Title: Order acceptance and scheduling problem with outsourcing in seru production system considering lot-spitting

Authors: Lili Wang; Zhe Zhang; Yong Yin

Addresses: School Economics and Management, Nanjing University of Science and Technology, Nanjing, 210094, China ' School Economics and Management, Nanjing University of Science and Technology, Nanjing, 210094, China ' Graduate School of Business, Doshisha University, Karasuma-Imadegawa, Kamigyo-ku, Kyoto, 602-8580, Japan

Abstract: This paper focuses on the order acceptance and scheduling problem considering lot-spitting with outsourcing decisions simultaneously in seru production system. Assume that the company's production capacity is limited, and that the outsourcer will require different outsourcing costs for different orders. Therefore, when the outsourcing cost of an order is relatively high, the company can choose to process it internally or reject the order directly, so that the company can achieve higher revenue. To solve this complex problem, a mixed 0-1 integer programming model is established, and the objective function maximisation of the net revenue is considered. Due to the complexity of the problem and model, an efficient hybrid algorithm named adaptive simulated annealing genetic algorithm (ASAGA) is designed for the proposed model. Finally, the experimental results show that the ASAGA has better optimal results and excellent scalability. [Received: 27 August 2019; Accepted: 6 February 2021]

Keywords: order acceptance and scheduling; OAS; seru; outsourcing; lot-spitting; hybrid intelligent algorithm.

DOI: 10.1504/EJIE.2022.10039353

European Journal of Industrial Engineering, 2022 Vol.16 No.1, pp.91 - 116

Accepted: 06 Feb 2021
Published online: 12 Nov 2021 *

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