Operations Research, Systems Engineering and Industrial Engineering Commons^™

The Order Picking Problem In Fishbone Aisle Warehouses, Melih Celik, Haldun Sural

12th IMHRC Proceedings (Gardanne, France – 2012)

A recent trend in the layout design of unit load warehouses is the application of layouts without conventional parallel pick aisles and straight middle aisles. Two examples for such designs are flying- V and fish bone designs for single and dual command operations. In this study, we consider the same layout types under the case of multiple-item pick lists and show that, for both layout types, the routing problem can be solved in polynomial time. We also propose simple heuristics for this problem inspired by those put forward for parallel-aisle warehouses. Our computational results reveal that under certain cases, fish …

How To Choose An Order-Picking System, Marita Ellinger, Tim Geißen, Detlef Spee

12th IMHRC Proceedings (Gardanne, France – 2012)

Order-Picking-Systems are the parts of material flow systems, which have the largest variance of deployment alternatives. Since a long time there have been many attempts to systematize the way of identification of the order-picking- ystem that the “correct” solution can be found. The previous methods could not be enforced universally. Thus nearly all the material handling system suppliers have their own approach to find the right system, as it turned out at a market analysis of Fraunhofer IML. With the presented concept of finding a solution, a structured, fast method for system identification shall be presented. A stepwise approach to …

Process Analysis For Material Flow Systems, Thorsten Schmidt, David Wustmann, Robert Schmaler

12th IMHRC Proceedings (Gardanne, France – 2012)

This paper describes a generic approach for analysis of internal behavior of logistic systems based on event logs. The approach is demonstrated by an example of event data from the simulation model of an automated material handling system (MHS) in a manufacturing company. The purpose of the analysis is the identification of design and operation problems and their causes, prospectively. As a result, the simulation model developer obtains the condensed and ranked information on events. These events describe the internal system behavior with anomalies pointing at either possible problems or capacity reserves.

Evaluation Of Environmental Benefits Of Che Emerging Technologies By Using Lca, Nenad Zrnić, Andrija Vujičić

12th IMHRC Proceedings (Gardanne, France – 2012)

In the era of climate change combat transport industry is recognized as a sector with one of the largest environmental footprints. A part of transport industry is container shipping and handling division, which is currently growing with the fastest rate. This massive growth of container sector is due to containers pouring from Asia, mainly from China. Thus, container port operations are also experiencing significant increase in port emissions. This fact puts port authorities in position to find a way to reduce environmental impact of port operations and at the same time withhold increase in number containers being handled. In response …

Toward Sustainability, High Density And Short Response Time By Live-Cube Storage Systems, Nima Zaerpour, Yugang Yu, René De Koster

12th IMHRC Proceedings (Gardanne, France – 2012)

This paper studies random storage in a live-cube storage system where loads are stored multi-deep. Although such storage systems are still rare, they are increasingly used, for example in automated car parking systems. Each load is accessible individually and can be moved to a lift on every level of the system in x- and y-directions by a shuttle as long as an open slot is available next to it, comparable to Sam Loyd’s sliding puzzles. A lift moves the loads across different levels in z-direction. We derive the expected travel time of a random load from its storage location to …

Open Location Management In Automated Warehousing Systems, Yugang Yu, René De Koster

12th IMHRC Proceedings (Gardanne, France – 2012)

A warehouse needs to have sufficient open locations to be able to deal with the change of item inventory levels, but due to ongoing storage and retrieval processes, open locations usually spread over storage areas. Unfavorable positions of open locations negatively impact the average load retrieval times. This paper presents a new method to manage these open locations such that the average system travel time for processing a block of storage and retrieval jobs in an automated warehousing system is minimized. We introduce the effective storage area (ESA), a well-defined part of the locations closest to the depot; where only …

Functional Design Of Physical Internet Facilities: A Road-Based Crossdocking Hub, Russell D. Meller, Benoit Montreuil, Collin Thivierge, Zachary Montreuil

12th IMHRC Proceedings (Gardanne, France – 2012)

