Title: Two-agent order acceptance and scheduling to maximise total revenue

Authors: Mohammad Reisi-Nafchi; Ghasem Moslehi

Addresses: Department of Industrial and Systems Engineering, Isfahan University of Technology, Isfahan 84156-83111, Iran ' Department of Industrial and Systems Engineering, Isfahan University of Technology, Isfahan 84156-83111, Iran

Abstract: The order acceptance and scheduling problem has attracted the attention of many researchers over the past two decades. Studies dealing with profit calculation in this problem have so far focused only on one type of penalty function. This is while in real life situations each manufacturer can have different customers and may deal with each individual customer through different objective functions. In this paper, the order acceptance and scheduling problem has been redefined as a two-agent case for which a new and more practical problem has been considered. The objective is maximising the total revenue from accepted orders by considering an upper bound on the total lateness of the first agent's orders and no tardy orders of the second. A mathematical programming model and a pseudo-polynomial dynamic programming are proposed to optimally solve the problem. Computational results for this problem have shown the capability of the proposed approach. [Received 12 April 2013; Revised 12 January 2014; Revised 3 June 2014; Accepted 18 August 2014]

Keywords: order acceptance; two-agent scheduling; dynamic programming; mathematical programming; total revenue.

DOI: 10.1504/EJIE.2015.071776

European Journal of Industrial Engineering, 2015 Vol.9 No.5, pp.664 - 691

Published online: 18 Sep 2015 *

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