Optimization of global production network structures

Current methodologies for optimizing the structure of production networks do not consider qualitative factors in an adequate way. The method being developed by the Fraunhofer IPA analyzes both costs and qualitative factors classified into risks and values in an integrated manner to determine the global optimum of a production network. In order to compare these quantitative and qualitative factors, a multi-criteria optimization approach is used. The production network is modeled as a mixed-integer linear optimization program. For realizing the optimization model IBM ILOG CPLEX Optimization Studio is used