Sharif Digital Repository

This paper presents optimal scheduling in a two-machine flow shop, in which the objective function is to minimize the sum of maximum earliness and tardiness (n/2/P/ETmax). Since this problem tries to minimize earliness and tardiness, the results can be useful for different production systems such as just in time (JIT). This objective function has already been considered for n jobs and m machines, but the proposed algorithms are not efficient to solve large scale problems. In this paper, neighborhood conditions are developed and the dominant set for any optimal solution is determined. The branch-and-bound (B&B) method is used to solve the problem and the proper upper and lower bounds are also... 

We consider coordination by contract in a divergent supply chain including one manufacturer and several retailers which produces fashion products with short sale seasons. The retailers cooperate with the manufacturer as sales agents; i.e., they work in the framework of revenue sharing contracts. Because of their proximity to the market, retailers can provide more accurate demand forecast for the manufacturer when he wants to decide on his capacity building (expansion), product assignment decision and market prices with regard to retailers stiff due date, different lead times and different price-dependent demand functions. To ensure abundant supply and increase their sales, the retailers have... 

Time, cost and quality are among the crucial aspects of each project. In recent years, the demands of project stakeholders regarding reductions in the total cost and time of a project along with achieving the acceptable quality of the project have risen significantly. This leads researchers to developing models that incorporate the quality factor to previously existing time cost trade-off models.We develop a model for discrete time-cost-quality trade-off problem. For each activity, an execution mode can be selected from a number of possible ones. The time and cost of each mode are assumed to be crisp but the quality of each mode is a linguistic variable. Therefore, in this paper, fuzzy logic... 

We propose a robust optimization framework to deal with uncertain component reliabilities in redundancy allocation problems in series-parallel systems. The proposed models are based on linearized versions of standard mixed integer nonlinear programming (MINLP) formulations of these problems. We extend the linearized models to address uncertainty by assuming that the component reliabilities belong to a budgeted uncertainty set, and develop robust counterpart models. A key challenge is that, because the models involve nonlinear functions of the uncertain data, classical robust optimization approaches cannot apply directly to construct their robust optimization counterparts. We exploit problem... 

We propose a robust deviation framework to deal with uncertain component reliabilities in the constrained redundancy optimization problem (CROP) in series-parallel reliability systems. The proposed model is based on a linearized binary version of standard nonlinear integer programming formulations of this problem. We extend the linearized model to address uncertainty by assuming that the component reliabilities belong to an interval uncertainty set, where only upper and lower bounds are known for each component reliability, and develop a Min-Max regret model to handle data uncertainty. A key challenge is that, because the deterministic model involves nonlinear functions of the uncertain... 

Time, cost and quality are among the major objectives of any project. In recent years, the demands of project stakeholders regarding reductions in the total cost and time of a project along with achieving the desirable quality of the project have risen significantly. This leads researchers to developing models that incorporate the quality factor to previously existing time-cost trade-off models. This study presents a model for the discrete time-cost-quality trade-off problem. In this model there are a number of execution modes to select for each activity, and the best execution mode (t, c, q) of the activities should be determined to optimize total cost and time objectives, subjected to... 

Consider a two-station, heterogeneous parallel queueing system in which each station operates as an independent M/M/1 queue with its own infinite-capacity buffer. The input to the system is a Poisson process that splits among the two stations according to a Bernoulli splitting mechanism. However, upon arrival, a strategic customer initially joins one of the queues selectively and decides at subsequent arrival and departure epochs whether to jockey (or switch queues) with the aim of reducing her own sojourn time. There is a holding cost per unit time, and jockeying incurs a fixed non-negative cost while placing the customer at the end of the other queue. We examine individually optimal... 

We extend a heuristic method within the framework of "dynamic capacity apportionment procedure" (DCAP) to allocate an existing capacity among the classes with different profit contributions. In general, DCAP is applied when some capacity shortage exists and can not be enhanced in short - run. Our proposed approach is constructed for a make - to - order manufacturing system that produces a variety of products while experiences a burst of demand in excess of capacity. Although, a higher level of profit can be gained by accepting more orders from higher priority classes at the expense of rejecting some or all of orders of lower priority classes, it may result in elimination of an existing... 

This paper proposes an innovative robust-fuzzy method for multi-objective, multi-period supplier selection problem under multiple uncertainties. This approach integrates robust optimization and fuzzy programming. Uncertain parameters are modeled as random variables that take value within a symmetrical interval. However, due to the complexity or ambiguity of some real world problems and especially the nature of some of the available input data, the length of interval is also highly uncertain. This ambiguity motivated us to present a new approach, which could be applicable to multiple uncertainties conditions. Thus, in our approach, the half-length of these intervals is also represented by... 

Existing revenue management methods and heuristics rely on specific demand-side assumptions such as customers' independent decisions over time. We relax the assumption that purchasing decisions depend only on the current price and are independent of previous prices of the same or similar products. On the contrary, we assume that customers' decisions depend on the product's past prices through a reference price. With this new dimension, a firm needs not only to manage its remaining capacity but also to control the reference price to maximize its expected future profit. In this situation, we show that some of the main analytical properties such as monotonicity or modularity of the firm's value... 

