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Modelling and Simulation in Engineering
Volume 2012, Article ID 189742, 9 pages
Research Article

A New Optimization via Simulation Approach for Dynamic Facility Layout Problem with Budget Constraints

1Faculty of Industrial and Mechanical Engineering, Islamic Azad University of Qazvin, Daneshgah St., Nokhbegan Blvd., P.O. Box 34185141, Qazvin, Iran
2Sales Department, Iran Khodro Industrial Group, Tehran, Iran

Received 29 November 2011; Accepted 5 January 2012

Academic Editor: Hing Kai Chan

Copyright © 2012 Parham Azimi and Hamid Reza Charmchi. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.


A new efficient heuristic algorithm has been developed for the dynamic facility layout problem with budget constraint (DFLPB) using optimization via simulation technique. The heuristic integrates integer programming and discrete event simulation to address DFLPB. In the proposed algorithm, the nonlinear model of the DFLP has been changed to a pure integer programming (PIP) model. Then, the optimal solution of the PIP model has been used in a simulation model that has been designed in a similar manner as the DFLP for determining the probability of assigning a facility to a location. After a sufficient number of runs, the simulation model obtains near optimum solutions. Finally, to test the performance of the algorithm, several test problems have been taken from the literature and solved. The results show that the proposed algorithm is more efficient in terms of speed and accuracy than other heuristic algorithms presented in previous works.