A new optimization-simulation model considering sustainability factors in the product design

A New Optimization-Simulation Model

  • Elahe mohagheghian Department of Industrial Engineering, Yazd University, Yazd, Iran
  • Hasan Hosseini-Nasab
  • Yahia Zare -Mehrjerdi Zare -Mehrjerdi


Determining appropriate tolerance is a key factor in the design process of many products. Reliability of the product and environmental effects, which can also be affected by tolerances through product life cycle, are often chosen without knowing how such attributes are received by consumers. To fill this gap, this paper proposes a conjoint analysis for understanding how tolerance and pricing decisions influence profit maximization and market share, accounting for consumer perceptions of reliability and environmental friendliness. These optimal values of price and tolerance ​​are entered into the system dynamics model to evaluate the relationships between sustainability, product reliability, and customer satisfaction. By implementing the model obtained under different scenarios, the impact of tolerance and various factors of sustainability, reliability, and customer satisfaction in product design are investigated. As a case study, the computer-based approach is implemented as an industrial product. Results demonstrate that with increasing tolerance, sustainability costs spike but production costs, reliability, and customer satisfaction drop.

Industrial Engineering