Sub-problem optimization of supply chain planning problems
A system and method is disclosed for optimizing supply chain planning problems associated with a supply chain network. The system includes a supply chain planner coupled with one or more supply chain entities. The supply chain planner determines a supply chain plan for managing the flow of one or more items through the supply chain network.
1. A supply chain planning system comprising:
a supply chain network comprising one or more supply chain entities that produce one or more items;
one or more databases that stores data describing the flow of the one or more items through the supply chain network; and
one or more computers coupled with the one or more databases, the one or more computers comprising:
a supply chain planner that models a supply chain planning problem as a hierarchy of linear programming objectives, wherein each level of the hierarchy is associated with an objective function, and the objective function is modeled as a business goal for the one or more supply chain entities; and
an optimizer engine configured to:
split the supply chain planning problem into a master-problem and a sub-problem;
decompose the sub-problem into independent sub-problems;
solve iteratively the master-problem and the independent sub-problems; and
generate a supply chain plan by converging each level of the hierarchy for the master-problem and the independent sub-problems into the supply chain plan; and
at least one of the one or more supply chain entities produce one or more items based, at least in part, on the generated supply chain plan.
2. The system of claim 1 , wherein the one or more databases further stores one or more constraints of one or more supply chain entities.
3. The system of claim 2 , wherein the one or more computers model the one or more constraints for a flow through the supply chain network, based on a particular planning horizon.
4. The system of claim 2 , wherein the one or more computers model the supply chain planning problem for the one or more supply chain entities based on at least a portion of the data that describes the flow of the one or more items through the supply chain network and the one or more constraints.
5. The system of claim 1 , wherein:
the optimizer engine solves the supply chain planning problem using iterative sequential runs.
6. The system of claim 5 , wherein:
the optimizer engine solves each of the sub-problems independently.
7. A method, comprising:
accessing, by a computer, data describing the flow of one or more items through a supply chain network comprising one or more supply chain entities that produce one or more items;
modeling, by the computer, a supply chain planning problem as a hierarchy of linear programming objectives, wherein each level of the hierarchy is associated with an objective function, and the objective function is modeled as a business goal for the one or more supply chain entities;
splitting, by the computer, the supply chain planning problem into a master-problem and a sub-problem;
decomposing, by the computer, the sub-problem into independent sub-problems;
solving iteratively, by the computer, the master-problem and the independent sub-problems;
generating, by the computer, a supply chain plan by converging each level of the hierarchy for the master-problem and the independent sub-problems into the supply chain plan; and
producing, by at least one of the one or more supply chain entities, one or more items based, at least in part, on the generated supply chain plan.
8. The method of claim 7 , wherein constraints are associated with the one or more supply chain entities and the constraints are selected from the group consisting of lead time constraints, lot size constraints and capacity constraints.
9. The method of claim 7 , wherein the supply chain planning problem is modeled as a hierarchical linear programming objective based on at least a portion of the accessed data and constraints.
10. The method of claim 9 , wherein a column generation technique is used to solve each level of the hierarchical linear programming objective.
11. The method of claim 7 , wherein each of the independent sub-problems comprises at least a portion of the accessed constraints.
12. The method of claim 7 , wherein each of the independent sub-problems of the supply chain planning problem are solved in parallel by one or more processors.
13. The method of claim 7 , further comprising:
communicating the supply chain plan to the one or more supply chain entities.
14. A non-transitory computer-readable medium embodied with software, the software when executed using one or more computer systems is programmed to:
access data describing the flow of one or more items through a supply chain network comprising one or more supply chain entities that produce one or more items;
model a supply chain planning problem as a hierarchy of linear programming objectives, wherein each level of the hierarchy is associated with an objective function, and the objective function is modeled as a business goal for the one or more supply chain entities;
split the supply chain planning problem into a master-problem and a sub-problem;
decompose the sub-problem into independent sub-problems;
solve iteratively the master-problem and the independent sub-problems;
generate a supply chain plan by converging each level of the hierarchy for the master-problem and the independent sub-problems into the supply chain plan; and
produce, by at least one of the one or more supply chain entities, one or more items based, at least in part, on the generated supply chain plan.
15. The non-transitory computer-readable medium of claim 14 , wherein constraints are associated with the one or more supply chain entities and the constraints are selected from the group consisting of lead time constraints, lot size constraints and capacity constraints.
16. The non-transitory computer-readable medium of claim 14 , wherein the supply chain planning problem is modeled as a hierarchical linear programming based on at least a portion of the accessed data and constraints.
17. The non-transitory computer-readable medium of claim 16 , wherein a column generation technique is used to solve each level of the hierarchical linear programming objective.
18. The non-transitory computer-readable medium of claim 14 , wherein each of the independent sub-problems comprises at least a portion of the accessed constraints.
19. The non-transitory computer-readable medium of claim 14 , wherein each of the independent sub-problems of the supply chain planning problem are solved in parallel by one or more processors.
20. The non-transitory computer-readable medium of claim 14 , wherein the software is further programmed to:
communicate the supply chain plan to the one or more supply chain entities.