Various kind of productions are made in semiconductor fabrications, where it employs the production system with multiprocesses and multiple Automated Guided Vehicles(AGVs) for transportation. It is difficult to optimize planning of production and transportation simultaneously because of the complicated flow of semifinished products. This paper describes the formulations of production scheduling, transportation routing and sequence planning of material handling system, and algorithm for simultaneous optimization of plannings by using solution space reduction and simulated annealing method. In this paper, all production system is decomposed to the production scheduling problem, transportation routing problem by AGVs and sequence planning of material handling system with managing stockers and buffers. Production scheduling problem and transportation routing problem are solved by the optimization algorithm using the decomposition routing problem. Sequence planning of material handling robot problem is solved by the algorithm using simulated annealing method.