As part of the 2010 IMHRC, Montreuil, Meller and Ballot proposed a set of facility types that would be necessary to operate a Physical Internet (PI, π), which they termed nodes. This paper is part of a three-paper series for the 2012 IMHRC where the authors provide functional designs of three PI facilities. This paper covers a unimodal road-based crossdocking hub designed specifically to exploit the characteristics of Physical Internet modular containers so as to enable the efficient and sustainable transhipment of each of them from its inbound truck to its outbound truck. The objective of the paper is to …

Robust Design Of Public Storage Warehouses, Yeming Yale Gong, Rene De Koster

12th IMHRC Proceedings (Gardanne, France – 2012)

We apply robust optimization and revenue management in public storage warehouses. We optimize the expected revenue of public storage warehouses against the worst cases with a max-min revenue objective, and the decision variables are mainly the number of storage units for each storage type. With the robust design, we can observe worst-case revenue improvement.

Analysis Of Material Handling Systems Based On Discrete Time Design Modules, Furmans Kai, Ozden Eda, Stoll Judith, Epp Martin, Schmidt Thorsten, Meinhardt Ingolf, Schulze Frank

12th IMHRC Proceedings (Gardanne, France – 2012)

In this paper, we present a method for the performance evaluation of material handling systems in an early planning stage. We are mapping typical material handling elements onto stochastic analytical models. Our intention is to build a toolbox of material handling modules that allows a fast analysis of typical continuous conveying systems. The tool should enable the identification of bottlenecks and the computation of lead time distributions for intra-logistic systems.

Humanitarian Logistics – The First Week, Selina Begum, Bill Ferrell

12th IMHRC Proceedings (Gardanne, France – 2012)

Decisions made on material flow during the first week of a natural disaster are critical for victims. Currently, decision makers appears to be making important choices based on experience and intuition with little or no support from quantitative approaches because they do not exist. This research proposes a paradigm and offers two supporting models that will assist decision makers regarding the routing of materials during the first week of a disaster. It explicitly includes information regarding the victims’ needs and the degree to which routes are available in a quantitative way that allows updating as information improves. The paradigm involves …

Collaborative Freight Transportation To Improve Efficiency And Sustainability, Kimberly P. Ellis, Steven Roesch, Russell D. Meller

12th IMHRC Proceedings (Gardanne, France – 2012)

Collaborative distribution offers the potential for substantial improvements in freight transportation. As collaboration increases, more loads are available for sharing among transportation service providers, leading to more fully loaded trailers that travel fewer miles and reduce the cost per load on average. In this study, we develop approaches to analyze improvements in key performance measures as collaboration increases in freight transportation. For the data sets analyzed, improvements include a 34% increase in trailer fullness, a 29% reduction in average costs per load, and a 25% decrease in average miles per load. Based on this analysis, collaboration provides substantial improvements for …

Optimal Design Of Container Terminal Layout, Debjit Roy, Ren´E De Koster

12th IMHRC Proceedings (Gardanne, France – 2012)

Due to rapid growth in foreign trade using sea vessels, there is a growing focus in improving the infrastructure and operational efficiencies at the container terminals. Particularly, the operational responsiveness of loading and unloading of containers, affects the vessel idle times and profitability of the shipping liners. In this research, we deter- mine optimal stack layout design, which minimizes the container unload times using Automated Guided Vehicles (AGVs). To analyze alternate stack layout designs, we develop integrated queuing network models that capture the stochastic interactions among the container terminal processes (quayside, vehicle transport, and stack side), and provides realistic estimates …

Robust Material Handling System Design Based On The Risk Versus Cost Tradeoff, Marc Goetschalckx, Edward Huang, Pratik Mital

12th IMHRC Proceedings (Gardanne, France – 2012)

The design and planning of major material handling systems belongs to the class of systems design problems under uncertainty. The overall structure of the system is decided during the current design stage, while the values of the future conditions and the future planning decisions are not known with certainty. Typically the future uncertainty is modeled through a number of scenarios and each scenario has an individual timediscounted total system cost. The overall performance of the material handling system is characterized by the distribution of these scenario costs. The central tendency of the cost distribution is almost always computed as the …

