Constraint-based local search for inventory control under stochastic demand and lead time

INFORMS Journal on Computing

Volumn 24, Issue 1, 2012, Pages 66-80

  Rossi, Roberto ^a   Armagan Tarim, S ^b   Bollapragada, Ramesh ^c  

^a WAGENINGEN UNIVERSITY   (Netherlands)

^b HACETTEPE UNIVERSITY   (Turkey)

^c SAN FRANCISCO STATE UNIVERSITY   (United States)

Author keywords

Constraint based local search; Demand uncertainty; Heuristics; Inventory control; Supplier lead time uncertainty

Indexed keywords

CONSTRAINT PROGRAMMING; CONSTRAINT-BASED; COORDINATE DESCENT; DEMAND UNCERTAINTY; EXACT APPROACH; HEURISTICS; HYBRID ALGORITHMS; LEADTIME; LOCAL SEARCH; LOCAL SEARCH STRATEGY; MULTI-PERIOD; NEAR-OPTIMAL POLICIES; NONSTATIONARY; NUMERICAL EXPERIMENTS; OPTIMAL SOLUTIONS; REPLENISHMENT CYCLE; RUNTIMES; SERVICE LEVEL CONSTRAINT; SOLUTION QUALITY; STOCHASTIC DEMAND;

COMPUTER PROGRAMMING; CONSTRAINT THEORY; INVENTORY CONTROL;

NUMERICAL METHODS;

EID: 84862001464     PISSN: 10919856     EISSN: 15265528     Source Type: Journal    
DOI: 10.1287/ijoc.1100.0434     Document Type: Article

References (46)

