Template-Type: ReDIF-Paper 1.0
Author-Name: Romeijn, H.E.
Author-Name-Last: Romeijn
Author-Name-First: Edwin
Author-Name: Romero Morales, D.
Author-Name-Last: Romero Morales
Author-Name-First: Dolores
Title: A Greedy Heuristic for a Three-Level Multi-Period Single-Sourcing Problem
Abstract: In this paper we consider a model for integrating transportation and inventory decisions in a three-level logistics network consisting of plants, warehouses, and retailers (or customers). Our model includes production and throughout capacity constraints, and minimizes production, holding, and tansportation costs in a dynamic environment. We show that the problem can be reformulated as a certain type of assignment problem with convex objective function. Based on this observation, we propose a greedy heuristic for the problem, and illustrate its behaviour on a class of randomly generated problem instances. These experiments suggest that the heuristic may be asymptotically feasible and optimal with probability one in the number of customers.
Creation-Date: 2000-03-31
File-URL: https://repub.eur.nl/pub/13/erimrs20000331144019.pdf
File-Format: application/pdf
Series: RePEc:ems:eureri
Number: ERS-2000-04-LIS
Classification-JEL: M, M11, R4, R49
Keywords: dynamic demand pattern, dynamic models, heuristic solution approaches, inventory costs, transportation costs
Handle: RePEc:ems:eureri:13