Abstract
Process optimization is a major decision problem when drawing a balance between meeting variable demands and maintaining the quality of products in food processing industries. Simulation is a useful technique to study the effects of system changes in production processes. A case study conducted in a Rusk manufacturing company in Saudi Arabia gives the template for the reported work. An Arena simulation model was developed to analyse the effects of the processes involved on the productivity of the production line. Various scenarios representing different production setups were tried for running the model. Optimal conditions of production under which productivity can be improved were arrived at. The changes made in the production line resolved all bottlenecks, improved utilization of all machines, eliminated most of the queues at many production stations. An increase of about 50% in production and a decrease of 11.4% in average total time for a box of Rusk in the system were achieved for an additional capital investment that can be paid back in 35 days from the additional expected profit.