Abstract:
This thesis was carried out in Jimma Industrial Park of medium scale shoes factory. The aim with
this thesis is to increase the production line performance accordingly minimize the waiting time.
Production line is often associated with large volumes of production as the line of each station in
the manufacturing process. The characteristic of that line have a specific number of machines are
linked to some form of equipment handling or transporting. This production line plant layout have
indicate that some gaps, that gaps are between exist output performance and expected production
capacity have critical problems, because now a day there are several competition among this type
of manufacturers. So, this study is to optimize the production line using Monte Carlo method to
evaluate the performance of exist production line with new model. As a result, the model's output
shows that the stations' relatively under-performance rates from 154.6% to 200%. The probability
distribution of each station with their corresponding production capacity is Uniform, Binomial, or
Negative binomial. The company have beneficial after improving their production line by
developing a new model through optimizing techniques. This improvement would reduce operating
cost and maintenance cost. It also brings additional benefits increasing in both profit and
productivity as a whole. Overall, optimizations have to be undertaking on the whole factory
production line to improve the production plant layout and their performance
