace faulty products internally 2 Cost (rework cost, RC) Process model Method repair or replace faulty products externally 3 Finding solutions (penalty cost, PC) Part 1: TIC Part 2: EA Total costs also includes (loss of) production time, Conclusion capacity, product image, ... Simplified: more and tighter inspection will lead to higher quality, but will also induce higher costs.
  • 10. Inspection costs inspection optimization for MSPS Sofie Van Costs associated with a selected inspection strategy: Volsem execute inspection 1 Introduction (test cost, TC) MSPS Inspection repair or replace faulty products internally 2 Cost (rework cost, RC) Process model Method repair or replace faulty products externally 3 Finding solutions (penalty cost, PC) Part 1: TIC Part 2: EA Total costs also includes (loss of) production time, Conclusion capacity, product image, ... Simplified: more and tighter inspection will lead to higher quality, but will also induce higher costs.
  • 11. Inspection costs inspection optimization for MSPS Sofie Van Costs associated with a selected inspection strategy: Volsem execute inspection 1 Introduction (test cost, TC) MSPS Inspection repair or replace faulty products internally 2 Cost (rework cost, RC) Process model Method repair or replace faulty products externally 3 Finding solutions (penalty cost, PC) Part 1: TIC Part 2: EA Total costs also includes (loss of) production time, Conclusion capacity, product image, ... Simplified: more and tighter inspection will lead to higher quality, but will also induce higher costs.
  • 12. Inspection costs inspection optimization for MSPS Sofie Van Costs associated with a selected inspection strategy: Volsem execute inspection 1 Introduction (test cost, TC) MSPS Inspection repair or replace faulty products internally 2 Cost (rework cost, RC) Process model Method repair or replace faulty products externally 3 Finding solutions (penalty cost, PC) Part 1: TIC Part 2: EA Total costs also includes (loss of) production time, Conclusion capacity, product image, ... Simplified: more and tighter inspection will lead to higher quality, but will also induce higher costs.
  • 13. Inspection optimization for MSPS: process model inspection optimization for MSPS Sofie Van Volsem Introduction MSPS Inspection Cost Process model For each production stage: Method Finding solutions Cost parameters Part 1: TIC Part 2: EA (test cost TC, rework cost RC, Conclusion penalty cost, PC (only after final production stage)) Process parameters (process characteristics: mean and variance) Inspection parameters (where, how much and how stringent to inspect?)
  • 14. Optimization: what are the decision variables? inspection optimization for MSPS Sofie Van Volsem Cost and process parameters are given. Introduction Only the inspection parameters are decision variables. MSPS Inspection In multistage systems three types of inspection Cost parameters can be distinguished, namely Process model Method inspection type 1 Finding solutions Part 1: TIC 100% inspection (F) Part 2: EA sampling inspection (S) Conclusion no inspection (N) inspection (acceptance) limits 2 sampling parameters 3
  • 15. Optimization: what are the decision variables? inspection optimization for MSPS Sofie Van Volsem Cost and process parameters are given. Introduction Only the inspection parameters are decision variables. MSPS Inspection In multistage systems three types of inspection Cost parameters can be distinguished, namely Process model Method inspection type 1 Finding solutions Part 1: TIC 100% inspection (F) Part 2: EA sampling inspection (S) Conclusion no inspection (N) inspection (acceptance) limits 2 sampling parameters 3
  • 16. Decision variables: illustration inspection optimization for MSPS Sofie Van Volsem Introduction MSPS Inspection Cost Process model Method Finding solutions Part 1: TIC Part 2: EA Conclusion
  • 17. Finding solutions inspection optimization for MSPS Sofie Van Volsem Solution = cost-efficient inspection strategy for MSPS Introduction Best solution => lowest total inspection cost (TIC) MSPS Inspection Cost For every possible solution we need to be able to 1 Process model Method calculate TIC Finding solutions Part 1: TIC Number of possible solutions is infinite 2 Part 2: EA => naive heuristic = calculate every possibility to find Conclusion the best = impossible => development of an intelligent search method = metaheuristic