1. Apt, K. 2003. Principles of Constraint Programming. Cambridge University Press, Cambridge, UK.
2. Axsäter, S. 2006. Inventory Control, 2nd ed. Springer, Berlin.
3. Babaï, M. Z., A. Syntetos, Y. Z. Dallery K. Nikolopoulos. 2009. Dynamic re-order point inventory control with lead-time uncertainty: Analysis and empirical investigation. Internat. J. Production Res. 47 (9) 2461-2483.
4. Bashyam, S., M. C. Fu. 1998. Optimization of (s, S) inventory systems with random lead times and a service level constraint. Management Sci. 44 (12, Part 2) 243-256.
5. Berry, W. L. 1972. Lot sizing procedures for requirements planning systems: A framework for analysis. Production Inventory Management J. 13 (2) 19-34.
6. Birge, J. R., F. Louveaux. 1997. Introduction to Stochastic Programming. Springer-Verlag, New York.
7. Blum, C, A. Roli. 2003. Metaheuristics in combinatorial optimization: Overview and conceptual comparison. ACM Comput. Surveys 35 (3) 268-308.
8. Bookbinder, J. H., J. Y Tan. 1988. Strategies for the probabilistic lotsizing problem with service-level constraints. Management Sci. 34 (9) 1096-1108.
9. Cesta, A., G. Cortellessa, A. Oddi, N. Policella, A. Susi. 2001. A constraint-based architecture for flexible support to activity scheduling. AI*IA 01: Proc. 7th Congress Italian Assoc. Artificial Intelligence Adv. Artificial Intelligence, Springer-Verlag, London, 369-381. (Pubitemid 33340116)
10. Charnes, A., W. W. Cooper. 1959. Chance-constrained programming. Management Sci. 6 (1) 73-79.
11. De Backer, B., V. Furnon, P. Shaw, P. Kilby P. Prosser. 2000. Solving vehicle routing problems using constraint programming and metaheuristics. J. Heuristics 6 (4) 501-523.
12. de Kok, A. G. 1991. Basics of inventory management: Part 2: The (R, S)-model. Research Memorandum FEW 521, Department of Economics, Tilburg University, Tilburg, The Netherlands.
13. de Kok, T, K. Inderfurth. 1997. Nervousness in inventory management: Comparison of basic control rules. Eur. J. Oper. Res. 103 (1) 55-82. (Pubitemid 127396730)
14. Eppen, G. D., R. K. Martin. 1988. Determining safety stock in the presence of stochastic lead time and demand. Management Sci. 34 (11) 1380-1390.
15. Focacci, F., F. Laburthe, A. Lodi. 2002. Local search and constraint programming. F. Glover, G. Kochenberger, eds. Handbook of Metaheuristics. International Series in Operations Research and Management Science, Vol. 57. Kluwer Academic Publishers, Norwell, MA, 369-403.
16. Focacci, F., A. Lodi, M. Milano. 1999. Cost-based domain filtering. Principles and Practice of Constraint Programming: Fifth International Conference. Lecture Notes in Computer Science, Vol. 1713. Springer, Berlin, 189-203.
17. Hadley, G., T. M. Whitin. 1964. Analysis of Inventory Systems. Prentice Hall, Upper Saddle River, NJ.
18. Hayya, J. C, U. Bagchi, J. G. Kim, D. Sun. 2008. On static stochastic order crossover. Internat. J. Production Econom. 114 (1) 404-413.
19. Hayya, J. C, S. H. Xu, R. V Ramasesh, X. X. He. 1995. Order crossover in inventory systems. Stochastic Models 11 (2) 279-309.
20. Heisig, G. 2002. Planning Stability in Material Requirements Planning Systems. Springer-Verlag, New York.
21. Hunt, J. A. 1965. Balancing accuracy and simplicity in determining reorder points. Management Sci. 12 (4) B94-B103.
22. ILOG. 2007. OPL Studio 3.7 User's Manual. IBM, Armonk, NY.
23. Kaplan, R. S. 1970. A dynamic inventory model with stochastic lead times. Management Sci. 16 (7) 491-507.
24. Laburthe, F, the OCRE project team. 1994. Choco: Implementing a CP kernel. Technical report, Bouygues e-Lab, St. Quentin en Yvelines, France.
25. Nevison, C, M. Burstein. 1984. The dynamic lot-size model with stochastic lead times. Management Sci. 30 (1) 100-109. (Pubitemid 14531744)
26. Nocedal, J., S. J. Wright. 1999. Numerical Optimization. Springer, New York.
27. Pesant, G., M. Gendreau. 1996. A view of local search in constraint programming. E. C. Freuder, ed. Proc. 2nd Internat. Conf. Principles and Practice of Constraint Programming. Lecture Notes in Computer Science, Vol. 1118. Springer, Berlin, 353-366. (Pubitemid 126117714)
28. Régin, J.-C. 1994. A filtering algorithm for constraints of difference in csps. Proc. 12th National Conf. Artificial Intelligence, Seattle, Vol. 1. American Association for Artificial Intelligence, Menlo Park, CA, 362-367.
29. Régin, J.-C. 2003. Constraints and integer programming combined. M. Milano, ed. Global Constraints and Filtering Algorithms. Kluwer Academic Publishers, Norwell, MA, 89-129.
30. Riezebos, J. 2006. Inventory order crossovers. Internat. J. Production Econom. 104 (2) 666-675. (Pubitemid 44403062)
31. Rossi, F, P. van Beek, T. Walsh. 2006. Handbook of Constraint Programming (Foundations of Artificial Intelligence). Elsevier Science, New York.
32. Rossi, R., S. A. Tarim, B. Hnich, S. Prestwich. 2008. A global chanceconstraint for stochastic inventory systems under service level constraints. Constraints 13 (4) 490-517.
33. Rossi, R., S. A. Tarim, B. Hnich, S. Prestwich. 2010. Computing the non-stationary replenishment cycle inventory policy under stochastic supplier lead-times. Internat. J. Production Econom. 127 (1) 180-189.
34. Rossi, R., S. A. Tarim, B. Hnich, S. Prestwich. 2011. A state space augmentation algorithm for the replenishment cycle inventory policy. Internat. J. Production Econom. 133 (1) 377-384.
35. Silver, E. A., D. F. Pyke, R. Peterson. 1998. Inventory Management and Production Planning and Scheduling. John Wiley & Sons, New York.
36. Speh, T. W, G. Wagenheim. 1978. Demand and lead-time uncertainty: The impacts of physical distribution performance and management. J. Bus. Logist. 1 (1) 95-113.
37. Tang, C. S. 2006. Perpectives in supply chain risk management. Internat. J. Production Econom. 103 (2) 451-488. (Pubitemid 44038496)
38. Tarim, S. A. 1996. Dynamic lotsizing models for stochastic demand in single and multi-echelon inventory systems, Ph. D. thesis, Lancaster University, Lancaster, UK.
39. Tarim, S. A., B. G. Kingsman. 2004. The stochastic dynamic production/inventory lot-sizing problem with service-level constraints. Internat. J. Production Econom. 88 (1) 105-119.
40. Tarim, S. A., B. G. Kingsman. 2006. Modelling and computing (Rn, Sn) policies for inventory systems with non-stationary stochastic demand. Eur. J. Oper. Res. 174 (1) 581-599. (Pubitemid 44866833)
41. Tarim, S. A., B. Smith. 2008. Constraint programming for computing non-stationary (R, S) inventory policies. Eur. J. Oper. Res. 189 (3) 1004-1021. (Pubitemid 351400591)
42. Tarim, S. A., S. Manandhar, T. Walsh. 2006. Stochastic constraint programming: A scenario-based approach. Constraints 11 (1) 53-80.
43. Tarim, S. A., B. Hnich, R. Rossi, S. Prestwich. 2009. Cost-based filtering techniques for stochastic inventory control under service level constraints. Constraints 14 (2) 137-176.
44. Tempelmeier, H. 2007. On the stochastic uncapacitated dynamic single-item lotsizing problem with service level constraints. Eur. J. Oper. Res. 181 (1) 184-194.
45. Whybark, D. C, J. G. Williams. 1976. Material requirements planning under uncertainty. Decision Sci. 7 (4) 595-606.
46. Zipkin, P. 1986. Stochastic leadtimes in continuous-time inventory models. Naval Res. Logist. Quart. 33 (4) 763-774. (Pubitemid 17467101)