In production planning (PP) periods with excess capacity
and growing demand, the manufacturers have two options to use the excess capacity. First, it could do more changeovers and thus reduce lot sizes, inventories, and inventory costs. Second, it could produce in excess of demand in the period and build additional inventory that can be used to satisfy future demand increments, thus
delaying the purchase of the next machine that is required to meet the growth in demand. In this study we propose an enhanced supply
chain planning model with flexible planning capability. In addition, a 3D supply chain planning system is illustrated.
Supply chain, capacity expansion, inventory management, planning system.