  • 18. Finding solutions inspection optimization for MSPS Sofie Van Volsem Solution = cost-efficient inspection strategy for MSPS Introduction Best solution => lowest total inspection cost (TIC) MSPS Inspection Cost For every possible solution we need to be able to 1 Process model Method calculate TIC Finding solutions Part 1: TIC Number of possible solutions is infinite 2 Part 2: EA => naive heuristic = calculate every possibility to find Conclusion the best = impossible => development of an intelligent search method = metaheuristic
  • 19. Finding solutions inspection optimization for MSPS Sofie Van Volsem Solution = cost-efficient inspection strategy for MSPS Introduction Best solution => lowest total inspection cost (TIC) MSPS Inspection Cost For every possible solution we need to be able to 1 Process model Method calculate TIC Finding solutions Part 1: TIC Number of possible solutions is infinite 2 Part 2: EA => naive heuristic = calculate every possibility to find Conclusion the best = impossible => development of an intelligent search method = metaheuristic
  • 20. Calculating TIC: formula inspection optimization for MSPS Sofie Van TIC TTC + TRC + TPC (1) = Volsem with Introduction n MSPS Inspection TTC TCi (2) = Cost Process model i=1 Method n Finding solutions Part 1: TIC TRC RCi (3) = Part 2: EA i=1 Conclusion TPC cP .dn (4) = and with TCi cT ,i .(αF ,i .K + αS,i .si ) (5) = RCi cR,i .pi .αF ,i .K (6) =
  • 21. Calculating TIC: illustration inspection optimization for MSPS Sofie Van Volsem Introduction MSPS Inspection Cost Process model Method Finding solutions Part 1: TIC Part 2: EA Conclusion
  • 22. Calculating TIC: method inspection optimization for MSPS Sofie Van Volsem With known defect rates pi , analytical calculation of TIC is straightforward. Introduction MSPS Alas, no closed analytical formula for pi available for Inspection Cost non-trivial cases. Process model Method Definition: Finding solutions Part 1: TIC Part 2: EA pi = P [Xi ∈ [LILi , UILi ]] = 1 − P[LILi ≤ Xi ≤ UILi ] / Conclusion => TIC is therefore calculated (approximated) through Monte Carlo simulation.
  • 23. Search strategy: evolutionary algorithm Applied metaheuristic search method: Evolutionary inspection optimization Algorithm (EA) for MSPS Sofie Van based on Darwin’s theory on biological evolution: Volsem desirable characteristics => better chance of survival Introduction MSPS => better chance of transferral to next generation. Inspection Cost characteristics quot;storedquot; in genes; genes are transferred Process model through reproduction/breeding. Method Finding solutions principles evolutionary algorithm: Part 1: TIC Part 2: EA encoding of candidate solutions; 1 Conclusion creation of an intital population evaluating and ordering candidate solutions 2 creating a new generation of candidate solutions from 3 promising (parts of) candidate solutions of the previous generation iterating steps 2 and 3 until stopping criterium; 4 decoding of quot;bestquot; solution
  • 24. Search strategy: evolutionary algorithm Applied metaheuristic search method: Evolutionary inspection optimization Algorithm (EA) for MSPS Sofie Van based on Darwin’s theory on biological evolution: Volsem desirable characteristics => better chance of survival Introduction MSPS => better chance of transferral to next generation. Inspection Cost characteristics quot;storedquot; in genes; genes are transferred Process model through reproduction/breeding. Method Finding solutions principles evolutionary algorithm: Part 1: TIC Part 2: EA encoding of candidate solutions; 1 Conclusion creation of an intital population evaluating and ordering candidate solutions 2 creating a new generation of candidate solutions from 3 promising (parts of) candidate solutions of the previous generation iterating steps 2 and 3 until stopping criterium; 4 decoding of quot;bestquot; solution
