APS sequencing algorithms: how they work and where AI fits in

With the advance of Artificial Intelligence (AI), the use of new algorithms for production sequencing is gaining more and more ground. But how do the decisions behind these algorithms work? Whether in optimization models (like genetic algorithms or neural networks) or in heuristics with defined steps, the logic behind APS is changing — and fast.

At NEO Summit 2024, we hosted the roundtable “AI: Hype or Reality?”, where our COO, Victor Todeschini, and Lucas Lauck, head of NEO Labs, discussed with customers the real-world impacts of AI on the day-to-day work of PPCP.

At NEO Summit 2025, the message was clear: AI is not hype, it's reality. The question now is different — how do we avoid the buzzword trap and apply this technology the right way?

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What are optimization algorithms and heuristics?

The standard concept of production sequencing is by heuristics, which have pre-defined decisions to be made. A simple way to understand it: no matter how many times we run the heuristic, we'll always get the same result, because it executes the same step-by-step decision making.

Optimization algorithms come in when the goal isn't just to follow a fixed step, but to find the best possible solution within a set of constraints and variables. Unlike heuristics, which are fast and deterministic, optimization algorithms walk through multiple possibilities, often using strategies such as local search, genetic algorithms or mathematical programming to minimize or maximize an objective function — such as total production time, lateness or setup.

Opcenter APS has always been based on classical heuristics, such as Shortest Processing Time, Earliest Due Date, Similar Setup, among others. They're simple rules, but they work well for a wide range of scenarios.

However, in 2023, NEO launched its own turbo-charged heuristic, called n-SBR (NEO Smart Balancing Rule). n-SBR combines multiple criteria simultaneously — such as due dates, priorities, setups, bottlenecks and historical behavior — delivering results that better fit the factory reality, with customized logic for the challenges of Brazilian industry.

But… what if this heuristic could learn over time? What if it could adapt by itself to different contexts, optimizing decisions based on real data and not just fixed rules?

That is exactly what we're starting to explore: how to power up n-SBR with Artificial Intelligence.

Let's dive into that frontier — where structured logic meets dynamic learning — and discover what happens when we combine the best of both worlds.

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AI, yes. But the right way.

At NEO, AI doesn't come to replace the heuristic — it comes to enhance it. Our focus is on creating a system where AI:

• Learns from historical data to suggest adjustments in n-SBR's logic
  
  
• Simulates scenarios and evaluates impacts before execution
  
  
• Recommends alternative sequencings based on hidden patterns
  
  
• Monitors actual results and feeds them back into the decision process
  
  

This isn't a distant future. We're already developing this ecosystem, combining the robustness of heuristics with the adaptability of AI.

AI is part of the solution. But it should never be an indecipherable black box.
We continue to believe in clear logic, auditable decisions and full control by the production team. That's why, even with AI in play, we keep:

• Transparency in the rules
  
  
• Speed in decisions
  
  
• Flexibility to customize and simulate
  
  

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Conclusion: Technology in service of industry

The secret to APS success is combining the best of heuristics — simplicity, speed and efficiency — with the power of AI applied at the right points. At NEO, our commitment is to solutions that truly work for industry, steering clear of fads and focusing on concrete results.

“Sequencing production in the short, medium and long term — with ease, agility, speed and accuracy — is among the differentiators that Opcenter APS provides us today.”

— Anderson Petter, PPCP Coordinator at America Tampas

If you also want to transform your production planning and sequencing, count on someone who combines cutting-edge technology with shop-floor knowledge to truly power up your business.

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