Balancing Inventory Management: Genetic Algorithm Optimization for A Novel Dynamic Lot Sizing Model in Perishable Product Manufacturing
Abstract
In Indonesia, the significant role of perishable products in food wastage has placed the country fourth globally in household food waste. Managing inventory for such products, with their short shelf life and stringent safety standards, emphasizes the need for efficient lot sizing planning. This study introduces a novel Dynamic Lot-Sizing (DLS) model, addressing perishable products and inventory constraints across multiple products, periods, and varying demands. The model aims to optimize production quantity and binary production, minimizing overall system costs. Employing a Genetic Algorithm (GA), this research solves the DLS model under constrained and unconstrained inventory capacities. Real-case data from a bread manufacturing company validates the model, while sensitivity analysis examines perishability's impact on the solution and model performance. The DLS-GA model not only reduces system costs but also effectively considers product perishability, offering optimal production plans.
Keywords
Full Text:
PDFReferences
I. Tiseo, "Annual household food waste produced in selected countries worldwide as of 2020," Statista, 2023.
M. Arkyasa, "Indonesian Annual Food Waste Losses Reportedly Reach Rp 551 Trillion," tempo.co, Jakarta, p. 1, 2022. Available: https://en.tempo.co/read/1630680/indonesian-annual-food-waste-losses-reportedly-reach-rp551-trillion.
R. A. C. Leuveano, F. A. Bin Jafar, C. Saleh, and M. R. Bin Muhamad, "Incorporating Transportation Cost into Joint Economic Lot Size For Single Vendor-Buyer," J. Softw., vol. 9, no. 5, pp. 1313–1323, 2014.
R. A. C. Leuveano, M. N. Ab Rahman, W. M. F. W. Mahmood, and C. Saleh, "Integrated vendor-buyer lot-sizing model with transportation and quality improvement consideration under just-in-time problem," Mathematics, vol. 7, no. 10, 2019.
M. N. Ab Rahman et al., "Incorporating logistic costs into a single vendor–buyer JELS model," Appl. Math. Model., vol. 40, no. 23–24, pp. 10809–10819, 2016.
K. Biel and C. H. Glock, "Systematic literature review of decision support models for energy-efficient production planning," Comput. Ind. Eng., vol. 101, pp. 243–259, 2016.
R. A. C. Leuveano, M. N. Ab. Rahman, B. Md Deros, and W. M. F. Wan Mahmood, "A Framework for Developing Green Coordinated Decision Model In Supply Chain," Int. J. Eng. Technol., vol. 8, no. 1.2, pp. 157–163, 2019.
R. A. C. Leuveano, F. A. Bin Jafar, and M. R. Bin Muhamad, "Incorporating transportation costs into integrated inventory model for single supplier and single purchaser," Adv. Sci. Lett., vol. 20, no. 1, pp. 290–293, 2014.
D. Zissis, G. K. D. Saharidis, E. Aktas, and G. Ioannou, "Emission reduction via supply chain coordination," Transp. Res. Part D Transp. Environ., vol. 62, pp. 36–46, 2018.
A. Dymchenko, M. Geršl, and T. Gregor, "Trends in bread waste utilisation," Trends Food Sci. Technol., vol. 132, pp. 93–102, 2023.
S. Østergaard and O. J. Hanssen, "Wasting of fresh-packed bread by consumers-influence of shopping behavior, storing, handling, and consumer preferences," Sustain., vol. 10, no. 7, pp. 1–16, 2018.
P. Brancoli, K. Rousta, and K. Bolton, "Life cycle assessment of supermarket food waste," Resour. Conserv. Recycl., vol. 118, pp. 39–46, 2017.
H. Irwan, M. N. Abd Rahman, Z. Ebrahim, and R. A. A. Chairdino, "A Review of Integration Model of Lot-Sizing-Scheduling Problem," Malaysian Constr. Res. J., vol. 17, no. 3, pp. 160–174, 2023.
C. H. Glock, E. H. Grosse, and J. M. Ries, "The lot sizing problem: A tertiary study," Int. J. Prod. Econ., vol. 155, pp. 39–51, 2014.
