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A Genetic Algorithm for the Shelf-Space Allocation Problem with Vertical Position Effects

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  • Kateryna Czerniachowska

    (Center for Intelligent Management Systems, Wroclaw University of Economics and Business, 53-345 Wroclaw, Poland)

  • Marcin Hernes

    (Center for Intelligent Management Systems, Wroclaw University of Economics and Business, 53-345 Wroclaw, Poland)

Abstract

The shelf-space on which products are displayed is one of the most important resources in the retail environment. Therefore, decisions about shelf-space allocation and optimization are critical in retail operation management. This paper addresses the problem of a retailer who sells various products by displaying them on the shelf at stores. We present a practical shelf-space allocation model, based on a genetic algorithm, with vertical position effects with the objective of maximizing the retailer’s profit. The validity of the model is illustrated with example problems and compared to the CPLEX solver. The results obtained from the experimental phase show the suitability of the proposed approach.

Suggested Citation

  • Kateryna Czerniachowska & Marcin Hernes, 2020. "A Genetic Algorithm for the Shelf-Space Allocation Problem with Vertical Position Effects," Mathematics, MDPI, vol. 8(11), pages 1-20, October.
    • Handle: RePEc:gam:jmathe:v:8:y:2020:i:11:p:1881-:d:437290
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    1. Kateryna Czerniachowska & Krzysztof Michalak & Marcin Hernes, 2023. "Heuristics for the shelf space allocation problem," OPSEARCH, Springer;Operational Research Society of India, vol. 60(2), pages 835-869, June.

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