Hybrid approach of discrete event simulation integrated with location search algorithm in a cells assignment problem: a case study

[EN] This paper presents a case study describing a cell assignment problem in an assembly facility. These cells receive parts from external suppliers, and sort and sequence these parts to feed the final assembly line. Therefore, to each cell are associated important inbound and outbound flows generating hundreds of material handling equipment movements along the facility, impacting the traffic density and causing eventually safety issues in the plant. Following an important plant redesign, cells have been relocated, and the plant managers need to decide how to manage the new logistic flows. To that aim, a hybrid approach encompassing mathematical optimization and discrete event simulation (DES) is proposed. This approach allows us to reduce complexity by decomposing the design into two phases. The first phase deals with the problem of generating cell¿s assignment alternatives by using a heuristic method to find good quality solutions. 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Real-time optimization of an integrated production-inventory-distribution problem.

In today\u27s competitive business environment, companies face enormous pressure and must continuously search for ways to design new products, manufacture and distribute them in an efficient and effective fashion. After years of focusing on reduction in production and operation costs, companies are beginning to look into distribution activities as the last frontier for cost reduction. In addition, an increasing number of companies, large and small, are focusing their efforts on their core competencies which are critical to survive. This results in a widespread practice in industry that companies outsource one or more than one logistics functions to third party logistics providers. By using such logistics expertise, they can obtain a competitive advantage both in cost and time efficiency, because the third party logistics companies already have the equipment, system and experience and are ready to help to their best efforts. In this dissertation, we developed an integrated optimization model of production, inventory and distribution with the goal to coordinate important and interrelated decisions related to production schedules, inventory policy and truckload allocation. Because outsourcing logistics functions to third party logistics providers is becoming critical for a company to remain competitive in the market place; we also included an important decision of selecting carriers with finite truckload and drivers for both inbound and outbound shipments in the model. The integrated model is solved by modified Benders decomposition which solves the master problem by a genetic algorithm. Computational results on test problems of various sizes are provided to show the effectiveness of the proposed solution methodology. We also apply this proposed algorithm on a real distribution problem faced by a large national manufacturer and distributor. It shows that such a complex distribution network with 22 plants, 7 distribution centers, 8 customer zones, 9 products, 16 inbound and 16 outbound shipment carriers in a 12-month planning period can be redesigned within 33 hours. In recent years, multi-agent simulation has been a preferred approach to solve logistics and distribution problems, since these problems are autonomous, distributive, complex, heterogeneous and decentralized in nature and they require extensive intelligent decision making. Another important part in this dissertation involved a development of an agent-based simulation model to cooperate with the optimal solution given by the optimization model. More specifically, the solution given by the optimization model can be inputted as the initial condition of the agent-based simulation model. The agent-based simulation model can incorporate many other factors to be considered in the real world, but optimization cannot handle these as needed. The agent-based simulation model can also incorporate some dynamics we may encounter in the real operations, and it can react to these dynamics in real time. Various types of entities in the entire distribution system can be modeled as intelligent agents, such as suppliers, carriers and customers. In order to build the simulation model more realistic, a sealed bid multiunit auction with an introduction of three parameters a, ß and y is well designed. With the help of these three parameters, each agent makes a better decision in a simple and fast manner, which is the key to realizing real-time decision making. After building such a multi-agent system with agent-based simulation approach, it supports more flexible and comprehensive modeling capabilities which are difficult to realize in a general optimization model. The simulation model is tested and validated on an industrial-sized problem. Numerical results of the agent-based simulation model suggest that with appropriate setting of three parameters the model can precisely represent the preference and interest of different decision makers

