Advanced production scheduling for batch plants in process industries

An Advanced Planning System (APS) offers support at all planning levels along the supply chain while observing limited resources. We consider an APS for process industries (e.g. chemical and pharmaceutical industries) consisting of the modules network design (for long–term decisions), supply network planning (for medium–term decisions), and detailed production scheduling (for short–term decisions). For each module, we outline the decision problem, discuss the specifi cs of process industries, and review state–of–the–art solution approaches. For the module detailed production scheduling, a new solution approach is proposed in the case of batch production, which can solve much larger practical problems than the methods known thus far. The new approach decomposes detailed production scheduling for batch production into batching and batch scheduling. The batching problem converts the primary requirements for products into individual batches, where the work load is to be minimized. We formulate the batching problem as a nonlinear mixed–integer program and transform it into a linear mixed–binary program of moderate size, which can be solved by standard software. The batch scheduling problem allocates the batches to scarce resources such as processing units, workers, and intermediate storage facilities, where some regular objective function like the makespan is to be minimized. The batch scheduling problem is modelled as a resource–constrained project scheduling problem, which can be solved by an efficient truncated branch–and–bound algorithm developed recently. The performance of the new solution procedures for batching and batch scheduling is demonstrated by solving several instances of a case study from process industries.     

Combined strategic and operational planning – an MILP success story in chemical industry

We describe and solve a real world problem in chemical industry which combines operational planning with strategic aspects. In our simultaneous strategic & operational planning (SSDOP) approach we develop a model based on mixed-integer linear (MILP) optimization and apply it to a real-world problem; the approach seems to be applicable in many other situations provided that people in production planning, process development, strategic and financial planning departments cooperate. The problem is related to the supply chain management of a multi-site production network in which production units are subject to purchase, opening or shut-down decisions leading to an MILP model based on a time-indexed formulation. Besides the framework of the SSDOP approach and consistent net present value calculations, this model includes two additional special and original features: a detailed nonlinear price structure for the raw material purchase model, and a detailed discussion of transport times with respect to the time discretization scheme involving a probability concept. In a maximizing net profit scenario the client reports cost saving of several millions US$. The strategic feature present in the model is analyzed in a consistent framework based on the operational planning model, and vice versa. The demand driven operational planning part links consistently to and influences the strategic. Since the results (strategic desicions or designs) have consequences for many years, and depend on demand forecast, raw material availability, and expected costs or sales prices, resp., a careful sensitivity analysis is necessary showing how stable the decisions might be wit h respect to these input data.     

Project scheduling with calendars

For many applications of project scheduling to real-life problems, it is necessary to take into account calendars specifying time intervals during which some resources such as manpower or machines are not available. Whereas the execution of certain activities like packaging may be suspended during breaks, other activities cannot be interrupted due to technical reasons. Minimum and maximum time lags between activities may depend on calendars, too. In this paper, we address the problem of scheduling the activities of a project subject to calendar constraints. We devise efficient algorithms for computing earliest and latest start and completion times of activities. Moreover, we sketch how to use these algorithms for developing priority-rule methods coping with renewable-resource constraints and calendars.

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Received: July 26, 2000 / Accepted: May 15, 2001     

An integrated system solution for supply chain optimization in the chemical process industry

This paper considers a complex scheduling problem in the chemical process industry involving batch production. The application described comprises a network of production plants with interdependent production schedules, multi-stage production at multi-purpose facilities, and chain production. The paper addresses three distinct aspects: (i) a scheduling solution obtained from a genetic algorithm based optimizer, (ii) a mechanism for collaborative planning among the involved plants, and (iii) a tool for manual updates and schedule changes. The tailor made optimization algorithm simultaneously considers alternative production paths and facility selection as well as product and resource specific parameters such as batch sizes, and setup and cleanup times. The collaborative planning concept allows all the plants to work simultaneously as partners in a supply chain resulting in higher transparency, greater flexibility, and reduced response time as a whole. The user interface supports monitoring production schedules graphically and provides custom-built utilities for manual changes to the production schedule, investigation of various what-if scenarios, and marketing queries. RID="*" ID="*" The authors would like to thank Hans-Otto Günther and Roland Heilmann for helpful comments on draft versions of this paper.     

