INTEGRATED PRODUCTION AND TRANSPORTATION SCHEDULING IN SUPPLY CHAIN OPTIMISATION

摘要

In this chapter, an integrated production and transportation scheduling model is proposed. This model is based on multi-item capacitated lot sizing and facility location type models. The objective of the integrated model is to minimize the total production and transportation cost. The integrated model is solved by Lagrangian decomposition method and the decomposed two sub-problems can be solved by genetic algorithm and Simplex method respectively. Computational results showed that the overall cost is reduced by 4% to 10% compared with the other two sequential optimization algorithms.