Abstract
With the MRP (Material Requirements Planning) system, the determination of lot size plays a significant role. Until now, in the case of MRP, multistage works have not existed. In this paper, a model is constructed in order to determine assembly production and transportation plans. Then, the model is formulated by the MILP (Mixed Integer Linear Programming) method and an optimal solution is derived. In addition, a numerical example is shown to demonstrate the effectiveness of the proposed technique.