Batch scheduling in process industries: an application of resource–constrained project scheduling

The paper deals with batch scheduling problems in process industries where final products arise from several successive chemical or physical transformations of raw materials using multi–purpose equipment. In batch production mode, the total requirements of intermediate and final products are partitioned into batches. The production start of a batch at a given level requires the availability of all input products. We consider the problem of scheduling the production of given batches such that the makespan is minimized. Constraints like minimum and maximum time lags between successive production levels, sequence–dependent facility setup times, finite intermediate storages, production breaks, and time–varying manpower contribute to the complexity of this problem. We propose a new solution approach using models and methods of resource–constrained project scheduling, which (approximately) solves problems of industrial size within a reasonable amount of time. Received: October 15, 1999 / Accepted: March 21, 2000     

The resource renting problem subject to temporal constraints

We introduce a project scheduling problem subject to temporal constraints where the resource availability costs have to be minimized. As an extension of known project scheduling problems which consider only time-independent costs, this problem includes both time-independent procurement costs and time-dependent renting costs for the resources. Consequently, in addition to projects where all resources are bought, we can deal with projects where resources are rented. Based on the enumeration of a finite set of schedules which is proved to contain an optimal schedule, we develop a depth-first branch-and-bound procedure. Computational experience with a randomly generated test set containing 10800 problem instances is reported.

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Received: December 1, 1999 / Accepted: November 8, 2000     

Resource–constrained project scheduling: a heuristic for the multi–mode case

This paper presents a heuristic solution procedure for a very general resource–constrained project scheduling problem. Here, multiple execution modes are available for the individual activities of the project. In addition, minimum as well as maximum time lags between different activities may be given. The objective is to determine a mode and a start time for each activity such that the temporal and resource constraints are met and the project duration is minimized. Project scheduling problems of this type occur e.g. in process industries. The heuristic is a multi–pass priority–rule method with backplanning which is based on an integration approach and embedded in random sampling. Its performance is evaluated within an experimental performance analysis for problem instances of real–life size with 100 activities and up to 5 modes per activity.

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Received: September 22, 2000 / Accepted: May 18, 2001     

Intensity-modulated radiotherapy – a large scale multi-criteria programming problem

Abstract. Radiation therapy planning is often a tight rope walk between dangerous insufficient dose in the target volume and life threatening overdosing of organs at risk. Finding ideal balances between these inherently contradictory goals challenges dosimetrists and physicians in their daily practice. Todays inverse planning systems calculate treatment plans based on a single evaluation function that measures the quality of a radiation treatment plan. Unfortunately, such a one dimensional approach cannot satisfactorily map the different backgrounds of physicians and the patient dependent necessities. So, too often a time consuming iterative optimization process between evaluation of the dose distribution and redefinition of the evaluation function is needed. In this paper we propose a generic multi-criteria approach based on Pareto's solution concept. For each entity of interest – target volume or organ at risk – a structure dependent evaluation function is defined measuring deviations from ideal doses that are calculated from statistical functions. A reasonable bunch of clinically meaningful Pareto optimal solutions are stored in a data base, which can be interactively searched by physicians. The system guarantees dynamic planning as well as the discussion of tradeoffs between different entities. Mathematically, we model the inverse problem as a multi-criteria linear programming problem. Because of the large scale nature of the problem it is not possible to solve the problem in a 3D-setting without adaptive reduction by appropriate approximation schemes. Our approach is twofold: First, the discretization of the continuous problem results from an adaptive hierarchical clustering process which is used for a local refinement of constraints during the optimization procedure. Second, the set of Pareto optimal solutions is approximated by an adaptive grid of representatives that are found by a hybrid process of calculating extreme compromises and interpolation methods. Correspondence to: K.-H. Küfer     

Resource allocation with project management software

We present results of a benchmark test evaluating the resource allocation capabilities of the project management software packages Acos Plus.1 8.2, CA SuperProject 5.0a, CS Project Professional 3.0, MS Project 2000, and Scitor Project Scheduler 8.0.1. The tests are based on 1560 instances of precedence– and resource–constrained project scheduling problems. For different complexity scenarios, we analyze the deviation of the makespan obtained by the software packages from the best feasible makespan known. Among the tested software packages, Acos Plus.1 and Project Scheduler show the best resource allocation performance. Moreover, our numerical analysis reveals a considerable performance gap between the implemented methods and state–of–the–art project scheduling algorithms, especially for large–sized problems. Thus, there is still a significant potential for improving solutions to resource allocation problems in practice.      