K. Altendorfer, Capacity and inventory planning for make-to-order production systems. Lecture notes in economics and mathematical systems). Switzerland: Springer, 2014.
M. Yu and A. Nagurney, "Competitive food supply chain networks with application to fresh produce," Eur. J. Oper. Res., vol. 224, no. 2, pp. 273–282, 2013.
J. Noble, K. John, and B. Paul, "Inventory management of perishable products with fixed shelf life for a single echelon system," Mater. Today Proc., vol. 72, pp. 2863–2868, 2023.
L. Feng, Y. L. Chan, and L. E. Cárdenas-Barrón, "Pricing and lot-sizing polices for perishable goods when the demand depends on selling price, displayed stocks, and expiration date," Int. J. Prod. Econ., vol. 185, pp. 11–20, 2017.
G. A. Chua, R. Mokhlesi, and A. Sainathan, "Optimal Discounting and Replenishment Policies for Perishable Products," Int. J. Prod. Econ., vol. 186, pp. 8–20, 2017.
V. N. Hsu, "Dynamic economic lot size model with perishable inventory," Manage. Sci., vol. 46, no. 8, pp. 1159–1169, 2000.
Q. Duan and T. W. Liao, "A new age-based replenishment policy for supply chain inventory optimization of highly perishable products," Int. J. Prod. Econ., vol. 145, no. 2, pp. 658–671, 2013.
Z. Alipour, F. Jolai, E. Monabbati, and N. Zaerpour, "General lot-sizing and scheduling for perishable food products," RAIRO - Oper. Res., vol. 54, no. 3, pp. 913–931, 2020.
A. Acevedo-Ojeda, I. Contreras, and M. Chen, "Two-level lot-sizing with raw-material perishability and deterioration," J. Oper. Res. Soc., vol. 71, no. 3, pp. 417–432, 2020.
S. Transchel and O. Hansen, "Supply planning and inventory control of perishable products under lead-time uncertainty and service level constraints," in Procedia Manufacturing, 2019, vol. 39, pp. 1666–1672, 2019.
S. Chen, R. Berretta, A. Clark, and P. Moscato, Lot Sizing and Scheduling for Perishable Food Products: A Review. Elsevier, 2019.
S. Nahmias, Perishable Inventory System. Springer Science & Business Media, 2011.
J. Blackburn and G. Scudder, "Supply chain strategies for perishable products: the case of fresh produce," Prod. Oper. Manag., vol. 18, no. 2, pp. 129–137, 2009.
Z. Sazvar, S. M. J. Mirzapour Al-e-hashem, K. Govindan, and B. Bahli, "A novel mathematical model for a multi-period, multi-product optimal ordering problem considering expiry dates in a FEFO system," Transp. Res. Part E Logist. Transp. Rev., vol. 93, pp. 232–261, 2016.
R. Sundararajan, M. Palanivel, and S. Vaithyasubramanian, "On the EOQ Models with Advertisement-Price-Dependent Demand and Quantity Discount with Expiration Date Under Shortage," Oper. Res. Forum, vol. 4, no. 69, 2023.
M. Moeany, A. A. Taleizadeh, and F. Jolai, "Bundle pricing, reservation, and refund policies in a two-level supply chain," Sci. Iran., vol. 29, no. 5 E, pp. 2740–2755, 2022.
S. Khalafi, A. Hafezalkotob, D. Mohammaditabar, and M. K. Sayadi, "Multi objective Fuzzy programming of remanufactured green perishable products using supply contracts," Int. J. Manag. Sci. Eng. Manag., vol. 15, no. 4, pp. 274–287, 2020.
A. Aazami and M. Saidi-Mehrabad, "A production and distribution planning of perishable products with a fixed lifetime under vertical competition in the seller-buyer systems: A real-world application," J. Manuf. Syst., vol. 58, pp. 223–247, 2021.
H. Yang, M. Gao, Q. Xiao, and M. Goh, "Ordering and pricing decisions for perishable goods retailer with zero-inventory and capital constraints," Int. Trans. Oper. Res., vol. 29, no. 5, pp. 3107–3130, 2022.