  • 25. Search strategy: evolutionary algorithm Applied metaheuristic search method: Evolutionary inspection optimization Algorithm (EA) for MSPS Sofie Van based on Darwin’s theory on biological evolution: Volsem desirable characteristics => better chance of survival Introduction MSPS => better chance of transferral to next generation. Inspection Cost characteristics quot;storedquot; in genes; genes are transferred Process model through reproduction/breeding. Method Finding solutions principles evolutionary algorithm: Part 1: TIC Part 2: EA encoding of candidate solutions; 1 Conclusion creation of an intital population evaluating and ordering candidate solutions 2 creating a new generation of candidate solutions from 3 promising (parts of) candidate solutions of the previous generation iterating steps 2 and 3 until stopping criterium; 4 decoding of quot;bestquot; solution
  • 26. Search strategy: evolutionary algorithm Applied metaheuristic search method: Evolutionary inspection optimization Algorithm (EA) for MSPS Sofie Van based on Darwin’s theory on biological evolution: Volsem desirable characteristics => better chance of survival Introduction MSPS => better chance of transferral to next generation. Inspection Cost characteristics quot;storedquot; in genes; genes are transferred Process model through reproduction/breeding. Method Finding solutions principles evolutionary algorithm: Part 1: TIC Part 2: EA encoding of candidate solutions; 1 Conclusion creation of an intital population evaluating and ordering candidate solutions 2 creating a new generation of candidate solutions from 3 promising (parts of) candidate solutions of the previous generation iterating steps 2 and 3 until stopping criterium; 4 decoding of quot;bestquot; solution
  • 27. Search strategy: evolutionary algorithm Applied metaheuristic search method: Evolutionary inspection optimization Algorithm (EA) for MSPS Sofie Van based on Darwin’s theory on biological evolution: Volsem desirable characteristics => better chance of survival Introduction MSPS => better chance of transferral to next generation. Inspection Cost characteristics quot;storedquot; in genes; genes are transferred Process model through reproduction/breeding. Method Finding solutions principles evolutionary algorithm: Part 1: TIC Part 2: EA encoding of candidate solutions; 1 Conclusion creation of an intital population evaluating and ordering candidate solutions 2 creating a new generation of candidate solutions from 3 promising (parts of) candidate solutions of the previous generation iterating steps 2 and 3 until stopping criterium; 4 decoding of quot;bestquot; solution
  • 28. Search strategy: evolutionary algorithm Applied metaheuristic search method: Evolutionary inspection optimization Algorithm (EA) for MSPS Sofie Van based on Darwin’s theory on biological evolution: Volsem desirable characteristics => better chance of survival Introduction MSPS => better chance of transferral to next generation. Inspection Cost characteristics quot;storedquot; in genes; genes are transferred Process model through reproduction/breeding. Method Finding solutions principles evolutionary algorithm: Part 1: TIC Part 2: EA encoding of candidate solutions; 1 Conclusion creation of an intital population evaluating and ordering candidate solutions 2 creating a new generation of candidate solutions from 3 promising (parts of) candidate solutions of the previous generation iterating steps 2 and 3 until stopping criterium; 4 decoding of quot;bestquot; solution
  • 29. Search strategy: evolutionary algorithm Applied metaheuristic search method: Evolutionary inspection optimization Algorithm (EA) for MSPS Sofie Van based on Darwin’s theory on biological evolution: Volsem desirable characteristics => better chance of survival Introduction MSPS => better chance of transferral to next generation. Inspection Cost characteristics quot;storedquot; in genes; genes are transferred Process model through reproduction/breeding. Method Finding solutions principles evolutionary algorithm: Part 1: TIC Part 2: EA encoding of candidate solutions; 1 Conclusion creation of an intital population evaluating and ordering candidate solutions 2 creating a new generation of candidate solutions from 3 promising (parts of) candidate solutions of the previous generation iterating steps 2 and 3 until stopping criterium; 4 decoding of quot;bestquot; solution
