Engineering Commons^™

Assortment Planning Of Automotive Products: Considerations For Economic And Environmental Impacts Of Technology Selection, Ali Taghavi, Ratna Babu Chinnam

Industrial and Systems Engineering Faculty Research Publications

A manufacturer’s assortment is the set of products that the company offers to its customers. Assortment planning considerably affects both the sales revenue and product offering costs for the company and it had experienced growing attention across different industries over recent decades. In this study, we propose a modeling framework that seeks to identify the optimal assortment for a manufacturer of configurable products (in particular, automobiles). Our model accounts for environmental considerations (Corporate Average Fuel Economy requirements, tail-pipe emissions, and greenhouse gas emissions related to the production of the fuel used to power the vehicle) during assortment planning. We formulate …