Neighborhood search heuristics for selecting hierarchically well‐formulated subsets in polynomial regression

The importance of subset selection in multiple regression has been recognized for more than 40 years and, not surprisingly, a variety of exact and heuristic procedures have been proposed for choosing subsets of variables. In the case of polynomial regression, the subset selection problem is complicated by two issues: (1) the substantial growth in the number of candidate predictors, and (2) the desire to obtain hierarchically well‐formulated subsets that facilitate proper interpretation of the regression parameter estimates. The first of these issues creates the need for heuristic methods that can provide solutions in reasonable computation time; whereas the second requires innovative neighborhood search approaches that accommodate the hierarchical constraints. We developed tabu search and variable neighborhood search heuristics for subset selection in polynomial regression. These heuristics are applied to a classic data set from the literature and, subsequently, evaluated in a simulation study using synthetic data sets. © 2009 Wiley Periodicals, Inc. Naval Research Logistics, 2010     

A facility reliability problem: Formulation,properties, and algorithm

Having a robustly designed supply chain network is one of the most effective ways to hedge against network disruptions because contingency plans in the event of a disruption are often significantly limited. In this article, we study the facility reliability problem: how to design a reliable supply chain network in the presence of random facility disruptions with the option of hardening selected facilities. We consider a facility location problem incorporating two types of facilities, one that is unreliable and another that is reliable (which is not subject to disruption, but is more expensive). We formulate this as a mixed integer programming model and develop a Lagrangian Relaxation‐based solution algorithm. We derive structural properties of the problem and show that for some values of the disruption probability, the problem reduces to the classical uncapacitated fixed charge location problem. In addition, we show that the proposed solution algorithm is not only capable of solving large‐scale problems, but is also computationally effective. © 2009 Wiley Periodicals, Inc. Naval Research Logistics, 2010     

Strategic dynamic sourcing from competing suppliers with transferable capacity investment

We study the supplier relationship choice for a buyer that invests in transferable capacity operated by a supplier. With a long‐term relationship, the buyer commits to source from a supplier over a long period of time. With a short‐term relationship, the buyer leaves open the option of switching to a new supplier in the future. The buyer has incomplete information about a supplies efficiency, and thus uses auctions to select suppliers and determine the contracts. In addition, the buyer faces uncertain demand for the product. A long‐term relationship may be beneficial for the buyer because it motivates more aggressive bidding at the beginning, resulting a lower initial price. A short‐term relationship may be advantageous because it allows switching, with capacity transfer at some cost, to a more efficient supplier in the future. We find that there exists a critical level of the switching cost above which a long‐term relationship is better for the buyer than a short‐term relationship. In addition, this critical switching cost decreases with demand uncertainty, implying a long‐term relationship is more favorable for a buyer facing volatile demand. Finally, we find that in a long‐term relationship, capacity can be either higher or lower than in a short‐term relationship. © 2009 Wiley Periodicals, Inc. Naval Research Logistics 2009     

Client‐contractor bargaining on net present value in project scheduling with limited resources

The client‐contractor bargaining problem addressed here is in the context of a multi‐mode resource constrained project scheduling problem with discounted cash flows, which is formulated as a progress payments model. In this model, the contractor receives payments from the client at predetermined regular time intervals. The last payment is paid at the first predetermined payment point right after project completion. The second payment model considered in this paper is the one with payments at activity completions. The project is represented on an Activity‐on‐Node (AON) project network. Activity durations are assumed to be deterministic. The project duration is bounded from above by a deadline imposed by the client, which constitutes a hard constraint. The bargaining objective is to maximize the bargaining objective function comprised of the objectives of both the client and the contractor. The bargaining objective function is expected to reflect the two‐party nature of the problem environment and seeks a compromise between the client and the contractor. The bargaining power concept is introduced into the problem by the bargaining power weights used in the bargaining objective function. Simulated annealing algorithm and genetic algorithm approaches are proposed as solution procedures. The proposed solution methods are tested with respect to solution quality and solution times. Sensitivity analyses are conducted among different parameters used in the model, namely the profit margin, the discount rate, and the bargaining power weights. © 2009 Wiley Periodicals, Inc. Naval Research Logistics, 2009     

