Informs 2015

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INFORMS Philadelphia – 2015
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4 - The Trade-off Between Market Efficiency and Compensation
Payments in Unit Commitment Problems
Daniel Huppmann, Postdoctoral Fellow, Johns Hopkins
University, German Institute for Economic Research (DIW
Berlin), 3400 N. Charles St., Baltimore, MD, 21218, United States
of America, Sauleh Siddiqui
We apply an exact solution method for binary equilibrium problems to a large-
scale power market unit commitment problem based on a realistic dataset. We
illustrate the trade-off between efficient market operations (least-cost dispatch)
against the budget required for compensation payments to guarantee incentive-
compatibility of all market participants. The results are contrasted with prices and
dispatch according to the current practice in market operation.
MC62
62-Room 112A, CC
Operations Management with Carbon Restrictions
Environmental Concerns
Sponsor: ENRE – Environment I – Environment and Sustainability
Sponsored Session
Chair: Ulku Gurler, Professor, Ihsan Dogramaci Bilkent University,
Industrial Engineering Department, Ankara, 06800, Turkey,
Co-Chair: Emre Berk, Bilkent University, Management Faculty, 06800
Bilkent, Ankara, Turkey,
1 - Supply Chain Coordination with Resource Constraints:
Analysis of Buyback and Target Rebate Contracts
A. Serdar Simsek, Cornell ORIE, 282 Rhodes Hall, Ithaca, NY,
14853, United States of America,
Ulku Gurler, Malek Ebadi
We analyze certain supply chain contracts under resource constraints such as
carbon emission or cash constraints. We consider a setting where both the
manufacturer and the retailer can trade with their available resources in the
marketplace after they decide the order quantities and analyze the range of
buyback and target rebate contract parameters that would achieve coordination
and the resulting profit share structure. We also provide extensive numerical
analysis to study some practical cases.
2 - Multiple Input Newsvendor Ploblem with Environment
Concious Customers
Ulku Gurler, Professor, Ihsan Dogramaci Bilkent University,
Industrial Engineering Department, Ankara, 06800, Turkey,
, Nazli Sonmez
In this work the inventory replenishment problem of a newsvendor with
multiple inputs is considered when the customers have environmental concerns.
In particular, it is assumed that the carbon emission of the final product is a
function of the carbon emissions of the inputs and the customer demand
decreases with the product’s carbon emissions. The optimal order quantity of the
newsvendor is investigated and some numerical results are provided.
3 - Technology Selection for Production Firms in a Carbon Economy
Emre Berk, Bilkent University, Management Faculty, 06800
Bilkent, Ankara, Turkey, , Onurcan Ayas
In this study, we address public policy structures and their implications on
technology selection decisions for product design and pollution abatement in the
presence of carbon emission restrictions and carbon markets. We consider a
number of demand/utility functions to capture the firm behavior. We model
technology primarily as a knowledge-based input in a multi-input setting. We
provide some analytical results on technology enhancement conditions and
illustrative numerical examples.
4 - How to use Data Analytics for Smarter Energy Management
Ozge Islegen, Assistant Professor, Northwestern University,
Kellogg School of Management, 2001 Sheridan Road,
Evanston, IL, 60208, United States of America,
The electricity industry has recently enjoyed the influx of “big data”. Through
smart grid technologies, many firms now have access to the consumption
behavior of their customers in unprecedented detail. This talk demonstrates how
firms use this data to design effective demand side management programs to
change the consumption behavior of their customers.
MC63
63-Room 112B, CC
Advanced Manufacturing II
Sponsor: Advanced Manufacturing
Invited Session
Chair: Binil Starly, Associate Professor, North Carolina State University,
406 Daniels Hall, Raleigh NC 27607, United States of America,
1 - Out-of-plane Geometric Error Prediction for
Additive Manufacturing
Qiang Huang,Associate Professor, University of Southern
California, GER 240, USC, Los Angeles CA,
United States of America, , Yuan Jin
We aim to establish a methodology to predict the out-of-plane geometric error
prediction in additive manufacturing processes. We provide a novel spatial
deviation formulation in which both in-plane and out-of-plane errors are placed
under a consistent mathematical framework. The derived predictive model for
out-of-plane errors is validated through experimentation using a
stereolithography process.
2 - Engineering of Surface Microstructure using Severe Plastic
Deformation in Machining
Sepideh Abolghasem,Postdoctoral Researcher, Universidad de los
Andes, Carrera 1 Este # 19 A - 40, Bogota, Colombia,
, Raha Akhavan-Tabatabaei,
Meenakshisundar Ravi Shankar, Roberto Zarama Urdaneta
Severe Plastic Deformation leads to surface microstructures with enhanced
properties, which is unfortunately limited by poorly elucidated process-
parameters linkages. While research in manufacturing has been traditionally
dedicated to phenomenological models, here the effort is to bridge these gaps
through understanding the underlying physics of materials and application of
statistical techniques. This will provide a powerful tool for microstructure
prediction, control, and optimization.
3 - Cellular Biomanufacturing: Expansion of Stem Cells in Rotating
Wheel Bioreactors
Binil Starly,Associate Professor, North Carolina State University,
406 Daniels Hall, Raleigh NC 27607, United States of America,
Stem cells are critical components of regenerative medicine therapy. However, the
therapy will require millions to billions of therapeutic stem cells. To address the
need, we have recently cultured stem cells in 3D microgels and use them as a
vehicle for cell expansion within a low shear stress rotating wheel type bioreactor
within a 500ml volumetric setting. This study specifically highlights the cell
encapsulation, harvesting and operation of microbeads within a dynamic
bioreactor environment.
MC64
64-Room 113A, CC
Behavioral Decision Analysis
Sponsor: Decision Analysis
Sponsored Session
Chair: Johannes Siebert, University of Bayreuth, Bayreuth, D-95440,
Germany,
1 - Bayes and Prejudice
Detlof Von Winterfeldt, Professor, University of Southern
California, Viterbi School of Engineering, Industrial and Systems
Engineering, Los Angeles, CA, 90089,
United States of America,
When judging probabilities, people ignore statistical base rates. For example,
when judging the likelihood of fatal pitbull attacks, they think of dramatic
examples, ignoring the fact that fatal dog attacks are very rare, by pitbulls or other
breeds. Ignoring base rates explains prejudice against minorities among dogs and
humans.
2 - Debiasing Overconfidence
Valentina Ferretti, Politecnico of Torino, Corso Castelfidardo
30/A, Torino, Italy, , Sule Guney,
Gilberto Montibeller, Detlof Von Winterfeldt
Overconfidence is a persistent and difficult to correct bias in decision and risk
analysis. We conducted an experiment to test the effectiveness of several best
practices to reduce this bias. The results suggest that changing the stimulus-
response mode from the fixed probability (fractile) method to a fixed value
method is effective
MC62