P. Koken, V. Arasanipalai Raghavan, and S. W. Yoon, "A genetic algorithm based heuristic for dynamic lot sizing problem with returns and hybrid products," Comput. Ind. Eng., vol. 119, pp. 453–464, 2018.
K. E. Parsopoulos, I. Konstantaras, and K. Skouri, "Metaheuristic optimization for the Single-Item Dynamic Lot Sizing problem with returns and remanufacturing," Comput. Ind. Eng., vol. 83, pp. 307–315, 2015.
A. Liu, Q. Zhu, L. Xu, Q. Lu, and Y. Fan, "Sustainable supply chain management for perishable products in emerging markets: An integrated location-inventory-routing model," Transp. Res. Part E Logist. Transp. Rev., vol. 150, p. 102319, 2021.
J. Fan and J. Ou, "On dynamic lot sizing with bounded inventory for a perishable product," Omega (United Kingdom), vol. 119, p. 102895, 2023.
F. Jing and Y. Mu, "Dynamic lot-sizing model under perishability, substitution, and limited storage capacity," Comput. Oper. Res., vol. 122, p. 104978, 2020.
F. Z. Sargut and G. Işık, "Dynamic economic lot size model with perishable inventory and capacity constraints," Appl. Math. Model., vol. 48, pp. 806–820, 2017.
S. M. J. Al-E-Hashem, Z. Sazvar, A. Baboli, Y. Rekik, and M. Akbari Jokar, "A capacitated multi-product dynamic lot-sizing problem by considering expiration dates; A new approach," in IFAC Proceedings Volumes (IFAC-PapersOnline), 2013, pp. 152–157, 2013.
O. Kaya and H. Bayer, "Pricing and lot-sizing decisions for perishable products when demand changes by freshness," J. Ind. Manag. Optim., vol. 17, no. 6, pp. 3113–3129, 2021.
W. Aribowo, M. Rohman, F. Baskoro, R. Harimurti, Y. Yamasari, and W. Yustanti, "Novel hybrid prairie dog optimization algorithm-marine predator algorithm for tuning parameters power system stabilizer," J. Robot. Control, vol. 4, no. 5, pp. 686–695, 2023.
H. M. Asih, R. A. C. Leuveano, A. Rahman, and M. Faishal, "Traveling Salesman Problem With Prioritization for Perishable Products in Yogyakarta, Indonesia," J. Adv. Manuf. Technol., vol. 16, no. 3, pp. 15–27, 2022.
A. Rahman and H. M. Asih, "Optimizing shipping routes to minimize cost using particle swarm optimization," Int. J. Ind. Optim., vol. 1, no. 1, p. 53, 2020.
A. Moghaddas and S. M. H. Hosseini, "Short-term scheduling of hybrid thermal, pumped-storage, and wind plants using firefly optimization algorithm," Int. J. Ind. Optim., vol. 3, no. 2, pp. 80–97, 2022.
S. U. Seçkiner and Ş. Yilkici Yüzügüldü, "A new health-based metaheuristic algorithm: cholesterol algorithm," Int. J. Ind. Optim., vol. 4, no. 2, pp. 115–130, 2023.
Z. Ursani and A. A. Ursani, "Augmented tour construction heuristics for the travelling salesman problem," Int. J. Ind. Optim., vol. 4, no. 2, pp. 131–144, 2023.
T. Nguyen, H.-N. Dinh, V.-T. Nguyen, B. S. Do, T. T. Nguyen, and B.-L. Do, "Ecpoc: an evolutionary computation-based proof ofcriteriaconsensus protocol," Int. J. Ind. Optim., vol. 3, no. 2, pp. 98–109, 2022.
R. Perez-Rodriguez, "An estimation of distribution algorithm for combinatorial optimization problems," Int. J. Ind. Optim., vol. 3, no. 1, pp. 47–67, 2022.
M. N. Khasanah and H. M. Asih, "Developing Simulation Optimization Model to Minimize Total Inventory Cost under Uncertain Demand," in Proceedings of the Second Asia Pacific International Conference on Industrial Engineering and Operations Management, pp. 1998–2007, 2021.
