Informs Annual Meeting 2017

SD37

INFORMS Houston – 2017

3 - A New Optimization Approach for Unmanned Aerial Vehicle Assignment and Scheduling Haitao Li, University of Missouri-St Louis, College of Business Administration, 229 Express Script Hall, St Louis, MO, 63121- 4400, United States, lihait@umsl.edu Managing unmanned aerial vehicles (UAVs) operations to accomplish military missions is often a formidable task, as it requires both assignment and scheduling decisions to be made simultaneously to optimize performance metrics, while satisfying various technical requirements. We develop a new modeling framework based on assignment-type resource-constrained project scheduling (RCPSP), and devise a decomposition algorithm to obtain optimal or near-optimal solutions for large-scale instances in reasonable computational time. A real world use case is presented to demonstrate the effectiveness and efficiency of our solutions. 351E Supply Chain Management Contributed Session Chair: Zahra Azadi, Clemson University, 110 Heritage Riverwood Drive, Apt M, Central, SC, 29630, United States, zazadi@clemson.edu 1 - Value of RFID in a Non-profit Supply Chain Subjected to Inventory Inaccuracy Arun Kumar Biswal, Research Scholar, IIT Kharagpur, ISE Department, IIT Kharagpur, West Medinipur, Kharagpur, 721302, India, akb@iem.iitkgp.ernet.in, Arun Kumar Biswal, Mamata Jenamani, Sri Krishna Kumar This research investigates the impact of RFID in a Non-profit supply chain to study the effect of shrinkage,misplacement and shrinkage recovery rate on overall costs.We model the situation as a Newsvendor problem to minimize the total expected cost and compare two scenarios with and without RFID. We incorporate deprivation cost in the model to account for the human suffering due to delay in delivery of critical items.We apply the model to Indian Public Distribution System and the results show that ,incentive to deploy RFID depends on the severity of error, the shrinkage recovery rate and the deprivation cost. 2 - Simulation and Optimization for Reevaluating Order Fulfillment Decisions in an Online Retail Environment” Matthew Petering, University of Wisconsin-Milwaukee, Industrial and Manufacturing Engineering Dept, Ems E367, Milwaukee, WI, 53201, United States, mattpete@uwm.edu, Amir Kalantari We devise a discrete event simulation (DES) and optimization framework to compare options for assigning the orders placed with an online retailer to the retailer’s fulfillment centers. We show that large online retailers can meaningfully reduce total shipping costs by intelligently reevaluating their order fulfillment plans. Importantly, the optimization routines in our framework are fully embedded within a DES model so that both the decisions made, and the computation time used, by the optimization routines affect the future evolution of the DES model from time 0 to time infinity. 3 - Stochastic Optimization Models for Vaccine Supply Chain Network Design Zahra Azadi, clemson university, 110 Heritage Riverwood Drive, Apt M, Central, SC, 29630, United States, zazadi@clemson.edu, Sandra D.Eksioglu The main objective of this research is to increase vaccine coverage in low-middle income countries by improving the performance of the corresponding supply chain. We develop a stochastic optimization model which identifies optimal supply chain designs and management strategies. The model considers the limited shelf life of vaccines, variation in manufacturing lead time, facility and transportation costs, as well as variations in patient arrivals at health clinics. The proposed model is an extension of the supply chain network design model. We use a two-stage stochastic Benders decomposition algorithm within a rolling horizon framework to solve the problem. SD35

Conventional dispatching logistics network requires a single trucker picks up at source and delivers to sink. Relay networks have been proposed for improving trucker life as well as solving other drawbacks of conventional networks like high deadhead cost. More recently, Physical Internet has renewed interest by introducing different modeling strategy. In this paper a two-stage mixed integer programming model is proposed for hub and routing design. The model determines the locations and capacities of hubs to meet uncertain demand. The model minimizes overall cost including fixed cost, deadhead cost, transportation cost. A real case study based on the highway grid for Western United State is considered to demonstrate operational practice of the model. 2 - Mechanisms of Smart Service Systems Chiehyeon Lim, Assistant Professor, UNIST.(Ulsan National Institute of Science and Technology), Ulsan, Korea, Republic of, chlim@unist.ac.kr, Paul Maglio Smart service systems are everywhere - in homes and in transportation, energy, and healthcare sectors. In this talk, we discuss mechanisms of smart service systems based on text mining of the broad literature of smart service systems and R&D projects concerning the design of smart transportation, health, energy, and home systems. A model based on such empirical studies is proposed for smart service system design. 3 - Shop Floor Lot-sizing and Scheduling under Uncertain Demand and Workforce Efficiency Yihua Li, Iowa State University, 3014 Black Engineering, Ames, IA, 50014, United States, yihuali@iastate.edu, Guiping Hu A two-stage stochastic programming model is proposed to solve the shop floor lot- sizing and scheduling problem under two sources of uncertainties - products demand from the market, and workforce effectiveness caused by different operational issues (e.g. proficiency of workers, parts availability). The model aims to determine optimal lot sizes and the sequence of lots that minimize total system costs over the production planning horizon, including setup, inventory and fixed costs. A case study is preformed to a supply chain producing brake equipment in the automotive industry. 352B Best IBM Service Science Student Paper Award Competition IV Sponsored: Service Science Sponsored Session Chair: Robin Qiu, Pennsylvania State University, Malvern, PA, 19355, United States, robinqiu@psu.edu 1 - Strategically Giving Service: the Effect of Real-Time Information on Service Efficiency Nil Karacaoglu, Northwestern University, 531 Grove Street, Evanston, IL, 60201, United States, n-karacaoglu@kellogg.northwestern.edu, Antonio Moreno, Can Ozkan Real-time information in on-demand services provides agents with access to an unprecedented amount of information about their competitors. We study the impact of the increased availability of real-time information on the behavior of strategic agents and the implications of this phenomenon for service efficiency using data from an e-hailing taxi platform in South America. We find that agents scatter when they receive real-time information indicating the entry of new competitors into the area. The response is heterogeneous. Agents with a high scattering propensity achieve higher utilization. We investigate the consequences of this behavior for the efficiency of service systems. 2 - Dynamic Availability and Pricing of Upgrades Xiao Zhang, The University of Texas at Dallas, 800 West Campbell Rd, Richardson, TX, 75080, United States, xiao.zhang@utdallas.edu, Metin Çakanyıldırım, Özalp Özer Upgrading, a travel industry practice to mitigate supply-demand mismatches, is often implemented either at the booking time or at the check-in time. We consider dynamically-offered upgrades between the booking and the check-in times by a firm that sells two types of products (premium and regular). The firm decides on the number of regular product purchasers to receive an upgrade notification that includes a link to an upgrade website. A regular product purchaser may accept or reject the upgrade after clicking the link and observing an upgrade fee dynamically determined by the firm. The optimal number of notifications and the optimal upgrade fee are monotone with respect to the leftover capacities. SD37

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351F Service Supply Chain Management Sponsored: Service Science Sponsored Session

Chair: Chiehyeon Lim, UC Merced; POSTECH, 790-784, Engineering Building #4-316, San 31, Hyoja-Dong Nam-Gu, Gyungbuk, Na, Korea, Republic of, chlim@unist.ac.kr 1 - Physical Internet Inspired Network Design for Daily Cyclic Routes

Zhengyang Hu, Research Assistant, Iowa State University, 3014 Black Engineering, Ames, IA, 50014, United States, zhengya@iastate.edu, Guiping Hu

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