Terminal inventory level constraints for online production scheduling

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Abstract

We study online production scheduling, that is, the iterative solution of scheduling optimization problems taking into account feedback, to ensure high quality of implemented, as opposed to predicted, production schedules. While the addition of terminal constraints on inventory levels can be used to obtain high quality implemented schedules, traditional approaches based on safety stocks may be ineffective. Accordingly, we first propose a framework for the analysis of general classes of terminal constraints, and then propose new classes of linear terminal constraints for specific production environments. We provide proofs on the validity of these constraints as well as extensions to more general environments. Finally, through a computational study, we show that the implementation of the proposed constraints leads to better implemented solutions.

Original languageEnglish (US)
Pages (from-to)102-117
Number of pages16
JournalEuropean Journal of Operational Research
Volume295
Issue number1
DOIs
StateAccepted/In press - 2021

All Science Journal Classification (ASJC) codes

  • Computer Science(all)
  • Modeling and Simulation
  • Management Science and Operations Research
  • Information Systems and Management

Keywords

  • Inventory control
  • Real-time decision making
  • Scheduling
  • Terminal constraints

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