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A two-stage stochastic programming approach to employee scheduling in retail outlets with uncertain demand

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  • Parisio, Alessandra
  • Neil Jones, Colin

Abstract

This paper describes an employee scheduling system for retail outlets; it is a constraint-based system that exploits forecasts and stochastic techniques to generate schedules meeting the demand for sales personnel. Uncertain scenarios due to fluctuating demand are taken into account to develop a stochastic operational optimization of staffing levels. Mathematically, the problem is stated as a mixed-integer linear programming problem. Simulations with store data belonging to a major Swiss retailer show the effective performance of the proposed approach. The schedule quality is assessed through comparison with a deterministic scheduling package, which has been used at several outlets in Switzerland.

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  • Parisio, Alessandra & Neil Jones, Colin, 2015. "A two-stage stochastic programming approach to employee scheduling in retail outlets with uncertain demand," Omega, Elsevier, vol. 53(C), pages 97-103.
    • Handle: RePEc:eee:jomega:v:53:y:2015:i:c:p:97-103
    DOI: 10.1016/j.omega.2015.01.003
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