A. Hassan, C. Saleh, B. Md Deros, M. N. Ab Rahman, R. A. C. Leuveano, and A. Adiyoga, "Parameter Optimization of VMI System in a Manufacturer and Multi Retailer Using Genetic Algorithm," Adv. Mater. Res., vol. 1115, pp. 622–626, 2015.
M. N. A. Rahman, R. A. C. Leuveano, F. A. Bin Jafar, C. Saleh, and B. M. Deros, "Total cost reduction using a genetic algorithm for multi-vendor and single manufacturer," Int. J. Math. Model. Methods Appl. Sci., vol. 9, pp. 566–575, 2015.
H. M. Asih, K. E. Chong, and M. Faishal, "Capacity planning and product allocations under testing time uncertainty in electronic industry," J. Adv. Manuf. Technol., vol. 12, no. 1, pp. 103–115, 2018.
H. M. Asih and K. E. Chong, "Throughput and Tester Utilization Improvement in the Hard Disk Drive Assembly Line Using Hybrid Simulation Approach," Adv. Sci. Lett., vol. 20, no. 2, pp. 455–459, 2014.
K. E. Chong and H. M. Asih, "An Integrated Robust Optimization Model of Capacity Planning under Demand Uncertainty in Electronic Industry," Int. J. Mech. Mechatronics Eng., vol. 15, no. 3, pp. 88–96, 2015.
H. M. Asih and K. E. Chong, "An Integrated of Robust Optimization and TOPSIS model for Capacity Planning under Demand Uncertainty," in 1st International Conference on Industrial Engineering, 2015.
X. Yang, Z. Chen, X. Huang, R. Li, S. Xu, and C. Yang, "Robust capacity optimization methods for integrated energy systems considering demand response and thermal comfort," Energy, vol. 221, p. 119727, 2021.
N. Harale, S. Thomassey, and X. Zeng, "Dynamic small-series fashion order allocation and supplier selection: a ga-topsis-based model," Int. J. Ind. Optim., vol. 4, no. 2, pp. 82–102, 2023.
A. C. Leuveano, F. A. Bin Jafar, and M. R. Bin Muhamad, "Development of genetic algorithm on multi-vendor integrated procurement-production system under shared transportation and just-in-time delivery system," Proceeding 2012 Int. Conf. Uncertain. Reason. Knowl. Eng. URKE 2012, pp. 78–81, 2012.
Y. Lou, L. Zhang, and L. Diao, "The scheduling policy on agent software evolution," in PIC 2014 - Proceedings of 2014 IEEE International Conference on Progress in Informatics and Computing, pp. 149–152, 2014.
R. Alayi, H. Harasii, and H. Pourderogar, "Modeling and optimization maximum power point tracking using GA for PV system," J. Robot. Control, vol. 2, no. 1, pp. 35–41, 2021.
N. S. Abu, W. M. Bukhari, M. H. Adli, and A. Ma’arif, "Optimization of an Autonomous Mobile Robot Path Planning Based on Improved Genetic Algorithms," J. Robot. Control, vol. 4, no. 4, pp. 557–571, 2023.
Z. Yuan and L. BingFen, "The Empirical Study of the Schema Theory of Genetic Algorithm Based on 3-satisfiability Problem," pp. 448–453, 2015.
N. Koide, K. Okuhara, Y. Ichifuji, and N. Sonehara, "Automatic Generation of Robust Agents Using Knowledge," in Proceedings of the 44th ISCIE International Symposium on Stochastic Systems Theory and Its Applications, pp. 148–151, 2013.
I. Slama, O. Ben-Ammar, A. Dolgui, and F. Masmoudi, "Genetic algorithm and Monte Carlo simulation for a stochastic capacitated disassembly lot-sizing problem under random lead times," Comput. Ind. Eng., vol. 159, 2021.
B. Le Badezet, F. Larroche, O. Bellenguez, and G. Massonnet, "A Genetic Algorithm for a Capacitated Lot-Sizing Problem with Lost Sales, Overtimes and Safety Stock Constraints," Commun. Comput. Inf. Sci., vol. 1541, pp. 170–181, 2022.