Fire truck relocation during major incidents

The effectiveness of a fire department is largely determined by its ability to respond to incidents in a timely manner. To do so, fire departments typically have fire stations spread evenly across the region, and dispatch the closest truck(s) whenever a new incident occurs. However, large gaps in coverage may arise in the case of a major incident that requires many nearby fire trucks over a long period of time, substantially increasing response times for emergencies that occur subsequently. We propose a heuristic for relocating idle trucks during a major incident in order to retain good coverage. This is done by solving a mathematical program that takes into account the location of the available fire trucks and the historic spatial distribution of incidents. This heuristic allows the user to balance the coverage and the number of truck movements. Using extensive simulation experiments we test the heuristic for the operations of the Fire Department of Amsterdam‐Amstelland, and compare it against three other benchmark strategies in a simulation fitted using 10 years of historical data. We demonstrate substantial improvement over the current relocation policy, and show that not relocating during major incidents may lead to a significant decrease in performance.     

On the roles of free play in army exercises and the Russians

The article outlines the essential role of free play elements in various types of exercises for the development of in-depth and practical military professionalism. It thereafter argues why such use of free play contradicts the military science founded Russian Way of War.     

A multi-item EOQ model with inventory cycle balancing

This article concerns a multi-item, infinite-horizon, lot-sizing problem, where the objective is to minimize a total cost function made up of reordering cost, holding cost, and a cost determined by peak inventory levels. By spreading inventory replenishments over the reordering cycle, the peak inventory level can be reduced. The model permits the derivation of simultaneously optimal solutions for the length of the cycle and the individual item replenishment times within the cycle. An alternative formulation, in which total storage capacity is modeled as a constraint, is also solved.     

Approximating nonstationary two-priority non-preemptive queueing systems

An approximation for analyzing transient and nonstationary two-priority non-preemptive queueing systems is presented. This system has a three-dimensional state space, and through use of state-space partitioning in conjunction with use of conditional surrogate distributions with constant parameters an approximation is designed. Regardless of system capacity K, the approximation requires the numerical solution of only ten differential equations, compared to the K² + K+1 Kolmogorov-forward equations required for the classic solution. Time-dependent approximations of the mean number of entities of type i and of the probability of a type-i entity being in service are obtained. Empirical test results over a wide range of systems indicate the approximation is quite accurate.     

What is the global landpower network and what value might it provide?

US national security guidance, as well as the US Army’s operational experiences since 2001, emphasizes the importance of working closely with partner countries to achieve US strategic objectives. The US Army has introduced the global landpower network (GLN) concept as a means to integrate, sustain and advance the Army’s considerable ongoing efforts to meet US national security guidance. This study develops the GLN concept further, and addresses three questions. What benefits can the GLN provide the Army? What are the essential components of the GLN? What options exist for implementing the GLN concept? By developing the GLN concept, the Army has the opportunity to transition the GLN from an often ad hoc and reactive set of relationships to one that the Army more self-consciously prioritizes and leverages as a resource to meet US strategic objectives.     

Benders' cuts guided large neighborhood search for the traveling umpire problem

This article introduces the use of Benders' cuts to guide a large neighborhood search to solve the traveling umpire problem, a sports scheduling problem inspired by the real‐life needs of the officials of a sports league. At each time slot, a greedy matching heuristic is used to construct a schedule. When an infeasibility is recognized first a single step backtracking is tried to resolve the infeasibility. If unsuccessful, Benders' cuts are generated to guide a large neighborhood search to ensure feasibility and to improve the solution. Realizing the inherent symmetry present in the problem, a large family of cuts are generated and their effectiveness is tested. The resulting approach is able to find better solutions to many instances of this problem. © 2011 Wiley Periodicals, Inc. Naval Research Logistics, 2011