Optimization of integrated production scheduling and vehicle routing problem with batch delivery to multiple customers in supply chain

Abstract

In supply chain literature, production coordination and vehicle routing have received a lot of attention. Even though all functions in the supply chain are interrelated, they are normally handled independently. This disconnected approach might lead to less-than-ideal outcomes. Increasing total efficiency by integrating manufacturing and delivery scheduling processes is popular. This study focuses on synchronic production–distribution scheduling difficulties, particularly permutation flow shop scheduling in production and sequence-dependent setup time (SDST) and vehicle routing alternatives in distribution. To create a cost-effective distribution among the placement of geographically separated clients and hence to minimize delivery costs, batch delivery to customers employing a succession of homogenized capacity limitation vehicles is examined here. However, this might result in the failure to complete multiple client orders before their deadlines, raising the cost of lateness. As a result, the goal of this study is to lower the overall cost of tardiness and batch distribution in the supply chain. To accomplish so, a mixed-integer nonlinear programming model is developed, and the model is solved using a suggested genetic algorithm (GA). Because there is no established benchmark for this issue, a set of genuine problem scenarios is created in order to assess the proposed GA in a viable and difficult environment. Ruiz's benchmark data, which is derived from Taillard's benchmark cases of permutation flow shops, was supplemented with SDSTs in the production of test examples. In comparison to an exact method, the results show that the proposed GA can rapidly seek solutions to optimality for most small-sized instances. Furthermore, for medium and large-scale cases, the proposed GA continues to work well and produces solutions in a fair amount of time in comparison to GA without the local search.