In a multi-product, flexible manufacturing environment, line capacity of pr
inted wiring board (PWB) assembly systems may need to be adjusted at the be
ginning of each aggregate planning period because of demand fluctuation ove
r multiple periods. A model of production planning and equipment changeover
scheduling at the aggregate level is developed. In the described model, th
ree kinds of equipment changeover methods, i.e. adding machine, removing ma
chine and transferring machine, are involved. Because the model is a large-
scale integer programming problem, it cannot be solved directly. A solution
approach is developed, which first solves a recursive linear programming p
roblem to obtain a rough set of machines to be added and a rough set of mac
hines to be removed for each machine line in each period, then applies a br
anch and bound heuristic to the rough sets to obtain near-optimal solutions
to the equipment changeover scheduling problem. Computational studies show
the financial benefit both on capital cost and equipment changeover costs.