Article ID Journal Published Year Pages File Type
1697358 Journal of Manufacturing Systems 2016 14 Pages PDF
Abstract

•An integrated production and distribution scheduling model in a supply chain with production and transportations costs is studied.•We analyze the problem in both single objective and bi-objective cases and formulate it as a linear integer programming model.•We develop a set of heuristic and metaheuristic algorithms for both single objective and bi-objective cases.•Using extensive computational results, we compare solutions approaches and show the efficiency of production and distribution integration.

We study an integrated production and distribution scheduling model in a supply chain. In this problem, there is a set of orders from several customers that has to be processed on a single machine located in a factory. Each order has a release date imposed by the corresponding supplier for delivering the order. In the factory, orders must be batched and routed to be delivered to the corresponding customers. We propose a bi-objective model in order to find a joint schedule of production and distribution to optimize the customers’ service level, measured as the mean delivery time and the total transportation cost. An integer linear programming model, in which a weighted sum of both objectives is converted to a single objective, is developed and solved. In addition, two local search algorithms and a metaheuristic algorithm based on tabu search are developed to solve large-scale problems at reasonable times. Moreover, two bi-objective solution methods are developed to find the Pareto solutions for the bi-objective problem. Finally, the performances of all developed solution approaches are analyzed and compared using randomly generated test sets and managerial insights are drawn from multiple numerical experiments.

Related Topics
Physical Sciences and Engineering Engineering Control and Systems Engineering
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