Citation
Order Acceptance and Scheduling Decisions in Make-to-Order Systems. In proceedings of the 3rd Multidisciplinary International Conference on Scheduling : Theory and Applications (MISTA 2007), 28 -31 August 2007, Paris, France, pages 80-87, 2007.
Paper
Abstract
In this paper, we examine simultaneous order acceptance and scheduling decisions in a make-toorder system. We model the manufacturing environment as a single machine environment, with a set of orders coming from customers. In this pool of orders, of which we know the release dates, due dates, processing times, deadlines, sequence dependent setup times and revenues, manufacturer has to decide on the subset of orders to select, considering the limited production capacity in order to maximize the profit. The tardiness of orders is penalized and revenue gained from an order decreases with tardiness, until the deadline, after which no revenue can be obtained. The problem generalizes some well-known scheduling problems with the objective of minimizing total tardiness and has the sequence dependent setup times as a further complicating property, as well as the order acceptance decisions. As a result, the problem is NP-hard. In this study, first, we give an MILP model for the problem, and solve it with a commercial solver. Next, we propose a Simulated Annealing algorithm to solve the large-size problems. We compare the performance of the algorithm with respect to the optimal solution, when the problem can be solved optimally. We use upper bounds generated by LP relaxation for comparison when optimal objective values are not available.
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Bibtex
@INPROCEEDINGS{2007-080-087-P, author = {Z. Bilginturk and C. Oguz and S. Salman},
title = {Order Acceptance and Scheduling Decisions in Make-to-Order Systems},
booktitle = {In proceedings of the 3rd Multidisciplinary International Conference on Scheduling : Theory and Applications (MISTA 2007), 28 -31 August 2007, Paris, France},
year = {2007},
editor = {P. Baptiste and G. Kendall and A. Munier-Kordon and F. Sourd},
pages = {80--87},
note = {Paper},
abstract = {In this paper, we examine simultaneous order acceptance and scheduling decisions in a make-toorder system. We model the manufacturing environment as a single machine environment, with a set of orders coming from customers. In this pool of orders, of which we know the release dates, due dates, processing times, deadlines, sequence dependent setup times and revenues, manufacturer has to decide on the subset of orders to select, considering the limited production capacity in order to maximize the profit. The tardiness of orders is penalized and revenue gained from an order decreases with tardiness, until the deadline, after which no revenue can be obtained. The problem generalizes some well-known scheduling problems with the objective of minimizing total tardiness and has the sequence dependent setup times as a further complicating property, as well as the order acceptance decisions. As a result, the problem is NP-hard. In this study, first, we give an MILP model for the problem, and solve it with a commercial solver. Next, we propose a Simulated Annealing algorithm to solve the large-size problems. We compare the performance of the algorithm with respect to the optimal solution, when the problem can be solved optimally. We use upper bounds generated by LP relaxation for comparison when optimal objective values are not available.},
owner = {Faizah Hamdan},
timestamp = {2012.05.21},
webpdf = {2007-080-087-P.pdf} }