Abstract
78 SUMMARY Production planning and control are one of the first activity from the point of productivity and profitability for businesses. The minimization of the costs of raw materials plays important role in production planning and control. It is aimed to study the amount of savings to be obtained by minimizing the costs of raw materials which are used for the production of nine fodder in Erzurum Fodder Factory of Turkish Fodder Industry Corporation. Two different models established for each fodder, and fodder analysis values and some other conditions are accepted as constraints which are necessary in the models.The first models established on the basis of raw materials used in the factory, and the second models established on the basis of probable raw materials used for production. Additive materials are not included to both models. According to optimal solutions, in the first period egg- hen fodder 15.57 %, in the second period egg- hen fodder 14.77 %, in the egg- chick fodder 7.9 %, in the chicken grow fodder 12 %, in the chicken develop fodder 14.10 %, in the lamb- calf grow fodder 8.8 %, and in the urealess milk fodder 5.8 %, savings can be obtained. The results of the optimal solution for lamb- calf start fodder is equal to actual cost, therefore there is not savings. Optimal solution value for urealess nourishment fodder is much higher actual costHowever the urealess nourisment fodder analysis values were not physically possible to find of less than optimal solution costs, so it is concluded that of factory does not satisfy the analysis values. At the end of the study, some purposals put forward in order to reduce production cost in the factory.