OR PRACTICE---The Dance of the Thirty-Ton Trucks: Dispatching and Scheduling in a Dynamic Environment
We report on the application of operations research to a very complex scheduling and dispatching problem. Scheduling and dispatching are never easy, but the scheduling of concrete deliveries is particularly difficult for several reasons: (1) concrete is ...
The Optimal Time to Initiate HIV Therapy Under Ordered Health States
The question of when to initiate HIV treatment is considered the most important question in HIV care today. Benefits of delaying therapy include avoiding the negative side effects and toxicities associated with the drugs, delaying selective pressures ...
Modeling and Computing Two-Settlement Oligopolistic Equilibrium in a Congested Electricity Network
A model of two-settlement electricity markets is introduced, which accounts for flow congestion, demand uncertainty, system contingencies, and market power. We formulate the subgame perfect Nash equilibrium for this model as an equilibrium problem with ...
Evaluating Contextual Variables Affecting Productivity Using Data Envelopment Analysis
A DEA-based stochastic frontier estimation framework is presented to evaluate contextual variables affecting productivity that allows for both one-sided inefficiency deviations as well as two-sided random noise. Conditions are identified under which a ...
Optimal Policy for a Periodic-Review Inventory System Under a Supply Capacity Contract
Transportation and production contracts often specify the frequency and volume reserved by the supplier for a particular customer's deliveries. This practice motivated Henig et al. (Henig, M., Y. Gerchak, R. Ernst, D. Pyke. 1997. An inventory model ...
CAR-DEA: Context-Dependent Assurance Regions in DEA
Assurance region (AR) restrictions on multipliers in data envelopment analysis (DEA) have been applied extensively in many performance measurement settings. They facilitate the derivation of multiplier values that reflect the reality of the problem ...
Equity-Efficiency Bicriteria Location with Squared Euclidean Distances
A facility must be located within a given region taking two criteria of equity and efficiency into account. Equity is sought by minimizing the inequality in the facility-inhabitant distances, as measured by the sum of the absolute differences between ...
Preventing Large Sojourn Times Using SMART Scheduling
Recently, the so-called class of SMART scheduling policies has been introduced to formalize the common heuristic of “biasing toward small jobs.” We study the tail of the sojourn-time (response-time) distribution under both SMART policies and the ...
Truthful Double Auction Mechanisms
Following the multistage design approach, we propose two asymptotically efficient truthful double auction mechanisms, the BC-LP mechanism and the MBC mechanism, for an exchange market with many buyers and sellers. In this market, each buyer wants to ...
Price and Order Postponement in a Decentralized Newsvendor Model with Multiplicative and Price-Dependent Demand
We analyze the effect of price and order postponement in a decentralized newsvendor model with multiplicative and price-dependent demand, wherein the manufacturer sets the wholesale price, and possibly offers a buyback rate, and the retailer determines ...
Arrival Rate Approximation by Nonnegative Cubic Splines
We describe an optimization method to approximate the arrival-rate function of a nonhomogeneous Poisson process based on observed arrival data. We estimate the function by cubic splines, using an optimization model based on the maximum-likelihood ...
Versioning and Piracy Control for Digital Information Goods
Technological advances in digitalization and communications technologies have aggravated the information goods piracy problem. In contrast to previous literature which mainly considers solutions, such as law enforcement or technology protection that ...
Dimensioning Large-Scale Membership Services
Motivated by workforce planning problems in health care, professional, warranty, and repair services, we propose modeling service centers that are exclusively dedicated to fixed client constituencies as closed multiserver queueing systems, a framework ...
Regret in the Newsvendor Model with Partial Information
Traditional stochastic inventory models assume full knowledge of the demand probability distribution. However, in practice, it is often difficult to completely characterize the demand distribution, especially in fast-changing markets. In this paper, we ...
Analyzing Cost-Efficient Production Behavior Under Economies of Scope: A Nonparametric Methodology
In designing a production model for firms that generate multiple outputs, we take as a starting point that such multioutput production refers to economies of scope, which in turn originate from joint input use and input externalities. We provide a ...
Integrating Approximation and Interactive Decision Making in Multicriteria Optimization
We present a new interactive hybrid approach for solving multicriteria optimization problems where features of approximation methods and interactive approaches are incorporated. We produce rough approximations of the nondominated set and let the ...
Bayesian Analysis of the Sequential Inspection Plan via the Gibbs Sampler
A complex product, such as a software system, is often inspected more than once in a sequential manner to further improve its quality and reliability. In such a case, a particularly important task is to accurately estimate the number of errors still ...
TECHNICAL NOTE---Spatial Queueing Analysis of an Interdiction System to Protect Cities from a Nuclear Terrorist Attack
We formulate and analyze a spatial queueing model concerning a terrorist who is attempting to drive a nuclear or radiological weapon toward a target in a city center. In our model, imperfect radiation sensors form a circular wall around the periphery of ...
TECHNICAL NOTE---Solving Linear Cost Dynamic Lot-Sizing Problems in O(n log n) Time
In this paper, we study capacitated dynamic lot-sizing problems with or without backorders, under the assumption that production costs are linear, that is, there are no setup costs. These two dynamic lot-sizing problems (with or without backorders) are ...