Plant co-ordination in pharmaceutics supply networks

The production of active ingredients in the chemical-pharmaceutical industry involves numerous production stages with cumulative lead times of up to two years. Mainly because of rigorous purity requirements and the need of extensive cleaning of the equipment units, production is carried out in campaigns, i.e. multiple batches of the same product type are produced successively before changing to another product type. Each campaign requires a specific configuration of equipment units according to the recipes of the particular chemical process. In the chemical-pharmaceutical industry, production stages are often assigned to different locations, even different countries. Hence the co-ordination of plant operations within the resulting multi-national supply network is of major importance. A key issue is the co-ordination of campaign schedules at different production stages in the various plants. In practice, it is almost impossible to determine exact optimal solutions to the corresponding complex supply network problem with respect to overall logistics costs. In order to reduce the required computational effort, we introduce several aggregation schemes and a novel MILP model formulation which is based on a continuous representation of time. Moreover, we propose an iterative near-optimal solution procedure which can be successfully applied to even exceptionally large real life problem instances. The applicability of the approach suggested is shown using a case study from industry. Correspondence to: H.-O. Günther     

External Support of Problem Analysis in Design Problem Solving

Design is described as creative design problem solving. The first step of the design process is to identify and analyze the design problem. This step has an important influence on the creation of an effective design solution. In two experiments, we tested the benefits that sketching provides during the analysis process in design problem solving. In particular, this paper focuses on the design process, the act of sketching, the sketch itself, and the final product. In prior studies, the process of sketching has been shown to enhance the construction of a mental representation, and thus the sketch has improved the analysis of the problem. The memory supporting effect of sketches is verified in the second experiment discussed in this paper. Finally, this paper also discusses the support possibilities the sketch offers for the early stages of the design process.     

Truncated branch-and-bound,schedule-construction,and schedule-improvement procedures for resource-constrained project scheduling

We present heuristic procedures for approximately solving large project scheduling problems with general temporal and resource constraints. In particular, we propose several truncated branch-and-bound techniques, priority-rule methods, and schedule-improvement procedures of types tabu search and genetic algorithm. A detailed experimental performance analysis compares the different heuristics devised and shows that large problem instances with up to 1000 activities and several resources can efficiently be solved with sufficient accuracy.

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Received: July 26, 2000 / Accepted: May 15, 2001     

Coordination Approaches and Systems – Part II: An Operational Perspective

This is the second of two papers surveying research in coordination approaches and systems. This paper is concerned with operational coordination, which is aimed at coordinating activities such that the design process can be performed in a near optimal manner with respect to time, and the allocation and utilisation of resources. Aspects of coordination categorised as operational include resource management, scheduling and planning. The first of these two papers presents a review of coordination from a strategic perspective, which is concerned with the decision management aspects of coordination. Greater emphasis is now being placed on the significance of organising the design process as this affects time to market, product quality, cost, and consequently product success. The aim of this paper is to present a fundamental review of operational coordination approaches and systems. The 1990s has seen much progress being made towards a greater understanding and appreciation of coordination in various disciplines through the development of a wide range of approaches and systems. However, there remains a requirement to formally identify the key issues involved in coordination such that a widely accepted representation can be agreed upon. Consequently, research should continue to be supported in the exploration for a unified approach to coordination which will permit a broader and greater understanding of those aspects involved.     

Meta-heuristic based decision support for portfolio optimization with a case study on tracking error minimization in passive portfolio management

In this paper we describe the concept and design of a meta-heuristic based decision support system generator (DSS-generator) for portfolio optimization. We report extensively on experience with the application of a specific DSS that has been customized for controlling and optimizing passively managed stock funds. Here, the constraints from the law on investment trust companies as well as several fund specific guidelines prohibit that the benchmark can be identically reproduced. For measuring the performance of the portfolio a tracking error model with data stemming from a factor model is applied. Our results show that the system provides proposals for the fund manager in acceptable time which are feasible with respect to the guidelines and excellent in quality.     

A computational study of LP-based heuristic algorithms for two-dimensional guillotine cutting stock problems

In this paper we develop and compare several heuristic methods for solving the general two-dimensional cutting stock problem. We follow the Gilmore-Gomory column generation scheme in which at each iteration a new cutting pattern is obtained as the solution of a subproblem on one stock sheet. For solving this subproblem, in addition to classical dynamic programming, we have developed three heuristic procedures of increasing complexity, based on GRASP and Tabu Search techniques, producing solutions differing in quality and in time requirements. In order to obtain integer solutions from the fractional solutions of the Gilmore-Gomory process, we compare three rounding procedures, rounding up, truncated branch and bound and the solution of a residual problem. We have coded and tested all the combinations of algorithms and rounding procedures. The computational results obtained on a set of randomly generated test problems show their relative efficiency and allow the potential user to choose from among them, according to the available computing time. Rceived: January 9, 2001 / Accepted: December 10, 2001     

