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A Problem-Specific and Effective Metaheuristic for Flexibility Design

Author

Listed:
  • Jörn Grahl

    (Johannes Gutenberg-Universität Mainz, Dept. of Information Systems & Business Administration Mainz School of Management and Economics)

  • Michael Schneider

    (Technische Universität Kaiserslautern, Information Systems and Operations Research Department)

  • David Francas

    (Universität Mannheim, Chair of Logistics and Supply Chain Management)

Abstract

Matching uncertain demand with capacities is notoriously hard. Operations managers can use mix-flexible resources to shift excess demands to unused capacities. To find the optimal configuration of a mix-flexible production network, a flexibility design problem (FDP) is solved. Existing literature on FDPs provides qualitative structural insights, but work on solution methods is rare. We contribute the first metaheuristic which integrates these structural insights and is specifically tailored to solve FDPs. Our genetic algorithm is compared to commercial solvers on instances of up to 15 demand types, resources, and 500 demand scenarios. Experimental evidence shows that in the realistic case of flexible optimal configurations, it dominates the comparison methods regarding runtime and solution quality.

Suggested Citation

  • Jörn Grahl & Michael Schneider & David Francas, 2010. "A Problem-Specific and Effective Metaheuristic for Flexibility Design," Working Papers 1001, Gutenberg School of Management and Economics, Johannes Gutenberg-Universität Mainz, revised 28 Jan 2010.
    • Handle: RePEc:jgu:wpaper:1001
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    Flexibility; Metaheuristic; Network Design;
    All these keywords.

    JEL classification:

    • M11 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Production Management

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