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  4. A Heuristic Master Planning Algorithm for Supply Chain with Fairness and Order Splitting
 
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A Heuristic Master Planning Algorithm for Supply Chain with Fairness and Order Splitting

Date Issued
2005
Date
2005
Author(s)
Wu, Hung-Yu
DOI
zh-TW
URI
http://ntur.lib.ntu.edu.tw//handle/246246/54303
Abstract
This study focuses on solving the problem related to the master planning of “Advanced planning and scheduling”. Given a supply chain network providing multiple final products, the fairness of treating different customers by splitting demands and the effectiveness of choosing the right vendors at the right time are all major issues considered in this study under the capacitated assumption. Two multiple-goal MIP models are proposed: Model_D_F_T, which minimizes the delay cost first, followed by maximizing the fairness among different orders, and finally minimizes the total cost; and Model_F_D_T, which maximizes fairness among different orders first, followed by maximizing the delay cost, and finally minimizes the total cost. The fairness goal in this study is defined as the number of orders whose minimum requirement is fulfilled at or before their corresponding due days. In additions, two kinds of order splitting situations are considered in the study: customer-side and supply members of supply chain as well as two kinds of fixed splitting cost included in the total cost of supply chain which are simultaneously optimized. It may take a lot of computing resource to solve the problems formulated as a MIP model if feasible solutions exist. However, the causes of infeasibility cannot be identified when the problems have no feasible solution. In order to improve the efficiency and effectiveness of the solution process, a heuristic algorithm, called Heuristic Order Splitting and Fairness Algorithm or HOSFA, is proposed. HOSFA first prepares the needed information for transforming all nodes in the network to the single function, searching all the sub-networks for different final products, and setting up the cost on each nodes of the supply chain network. It then sorts the orders by an initial order sorting algorithm proposed in this study, assigns the quota to all orders by considering the constraints of capacity, and finally plans the orders according to the allocated quota. If some orders are not fulfilled completely after the first phase planning, the second phase planning is evoked. It sorts the unfulfilled orders and plans them one-by-one by using the unused capacities or delaying orders if necessary. When all the orders are finally fulfilled, an adjustment algorithm is applied to find a better combination of vendors’ capacity usage. HOSFA results in the same optimal solution as the one provided by CPLEX of ILOG in 8 scenarios with no delay orders. In 32 scenarios with delayed orders, HOSFA outperforms Lin’s algorithm in terms of fairness and splitting cost for most of the scenarios. HOSFA is very efficient in solving the large scale master planning problem. It takes only 165 minutes to solve a large scale master planning problem with 3 final product and 2000 orders.
Subjects
供應鏈管理
主規劃排程
啟發式演算法
先進規劃排程
多目標最佳化
公平性
切單
Supply Chain Management
Master Planning
Heuristic Algorithm
Advanced planning and scheduling
Multiple-goal Optimization
fairness
order splitting
Type
other
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