This paper presents a novel model for designing a reliable network of facilities in closed-loop supply chain under uncertainty. For this purpose, a bi-objective mathematical programming formulation is developed which minimizes the total costs and the expected transportation costs after failures of facilities of a logistics network. To solve the model, a new hybrid solution methodology is introduced by combining robust optimization approach, queuing theory and fuzzy multi-objective programming. Computational experiments are provided for a number of test problems using a realistic network instance  

By applying shortest path analysis in stochastic networks, we introduce a new approach to obtain the reliability function of time-dependent systems with standby redundancy. We assume that not all elements of the system are set to function from the beginning. Upon the failure of each element of the active path in the reliability graph, the system switches to the next path. Then, the corresponding elements are activated and consequently the connection between the input and the output is established. It is also assumed each element exhibits a constant hazard rate and its lifetime is a random variable with exponential distribution. To evaluate the system reliability, we construct a directed... 

In this paper, an analytical method is developed to compute the project completion time distribution in a dynamic PERT network, where the activity durations are exponentially distributed random variables. The projects are generated according to a renewal process and share the same facilities. Thus, these projects cannot be analyzed independently. The authors' approach is to transform this dynamic PERT network into a stochastic network and, then, to obtain the project completion time distribution by constructing a proper continuous-time Markov chain. This dynamic PERT network is represented as a network of queues, where the service times represent the durations of the corresponding activities... 

Speed and price are the two most important factors in customer satisfaction and business success in today's competitive environment. Time-based product differentiation and segment pricing have provided firms with a great opportunity to profit enhancement. This paper presents a coding system for pricing/queuing models in the literature. In this article, a service/make-to-order firm with heterogeneous price and delivery time-sensitive customers as an M/M/1 queuing system is analyzed. The firm uses customers' heterogeneity to create market segments. Products offered to each segment differ only in price and delivery time. The objective of this profit-maximizing firm is to determine optimal... 

Network marketing is a business model that depends upon a network of distributors for growth, such as in multilevel marketing. A direct selling method features independent agents that make up a distribution network for goods and services. This paper provides a framework to study the network marketing by adopting the traditional channel. To motivate all distributers in network marketing as well as retailers, it is required to design a well-balanced distribution and pricing system. The allocated commission for distributers in different layers of network marketing is part of pricing system, which is vital. In this paper, we develop an approach to determine all elements of system, including... 

A new model for long-term operation of hydrothermal power systems is introduced, and a method for obtaining an optimal solution is developed. We assume both reservoir inflows and energy demand are stochastic and all units are exposed to random outages. The objective is to minimize the total cost of the system as well as the expected interruption cost of energy (EIC) during a given planning horizon. This goal is reached through simultaneous determination of hydro plant discharges, thermal units energy output, and the system reliability level. Long-term hydrothermal system operation planning and system reliability determination are integrated in a unified model. Since the resulting model is a... 

A new model for long-term operation of hydrothermal power systems is introduced and a method for obtaining an optimal solution is also developed. We assume that reservoir inflows and energy demand are stochastic and all units are exposed to random outages. The objective is to minimize the total cost of the system as well as the expected interruption cost of energy (EIC) during a given planning horizon. This goal is reached through determination of hydroplant discharges, thermal units energy output, and the system reliability level simultaneously. In fact, we integrate long-term hydrothermal system operation planning and system reliability determination in a unified model. Since the resulting... 

Marketing managers concern that Word-of-Mouth (WOM) can affect the efficiency of sales promotion policy. Sales promotion might also amplify the strength of WOM which further complicates decision-making. In this study, we deploy an agent-based simulation optimization framework to find an efficient sales promotion plan in the presence of WOM for launching re-purchasable products. In this model, consumers' purchase decisions are influenced by price history, availability and satisfaction of the consumers, and positive/negative WOM. We show that taking WOM on board while determining the promotion plan can significantly increase the net present value. However, amplifying WOM might damage the... 

In this paper, we develop an approach to optimally allocate a limited nonrenewable resource among the activities of a project, represented by a PERT-Type Network (PTN). The project needs to be completed within some specified due date. The objective is to maximize the probability of project completion on time. The duration of each activity is an arbitrary discrete random variable and also depends on the amount of consumable resource allocated to it. On the basis of the structure of networks, they are categorized as either reducible or irreducible. For each network structure, an analytical algorithm is presented. Through some examples, the algorithms are illustrated  

Pricing and availability of tickets have always been a source of confusion for customers in transportation industries. What is the best time to buy tickets? Why passengers taking the same flight might pay significantly different prices for the same seat? Why round trip tickets between two cities sometimes become cheaper than the one-way flights between them? Is it fair to buy a ticket for an itinerary cheaper than a ticket for just a part of it? These observations make customers wonder why they pay higher prices for shorter flights. In this paper, we study the airlines' revenue management systems and explain some of these pricing schemes in travel industries. We develop a simulator to study...