M. Liu, H. Tang, F. Chu, F. Zheng, and C. Chu, "Joint optimization of lot-sizing and pricing with backlogging," Comput. Ind. Eng., vol. 167, 2022.
M. Darwish. Lot-Sizing And Scheduling Optimization using Genetic Algorithm. University of Skovde, 2018.
M. Vahdani, Z. Sazvar, and K. Govindan, "An integrated economic disposal and lot-sizing problem for perishable inventories with batch production and corrupt stock-dependent holding cost," Ann. Oper. Res., vol. 315, no. 2, pp. 2135–2167, 2022.
H. M. Asih, R. Achmad, C. Leuveano, and D. A. Dharmawan, "Optimizing lot sizing model for perishable bread products using genetic algorithm," J. Sist. dan Manaj. Ind., vol. 7, no. 2, pp. 139–154, 2023.
D. Bertsimas, E. Litvinov, X. A. Sun, J. Zhao, and T. Zheng, "Adaptive Robust Optimization for the Security Constrained Unit Commitment Problem," IEEE Trans. Power Syst., vol. 28, no. 1, pp. 52–63, 2013.
C.-J. Wen, X. Liu, and X. Cheng, "Parameter Evaluation of 3-parameter Weibull Distribution based on Adaptive Genetic Algorithm," in 2nd International Conference on Machinery, Electronics and Control Simulation (MECS 2017), vol. 138, pp. 426–431, 2017.
N. Brahimi, S. Dauzere-Peres, N. M. Najid, and A. Nordli, "Single item lot sizing problems," Eur. J. Oper. Res., vol. 168, no. 1, pp. 1–16, 2006.
Z. Chen and R. Q. Zhang, "A capital flow-constrained lot-sizing problem with trade credit," Sci. Iran., vol. 25, no. 5E, pp. 2775–2787, 2018.
G. Besiashvili, M. Khachidze, and D. Chokhonelidze, "Application of Adaptive genetic algorithm in mining industry," 2012 4th Int. Conf. ‘Problems Cybern. Informatics’, PCI 2012 - Proc., pp. 1–3, 2012.
A. Mokhtari, M. M. Jalili, and A. Mazidi, "Optimization of different parameters related to milling tools to maximize the allowable cutting depth for chatter-free machining," Proc. Inst. Mech. Eng. Part B J. Eng. Manuf., vol. 235, no. 1–2, pp. 230–241, 2021.
S. Panda, S. Saha, and M. Basu, "Optimal pricing and lot-sizing for perishable inventory with price and time dependent ramp-type demand," Int. J. Syst. Sci., vol. 44, no. 1, pp. 127–138, 2013.
S. H. R. Pasandideh, S. T. A. Niaki, and M. Hemmati Far, "Optimization of vendor managed inventory of multiproduct EPQ model with multiple constraints using genetic algorithm," Int. J. Adv. Manuf. Technol., vol. 71, no. 1–4, pp. 365–376, 2014.
W. H. Miner, P. M. Valanju, S. P. Hirshman, A. Brooks, and N. Pomphrey, "Use of a genetic algorithm for compact stellarator coil design," Nucl. Fusion, vol. 41, no. 9, pp. 1185–1195, 2001.
K. M. Abdul Kadhar and S. Baskar, "A stopping criterion for decomposition-based multi-objective evolutionary algorithms," Soft Comput., vol. 22, no. 1, pp. 253–272, 2018.
DOI: https://doi.org/10.18196/jrc.v4i6.20667
Refbacks
- There are currently no refbacks.
Copyright (c) 2023 Raden Achmad Chairdino Leuveano, Hayati Mukti Asih, Muhammad Ihsan Ridho, Dhimas Arief Darmawan
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
Journal of Robotics and Control (JRC)
P-ISSN: 2715-5056 || E-ISSN: 2715-5072
Organized by Peneliti Teknologi Teknik Indonesia
Published by Universitas Muhammadiyah Yogyakarta in collaboration with Peneliti Teknologi Teknik Indonesia, Indonesia and the Department of Electrical Engineering
Website: http://journal.umy.ac.id/index.php/jrc
Email: jrcofumy@gmail.com