Inventory routing problem with carbon emission consideration

Inventory Routing Problem (IRP) has been continuously developed and im- proved due to pressure from global warming issue particularly related to greenhouse gases (GHGs) emission. The burning of fossil fuel for transportations such as cars, trucks, ships, trains, and planes primarily emits GHGs. Carbon dioxide (CO2) from burning of fossil fuel to power transportation and industrial process is the largest contributor to global GHGs emission. Therefore, the focus of this study is on solving a multi-period inventory routing problem (MIRP) involving carbon emission consideration based on carbon cap and offset policy. Hybrid genetic algorithm (HGA) based on allocation first and routing second is used to compute a solution for the MIRP in this study. The objective of this study is to solve the proposed MIRP model with HGA then validate the effectiveness of the proposed HGA on data of different sizes. Upon validation, the proposed MIRP model and HGA is applied on real-world data. The HGA is found to be able to solve small size and large size instances effectively by providing near optimal solution in relatively short CPU execution time

An interactive product development model in remanufacturing environment: a chaos-based artificial bee colony approach

This research presents an interactive product development model in re-manufacturing environment. The product development model defined a quantitative value model considering product design and development tasks and their value attributes responsible to describe functions of the product. At the last stage of the product development process, re-manufacturing feasibility of used components is incorporated. The consummate feature of this consideration lies in considering variability in cost, weight, and size of the constituted components depending on its types and physical states. Further, this research focuses on reverse logistics paradigm to drive environmental management and economic concerns of the manufacturing industry after the product launching and selling in the market. Moreover, the model is extended by integrating it with RFID technology. This RFID embedded model is aimed at analyzing the economical impact on the account of having advantage of a real time system with reduced inventory shrinkage, reduced processing time, reduced labor cost, process accuracy, and other directly measurable benefits. Consideration the computational complexity involved in product development process reverse logistics, this research proposes; Self-Guided Algorithms & Control (S-CAG) approach for the product development model, and Chaos-based Interactive Artificial Bee Colony (CI-ABC) approach for re-manufacturing model. Illustrative Examples has been presented to test the efficacy of the models. Numerical results from using the S-CAG and CI-ABC for optimal performance are presented and analyzed. The results clearly reveal the efficacy of proposed algorithms when applied to the underlying problems. --Abstract, page iv

Design of Closed Loop Supply Chains

Increased concern for the environment has lead to new techniques to design products and supply chains that are both economically and ecologically feasible. This paper deals with the product - and corresponding supply chain design for a refrigerator. Literature study shows that there are many models to support product design and logistics separately, but not in an integrated way. In our research we develop quantitative modelling to support an optimal design structure of a product, i.e. modularity, repairability, recyclability, as well as the optimal locations and goods flows allocation in the logistics system. Environmental impacts are measured by energy and waste. Economic costs are modelled as linear functions of volumes with a fixed set-up component for facilities. We apply this model using real life R&D data of a Japanese consumer electronics company. The model is run for different scenarios using different parameter settings such as centralised versus decentralised logistics, alternative product designs, varying return quality and quantity, and potential environmental legislation based on producer responsibility.supply chain management;reverse logistics;facility location;network design;product design

Supply chain resilience and risk management strategies and methods

Abstract. The changing global market due to Industry 4.0 and the recent pandemic effect has created a need for more responsiveness in an organization’s supply chain. Supply chain resilience offers the firm not only to avoid disruptions but also to withstand the losses due to a disruption. The objective of this research is to find out how resilience is defined so far in other literature and find out the strategies available to gain the resilience fit for an organization. First, in the literature review, the previous studies on resilience were studied to understand what supply chain resilience means. Then, the key results and findings are discussed and conclusions are presented. The research found some interesting strategies for gaining the resilience fit. The benefits and the stakeholders for each strategy are also pointed out. These strategies can be used according to the organization’s business strategy. These strategies aligned with the business strategy can make a huge difference to withstand potential disruption and gaining a competitive advantage against the market competitors

Supply Chain Management and Management Science: A Successful Marriage

The last century has witnessed extant studies on the applications of Management Science (MS) to a diverse set of Supply Chain Management (SCM) issues. This paper provides an overview of the contribution of MS within SCM. A framework is developed in this paper with a sampling of MS contributions to major SCM dimensions. Future research directions are presented