Column Generation For The Container Relocation Problem, Elisabeth Zehendner, Dominique Feillet

12th IMHRC Proceedings (Gardanne, France – 2012)

Container terminals offer transfer facilities to move containers from vessels to trucks, trains and barges and vice versa. Within the terminal the container yard serves as a temporary buffer where incoming containers are piled up in stacks. Only the topmost container of each stack can be accessed. If another container has to be retrieved, containers stored above it must be relocated first. Containers need to be transported to a ship or to trucks in a predefined sequence as fast as possible. Generally, this sequence does not match the stacking order within the yard. Therefore, a sequence of retrieval and relocation …

A Study On Storage Allocation In An Automated Semiconductor Manufacturing Facility, St´Ephane Dauz`Ere-P´Er`Es, Claude Yugma, Ahmed Ben Chaabane, Ahmed Ben Chaabane, Lionel Rulli`Ere, Gilles Lamiable

12th IMHRC Proceedings (Gardanne, France – 2012)

This paper deals with the allocation of storage capacity in the automated material handling environment of a semiconductor wafer manufacturing facility. The impact of the allocation of stokers to machines in semiconductor fabrication facilities (fabs) is very little studied, although it significantly impacts the efficiency of the Automated Material Handling System (AMHS). After motivating and describing the problem of allocating unitary stokers to machines, a first local approach is discussed. We then propose a Mixed Integer linear Programming model to solve the global problem with two objectives: Minimizing the total maximum travel distance of vehicles and balancing the utilization of …

Multi-Party Multi-Period Supply Chain Coordination, Thin Yin Leong, Michelle Lee Fong Cheong

Research Collection School Of Computing and Information Systems

We apply combinatorial auction as a coordination mechanism to smooth demands placed on suppliers' limited production capacities, allowing several manufacturers to share common suppliers effectively. Products are bidders bidding for parts from suppliers, consuming their capacities in different time periods. The fourth party logistic (4PL) provider acts as the auctioneer to coordinate bids and perform price iterations. We leverage on the strong links between the Lagrangian relaxation method and combinatorial auction, where the Lagrange multipliers serve as the supply capacity reserve prices, to balance the demand and supply of capacities. To prevent cyclic behaviour and to increase convergence speed, we …

An Empirical Investigation Of Supply Chain Excellence In Healthcare, Brian Keith Smith

Graduate Theses and Dissertations

This research is motivated by opportunities to improve the cost and quality of healthcare delivery through improved supply chain processes. This research assesses the quality of the healthcare supply chain and identifies factors that are driving supply chain excellence among organizations in the healthcare industry. The first objective of this research is to assess the state of quality measurement in the healthcare supply chain. The achievement of this first objective is presented in Chapter 3 of this dissertation in the form of a manuscript accepted for publication in The Quality Management Journal. The second research objective is to develop …

Optimal Production Planning For A Multi-Product Closed Loop System With Uncertain Demand And Return, Jianmai Shi, Guoqing Zhang, Jichang Sha

Mechanical, Automotive & Materials Engineering Publications

We study the production planning problem for a multi-product closed loop system, in which the manufacturer has two channels for supplying products: producing brand-new products and remanufacturing returns into as-new ones. In the remanufacturing process, used products are bought back and remanufactured into as-new products which are sold together with the brand-new ones. The demands for all the products are uncertain, and their returns are uncertain and price-sensitive. The problem is to maximize the manufacturer's expected profit by jointly determining the production quantities of brand-new products, the quantities of remanufactured products and the acquisition prices of the used products, subject …

Perspectives On Quality Coordination And Assurance In Global Supply Chains, Ling Li, John N. Warfield

Information Technology & Decision Sciences Faculty Publications

The 2007 recall of Berko Electric Toe-Space Heaters made in the US, the recall of backpack blowers made in Japan, the recalls of toys and pet food produced in China have exposed the potential of global supply chain disruptions. This product recall storm leads to the issue of quality assurance in global supply chain management. Product recalls indicate that manufacturing companies are particularly vulnerable to ensure quality when they source via a global supply chain with poor visibility. Obviously, a supply chain cannot afford this kind of sourcing and supply structure that threatens the supply-chain integrity. This special issue on …

