Title: Multi-objective inventory model for material requirements planning with uncertain lead-time

Authors: Heibatolah Sadeghi; Anwar Mahmoodi

Addresses: Department of Industrial Engineering, Faculty of Engineering, University of Kurdistan, Sanandaj, Iran ' Department of Industrial Engineering, Faculty of Engineering, University of Kurdistan, Sanandaj, Iran

Abstract: Material requirements planning (MRP), in its original form, utilises deterministic lead-time. However, the lead-time uncertainty is a fact of life in most of production systems. Therefore, developing MRP to deal with lead-time uncertainty is of great importance to academics and practitioners. In this paper, the problem of supply planning is considered in a multi-period, multi-level assembly system in which each sub-level has several components whose lead-times are uncertain. A two-objective mathematical model is presented not only to provide the appropriate number of periods in POQ policy, but also to determine the planning lead-time of each sub-level component. The aim of the model is to minimise the expected total cost, and to maximise the customer service level. Furthermore, two metaheuristic algorithms, namely non-dominated sorting genetic algorithm-II (NSGA-II), and multi-objective particle swarm optimisation (MOPSO) are proposed to solve the model. Finally, numerical experiments are carried out to compare the effectiveness of the procedures.

Keywords: supply planning; random lead-time; customer service level; periodic order quantity; POQ; multi-objective genetic algorithm.

DOI: 10.1504/IJOR.2022.122811

International Journal of Operational Research, 2022 Vol.43 No.4, pp.391 - 415

Received: 29 Jan 2019
Accepted: 02 Jul 2019
Published online: 13 May 2022 *

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