Performance analysis of a two stage, hybrid material flow (R,Q) production-inventory model

We develop an analytical model of a two stage, hybrid discrete-continuous flow production inventory system from first principles. This two stage model is to be used as a building block to help extend the current continuous flow models of production lines to incorporate the raw material supply process. To evaluate its performance, we develop equations for the performance criteria that are independent of the size of the raw material buffer parameters. This enables a fast analysis of system performance which is critical when using these models for the optimization of manufacturing systems.