Coordinating Production And Recycling Decisions With Stochastic Demand And Return, Jianmai Shi, Guoqing Zhang, Jichang Sha, Saman Hassanzadeh Amin

Mechanical, Automotive & Materials Engineering Publications

In this paper, the joint production and recycling problem is investigated for a hybrid manufacturing and remanufacturing system where brand-new products are produced in the manufacturing plant and recycled products are remanufactured into as-new products in the remanufacturing facility. Both the brand-new products and remanufactured products are used to satisfy customer demands. Returns of used products that are recycled from customers are assumed to be stochastic and nonlinearly price-dependent. A mathematical model is proposed to maximize the overall profit of the system through simultaneously optimizing the production and recycling decisions, subject to two capacity constraints — the manufacturing capacity and …

Multi-Product Budget-Constrained Acquistion And Pricing With Uncertain Demand And Supplier Quantity Discounts, Jianmai Shi, Guoqing Zhang

Mechanical, Automotive & Materials Engineering Publications

We consider the joint acquisition and pricing problem where the retailer sells multiple products with uncertain demands and the suppliers provide all unit quantity discounts.The problem is to determine the optimal acquisition quantities and selling prices so as to maximize the retailer’s expected profit, subject to a budget constraint. This is the first extension to consider supplier discounts in the constrained multi-product newsvendor pricing problem. We establish a mixed integer nonlinear programming (MINLP) model to formulate the problem, and developaLagrangian based solution approach.Computational results for the test problems involving up to thousand products are reported, which show that the Lagrangian …

Gains In The Life-Cycle Of Adaptable, Self-Organizing Material Handling Systems, Jan R. Nopper, Guido Follert, Michael Ten Hompel

11th IMHRC Proceedings (Milwaukee, Wisconsin. USA – 2010)

Compared to conventional material flow controls, self-organized material handling systems and the Internet of Things in facility logistics promise several advantages during the life-cycle. Most important is the increased adaptability in case of expansions or modifications due to a consistent modular design; this also promotes an increased robustness due to clearly defined interfaces and a decreased complexity of each module. The use of RFID technology increases the availability of real-time data about the system and the transported units. However, the introduction of self-organized material handling systems also causes costs, e.g. for necessary RFID tags and readers. Against this background, it …

Design Of Cross-Chain Internet Order Fulfillment Centres, Kees Jan Roodbergen, Iris F. A. Vis, Jaap Boter

11th IMHRC Proceedings (Milwaukee, Wisconsin. USA – 2010)

Many consumers have embraced the option of ordering via the Internet, which has resulted in an enormous increase in direct orders compared to the times when direct ordering was done by catalogue and phone. The fulfillment process in the supply chain is an important factor for these consumers impacting how long they must wait between ordering and delivery. This fact has significantly increased the importance of the back-end fulfillment process. We present a novel supply chain design to enable cross-chain coordination of order fulfillment operations for internet sales. Shared warehousing facilities are used more and more to achieve competitive advantage. …

A Real-Time Picking And Sorting System In E-Commerce Distribution Centers, Yeming Gong, Erik M. M. Winands, Rene B. M. De Koster

11th IMHRC Proceedings (Milwaukee, Wisconsin. USA – 2010)

Order fulfillment is the most expensive and critical operation for companies engaged in e-commerce. E-commerce distribution centers must rapidly organize the picking and sorting processes during and after the transaction has taken place, with the ongoing need to create greater responsiveness to customers. Sorting brings a relatively large setup time, which cannot be well admitted by existing polling models. We build a new stochastic polling model to describe and analyze such systems, and provide approximate explicit expressions for the complete distribution of order line waiting time for polling-based order picking systems and test their accuracy. These expressions lend themselves for …

Spiral Facility Layout Generation And Improvement Algorithm, Hatice E. Sanli, Fahrettin Eldemir

11th IMHRC Proceedings (Milwaukee, Wisconsin. USA – 2010)

