Joint Admission and Production Sequencing Control for a Make-To-Order System with Two Types of Customer Orders

We consider a manufacturer who produces two types of products based on the make-to-order mode of production. We address the problem of jointly managing the admission control and production sequencing, which has not been covered yet in the make-to-order production literature. The model presented in this paper can be considered in the literature as a single server, two-class M/M/1 queueing system with an admission control. Using the Markov decision process framework, we characterized the structure of the optimal admission and production sequencing control policy by three monotonic switching curves.