  • 30. Evolutionary algorithm: example inspection optimization for MSPS Sofie Van Volsem Introduction MSPS Inspection Cost Process model Method Finding solutions Part 1: TIC Part 2: EA Conclusion
  • 31. Evolutionary algorithm: example inspection optimization for MSPS Sofie Van Volsem Introduction MSPS Inspection Cost Process model Method Finding solutions Part 1: TIC Part 2: EA Conclusion
  • 32. Evolutionary algorithm: example inspection optimization for MSPS Sofie Van Volsem Introduction MSPS Inspection Cost Process model Method Finding solutions Part 1: TIC Part 2: EA Conclusion
  • 33. Does the method work? inspection optimization 1◦ EA’s convergence is established for MSPS Sofie Van Volsem Introduction MSPS Inspection Cost Process model Method Finding solutions Part 1: TIC Part 2: EA Conclusion
  • 34. Does the method work? inspection optimization 1◦ EA’s convergence is established for MSPS Sofie Van Volsem Introduction MSPS Inspection Cost Process model Method Finding solutions Part 1: TIC Part 2: EA Conclusion
  • 35. Does the method work? inspection optimization for MSPS Sofie Van Volsem 2◦ EA’s capability to find meaningful solutions is established Introduction MSPS Inspection Cost Process model Method Finding solutions Part 1: TIC Part 2: EA Conclusion
  • 36. Does the method work? inspection optimization for MSPS Sofie Van Volsem 2◦ EA’s capability to find meaningful solutions is established Introduction 10 processes (A through J) were analyzed and compared MSPS Inspection Cost Process model Method Finding solutions Part 1: TIC Part 2: EA Conclusion
  • 37. Does the method work? inspection optimization for MSPS Sofie Van Volsem 2◦ EA’s capability to find meaningful solutions is established Introduction 10 processes (A through J) were analyzed and compared MSPS Inspection Cost cases A through J process mean exp. value Process model Method step 1 normal µ = 10 10 Finding solutions Part 1: TIC step 2 + normal µ = 10 20 Part 2: EA step 3 + normal µ = 10 30 Conclusion step 4 + normal µ = 10 40
  • 38. Does the method work? inspection optimization for MSPS Sofie Van Volsem Introduction case A B C D E MSPS Inspection all steps σ = 0.1 σ = 0.1 σ = 0.1 σ = 0.2 σ = 0.2 Cost Process model penalty 1 000 10 000 100 000 1 000 10 000 Method Finding solutions case F G H I J Part 1: TIC Part 2: EA steps 1&3 σ = 0.2 σ = 0.2 σ = 0.2 σ = 0.1 σ = 0.01 Conclusion steps 2&4 σ = 0.1 σ = 0.1 σ = 0.01 σ = 0.2 σ = 0.2 penalty 1 000 10 000 1 000 1 000 1 000
  • 39. Solutions from the case study inspection optimization case winner solution vector TIC for MSPS Sofie Van A N N N N 45 900 Volsem 10.060 25 40.405 B S9.940 0 N N F39.595 67 255 Introduction MSPS 10.012 40.405 C F9.988 N N F39.595 102 590 Inspection Cost 10.210 100 40.402 50 D S9.790 1 N N S39.592 1 133 450 Process model Method 10.071 31.434 40.403 E F9.929 N F28.566 F39.5957 178 940 Finding solutions Part 1: TIC 40.417 25 Part 2: EA 10.166 F F9.834 N N S39.583 0 102 935 Conclusion 10.034 25 40.406 G S9.966 0 N N F39.594 138 015 10.165 100 30.425 H S9.835 1 N F29.575 N 72 550 40.418 I N N N F39.582 73 520 40.411 J N N N F39.589 58 840
  • 40. Further research inspection optimization for MSPS Sofie Van Volsem Suggestions: Introduction MSPS Extensions to the current EA Inspection Cost non-sequential MSPS Process model imperfect inspection Method Finding solutions variable number of simulation runs Part 1: TIC Part 2: EA further development of standard test sets Conclusion validation through real life case studies
  • 41. inspection optimization for MSPS Sofie Van Volsem Joint optimization of all inspection Introduction parameters for multi-stage processes: MSPS Inspection algorithm, simulation and test set Cost Process model Method Finding solutions Part 1: TIC Sofie Van Volsem Part 2: EA Conclusion Department of Industrial Management Ghent University Bruges, April 15, 2009