INFORMS Nashville – 2016
421
2 - Hybrid Flow Shop Scheduling Problem With Parallel Lines
Arshad Ali, PhD Student, University of Manitoba, Winnipeg, MB,
Canada,
alia@myumanitoba.ca, Yuvraj Gajpal,
Tarek Y. El Mekkawy
This paper considers the special case of hybrid flow shop problem where
machines are arranged in parallel lines. Each line has multiple stages but the
number of stages in each line are same. A job is required to go through only one
of the lines to become final product. One job can be assigned to only one line. The
problem involves finding job sequence for each line to minimize the total
competition time of jobs. Three heuristics has been developed to solve the
problem. A new benchmark problem instances has been created to evaluate the
performance of the proposed heuristics.
3 - A Three-stage Intelligent Solution Approach To Order Picking
Scheme For Vegetables Under B2c Direct Sale In China
Xiaochun Feng, Dalian University of Technology,
No.2 Linggong Road, Ganjingzi District, Dalian, 116024, China,
fxc11011@126.com,Xiangpei Hu
The paper focuses on the ‘farm-to-door’ order picking problem of organic
vegetables in online direct sales, with the objective of enhancing the scientific,
efficient and on-time processing level. Taking online order picking scheme
generation as a breakthrough point, by applying the theories of fuzzy clustering
artificial intelligence and operational research, this paper presents a three-stage
solution approach to order picking problem that aims to significantly reduce the
solution’s state space. Finally, a numerical example is used to demonstrate the
efficiency of the intelligent solution approach.
WB74
Legends B- Omni
Ops Mgt/Marketing II
Contributed Session
Chair: Jiahua Wu, Imperial College Business School, Office 382,
Tanaka Building, Imperial College London, London, SW7 2AZ,
United Kingdom,
j.wu@imperial.ac.uk1 - Selective Newsvendor Problem With Dependent Lead Time And
Marketing Decisions
Jianing Zhi, Penn State Erie The Behrend College, Eire, PA, 16509,
United States,
jzz5296@psu.edu, Burcu B Keskin
We consider a company that experiences quantity-dependent lead times from the
supplier. Due to a limited sales force and lead time issues, the company may not
be able to meet all customer demands. We develop mixed integer nonlinear
programming model to maximize the total expected profit by determining order
quantity, demand satisfaction percentage, and agent-customer match up. We
evaluate the model with varying parameters, including demand, lead time,
capabilities of agents, and waiting time tolerance of customers to estimate their
impacts on total expected profit, ordering policies and marketing strategies.
2 - The Impact Of Consumer Quality Target On Product Line Design
Lucy Gongtao Chen, National University of Singapore, NUS
Business School, Biz 1 Mochtar Riady Building, #8-60, Singapore,
119245, Singapore,
bizcg@nus.edu.sg,Qingshan Kong
In this paper, we study a firm’s product line design when consumers care about
not only the offered product quality but also the difference between the offered
quality and their target quality level. In a market where consumers have
heterogeneous quality targets, we find that targets have a significant impact on
the product line offering strategy. In particular, both single product line strategy
and full product line strategy can be optimal and when a full product line is
offered, both the downward distortion of the low quality level and the upward
distortion of the high quality level can be possible.
3 - Big Data vs Small Data: Consumer Profiling With
Data Requirements
Jiahua Wu, Imperial College Business School, Office 382,
Tanaka Building, Imperial College London, London, SW7 2AZ,
United Kingdom,
j.wu@imperial.ac.uk,Tommaso Valletti
We consider a model where a monopolist can profile consumers in order to price
discriminate among them, and consumers can take costly actions to protect their
identities and make the profiling technology less effective. We show that the
optimal investment level from the monopolist is closely related to the flexibility of
consumers to conceal their identities as well as to data
requirements.Wealso
show that the monopolist has a tendency to invest excessively.
WB75
Legends C- Omni
Economics II
Contributed Session
Chair: Lorena Alexandra Berumen, Universidad Panamericana,
Augusto Rodin 498, Ciudad de Mexico, Mexico,
laberumen@up.edu.mx1 - information Aggregation In Markets With Heterogenous Traders
Yaarit Even, Columbia Business School, 601 W 113th Street,
Apt 2k, New York, NY, 10025, United States,
yeven18@gsb.columbia.edu, Alireza Tahbaz-Salehi
We study a rational expectations model, consisting of heterogenous traders with
private information. We show that the extent of heterogeneity in the market
determines the extent of information revelation via prices and equilibrium
inefficiency. In particular, we show that as the heterogeneity in trader valuations
is increased, the rational expectations equilibrium would reveal less information
about agents’ private information. Furthermore, this reduction in the extent of
information revelation leads to more inefficient equilibria.
2 - Is The Chinese Macro Financial System More Resistant To
Outside Shocks
Yunfei Cao, Beijing Institute of Technology, Beijing, China,
caoyunfei1986@163.com, Youzong Xu, Yi Zhang
Using the flow data in the macroeconomic accounts of China’s macro-financial
system from 1998 to 2012, we develop a dynamic network of the interdependent
macro sectors that depicts the connections between the main financial and non-
financial sectors in the Chinese economy. Based on this network, we examine the
evolution and weakness of China’s macro-financial system by investigating the
shock propagation processes. We find that even though by absolute value the
foreign sector plays a much smaller role than all the other sectors in China’s
macro-financial system, a shock to the foreign sector causes larger loss to the
whole Chinese macro-financial system than shocks to other sectors do.
3 - Foreign Direct Investment In Mexico: A Spatial Approach
Lorena Alexandra Berumen, Universidad Panamericana, Augusto
Rodin 498, Ciudad de Mexico, Mexico,
laberumen@up.edu.mx,
Roldán Andrés-Rosales, Margarita Hurtado
Foreign Direct Investment (FDI) has played an important role in the growth and
development of the Mexican economy. The main contribution of this work is the
analysis of FDI by sector and of its spillover effect in the different regions in which
FDI has been concentrated. Using spatial panel data and a spatial Durbin Model to
assess the direct and indirect effects of FDI, we find that in some regions there are
positive or negative impacts depending on the sectors.
WB76
Legends D- Omni
Applied Probability II
Contributed Session
Chair: Amod Basnet, University of North Carolina-Charlotte, 9201
University City Blvd, Fretwell, Charlotte, NC, 28262, United States,
abasnet@uncc.edu1 - Optimal Capacity Management With Limited Buffer
Melda Ormeci Matoglu, University of New Hampshire, University
of New Hampshire, 10, Durham, NH, 03824, United States,
melda.ormecimatoglu@unh.eduWe use a Brownian motion to model the problem of managing capacity and
determining optimal buffer size in a BTO environment. The controller can change
the processing rate as well as reject orders or idle the system. We seek a policy
that minimizes long-term average cost of control and holding cost. We show that
a simple control band policy is optimal and determine its parameters.
2 - Efficient Markov Chain Decomposition Algorithm Based On The
Total Expectation Theorem
Katsunobu Sasanuma, Assistant Professor, Stony Brook University,
Stony Brook, NY, 11794, United States,
katsunobu.sasanuma@stonybrook.edu,Stephen Roehrig,
Robert Hampshire, Alan Scheller-Wolf
We propose an efficient decomposition algorithm for solving large Markov
Chains, based on the total expectation theorem (the law of total expectation)
applied in a Markov Chain setting. Tests of our algorithm on several examples
show that it possesses an exponential speed of convergence in terms of the
number of iterations. We also discuss potential Markov chain structures that
could cause a slowdown of convergence and propose the means to overcome
these issues.
WB76