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The Solution of Multiperiod Network Models with Bundle Constraints by Aggregation

Author

Listed:
  • Rotimi S. Aderohunmu

    (School of Management, State University of New York at Binghamton, Binghamton, New York 13901)

  • Jay E. Aronson

    (Terry College of Business, University of Georgia, Brooks Hall, Athens, Georgia 30602)

Abstract

We present a new network aggregation/disaggregation approach for solving a multiperiod, network model with bundle (Generalized Upper Bounding) side constraints. The model describes production planning and distribution problems. Instead of solving the original multicommodity problem, we transform it so that a pair of single-commodity network flow problems can be solved. The original network is aggregated and the resulting problem is solved. Its solution determines a disaggregated problem that yields a feasible, near optimal solution to the original problem. We describe the determination of theoretical a priori and a posteriori bounds. We also introduce a very tight "computational" error bound. The implementation of the algorithm was tested against MPSX/370, and the specialized code for solving networks with side constraints NETSIDE. The proposed solution method was found to be much more efficient with negligible error.

Suggested Citation

  • Rotimi S. Aderohunmu & Jay E. Aronson, 1993. "The Solution of Multiperiod Network Models with Bundle Constraints by Aggregation," Management Science, INFORMS, vol. 39(1), pages 54-71, January.
    • Handle: RePEc:inm:ormnsc:v:39:y:1993:i:1:p:54-71
    DOI: 10.1287/mnsc.39.1.54
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    Cited by:

    1. Ozelkan, Ertunga C. & Cakanyildirim, Metin, 2007. "Resource downgrading," European Journal of Operational Research, Elsevier, vol. 177(1), pages 572-590, February.
    2. Jornsten, Kurt & Leisten, Rainer, 1995. "Decomposition and iterative aggregation in hierarchical and decentralised planning structures," European Journal of Operational Research, Elsevier, vol. 86(1), pages 120-141, October.

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