This paper presents a project-oriented framework for interactive analy
sis of the feasible plans and schedules that can provide an effective/
efficient flow of orders within a batch process. The proposed approach
is based on a hierarchical project-oriented production model that int
egrates production planning with short-term scheduling and resource le
veling, At the highest layer of the hierarchy, the use of aggregate ac
tivities and their milestone dates is aimed to emphasize a management
perspective of the production model. As a core element of the model a
process task network is used. Each node of this network is expanded fu
rther into sub-tasks and their detailed schedules. Efficiency in resou
rce's usage during short-term scheduling is improved by changing proce
ss task durations. The implementation of the project-oriented producti
on planning methodology has been based on the existing literature in p
roject management (Leachman, 1982, Leachman, 1983; Hackman and Leachma
n, 1989), but many alternative techniques can be used for specific lay
ers (sub-problems) of the proposed hierarchy. An attractive feature of
the project oriented approach is that descentralized decision making
is favored. Conflicts between management objectives and shop-floor dec
isions are solved iteratively in a two-tier scheme. Simple examples ar
e considered to illustrate the potentials and advantages of the projec
t-oriented approach. (C) 1998 Elsevier Science Ltd. All rights reserve
d.