This study is concerned with construction and improvement of a facility layout heuristic called Spiral Facility Layout Generation and Improvement Algorithm (SFLA). The algorithm starts with positioning departments from center point and continues like a hologram from center to outside. The aim of any facility layout algorithm is to better allocate the departments within facility. SFLA is compared with the existing space filling curve methods, MCRAFT and MULTIPLE, that are available in the literature. To form an initial spiral curve, a block system is used, like the bands for MCRAFT. The width and length of the blocks are given by …

Merge Problems With High Speed Sorters, Dirk Jodin, Andreas Wolfschluckner

11th IMHRC Proceedings (Milwaukee, Wisconsin. USA – 2010)

To meet customer demands on distribution the necessity of sorting systems for unit loads in regard to quantity and capacity is growing up constantly.

Due to that, manufactures offer powerful sorting machines with a capacity up to 15.000 pieces per hour. Those machines are for instance Crossbelt or Tilt-Tray sorters. The output of these sorters is calculated by the equation of throughput.

The point of interest is the merge, referring to the overall efficiency of the single sorter. The motion sequence during merging has to be absolutely quick and precise to achieve exact positioning using minimized distances of the single …

Dispatching Vehicles Considering Uncertain Handling Times At Port Container Terminals, Vu Duc Nguyen, Kap Hwan Kim

11th IMHRC Proceedings (Milwaukee, Wisconsin. USA – 2010)

This paper considers the problem of vehicle dispatching at port container terminals in a dynamic environment. The problem deals with the assignment of delivery orders of containers to vehicles while taking into consideration the uncertainty in the travel times of the vehicles. Thus, a real-time vehicle dispatching algorithm is proposed for adaptation to the dynamic changes in the states of the container terminals. To evaluate the performance of the proposed algorithm, a simulation study was conducted by considering various values of decision parameters under the uncertainty in travel times. Further, the performance of the proposed algorithm was compared with those …

Investigating Possible Synergies In Intermodal Operations With Truck And Rail, G. Don Taylor, Mia K. Burns, Gary L. Whicker

11th IMHRC Proceedings (Milwaukee, Wisconsin. USA – 2010)

As the trucking industry continues to examine ways to provide better service at lower cost, many companies are more heavily utilizing intermodal (IM) strategies between truck and rail, especially for those loads that are relatively non-critical in terms of delivery time requirements and that have longer lengths of haul. As IM business grows, supporting dray infrastructure naturally develops around IM rail yards. What is unknown is whether it is best to have a dedicated set of drivers performing dray operations or if efficiency and cost savings can result when utilizing a joint driving fleet to concurrently support IM and traditionally …

Optimization Of Costs And Service Level By Choosing The Best Customer Order Decoupling Point, Michael Schmidt, Detlef Spee

11th IMHRC Proceedings (Milwaukee, Wisconsin. USA – 2010)

The customer order decoupling point (CODP) as the link in the supply chain between processes based on uncertain information, such as sales forecasts, and certain information in the form of customer orders is crucial for production efficiency, storage costs, and the quality of logistics. This paper focuses on developing an approach for identifying a CODP that provides the highest potential for achieving business objectives. Within the context of the above-mentioned topics, this paper focuses on the interrelations and the tradeoffs that have to be made when positioning the COPD. The goal of the paper is to present an effective and …

Analysis Of Picker Blocking In Narrow-Aisle Batch Picking, Soondo Hong, Andrew L. Johnson, Brett A. Peters

11th IMHRC Proceedings (Milwaukee, Wisconsin. USA – 2010)

This study analyzes impacts by batch picking on picker blocking in narrow-aisle order picking, and determines appropriate batch formations for a better order picking throughput. We present multiple-pick analytical models to offer insights about picker blocking in batch picking. Several simulation studies over a variety of batching situations scrutinize order batching situations which give throughput benefits in narrow-aisle configurations by satisfying the analytical results. Our results highlight three findings for narrow-aisle batch picking processes: 1) variation of pick probability in batch picking is inevitable and is a primary driver of picker blocking; 2) a near-optimal distance-based batching algorithm can experience …