A scheduling method for Berth and Quay cranes

This paper discusses a method for scheduling Berth and Quay cranes, which are critical resources in port container terminals. An integer programming model is formulated by considering various practical constraints. A two-phase solution procedure is suggested for solving the mathematical model. The first phase determines the Berthing position and time of each vessel as well as the number of cranes assigned to each vessel at each time segment. The subgradient optimization technique is applied to obtain a near-optimal solution of the first phase. In the second phase, a detailed schedule for each Quay crane is constructed based on the solution found from the first phase. The dynamic programming technique is applied to solve the problem of the second phase. A numerical experiment was conducted to test the performance of the suggested algorithms. RID="*" ID="*" This research has been supported in part by Brain Korea 21 Program (1999–2002). Correspondence to: Y.-M. Park     

Scheduling Multi-Mode Resource-Constrained Projects Using Heuristic Rules Under Uncertainty Environment

Project scheduling is a key objective of many models and is the proposed method for project planning and management. Project scheduling problems depend on precedence relationships and resource constraints, in addition to some other limitations for achieving a subset of goals. Project scheduling problems are dependent on many limitations, including limitations of precedence relationships, resource constraints, and some other limitations for achieving a subset of goals. Deterministic project scheduling models consider all information about the scheduling problem such as activity durations and precedence relationships information resources available and required, which are known and stable during the implementation process. The concept of deterministic project scheduling conflicts with real situations, in which in many cases, some data on the activity' s durations of the project and the degree of availability of resources change or may have different modes and strategies during the process of project implementation for dealing with multi-mode conditions surrounded by projects and their activity durations. Scheduling the multi-mode resource-constrained project problem is an optimization problem whose minimum project duration subject to the availability of resources is of particular interest to us. We use the multi-mode resource allocation and scheduling model that takes into account the dynamicity features of all parameters, that is, the scheduling process must be flexible to dynamic environment features. In this paper, we propose five priority heuristic rules for scheduling multi-mode resource-constrained projects under dynamicity features for more realistic situations, in which we apply the proposed heuristic rules (PHR) for scheduling multi-mode resource-constrained projects. Five projects are considered test problems for the PHR. The obtained results rendered by these priority rules for the test problems are compared by the results obtained from 10 well-known heuristics rules rendered for the same test problems. The results in many cases of the proposed priority rules are very promising, where they achieve better scheduling dates in many test case problems and the same results for the others. The proposed model is based on the dynamic features for project topography.     

Scheduling vehicles in automated transportation systems Algorithms and case study

One of the major planning issues in large scale automated transportation systems is so-called empty vehicle management, the timely supply of vehicles to terminals in order to reduce cargo waiting times. Motivated by a Dutch pilot project on an underground cargo transportation system using Automated Guided Vehicles (AGVs), we developed several rules and algorithms for empty vehicle management, varying from trivial First-Come, First-Served (FCFS) via look-ahead rules to integral planning. For our application, we focus on attaining customer service levels in the presence of varying order priorities, taking into account resource capacities and the relation to other planning decisions, such as terminal management. We show how the various rules are embedded in a framework for logistics control of automated transportation networks. Using simulation, the planning options are evaluated on their performance in terms of customer service levels, AGV requirements and empty travel distances. Based on our experiments, we conclude that look-ahead rules have significant advantages above FCFS. A more advanced so-called serial scheduling method outperforms the look-ahead rules if the peak demand quickly moves amongst routes in the system. Received: June 21, 2000 / Accepted: January 22, 2001     

More than Just Robust Design: Why Product Development Organizations Still Contend with Variation and its Impact on Quality

Current market conditions require design and manufacturing companies to continually increase product functionality, reduce design cycles, decrease cost and improve quality. One way to improve quality is to minimize the impact part and process variation has on final product quality. Although companies know they must reduce variation, they are still struggling with executing coherent variation management strategies. To understand why companies still fail to systematically address variation, an ideal model of variation management is proposed, entitled Variation Risk Management (VRM). This model was used to assess the state of industry practice. These results are compared to the current literature available on the subject. It was found that many problems with industry implementation are due to a lack of quantitative models that enable a design team to make quick and accurate decisions. This paper concludes with a list of interesting challenges facing the VRM field.