Optimization at the Mediterranean coast of Spain

A delegation of our Operations Researchers from the OR&S group at Ghent University are now in Barcelona, Spain for the 20th Conference of the International Federation of Operational Research Societies (IFORS).

The full conference schedule can be downloaded here but of course, what's really really interesting are our presentations, and that's why I have summarized them along the following lines:

Presentation 1. Introducing Overtime in the Resource Renting Problem
Len Vandenheede, Mario Vanhoucke, Broos Maenhout
Abstract: The use of overtime has frequently been studied in literature. Furthermore, it is applied in real-life for several reasons. However, research on the project scheduling problem (PSP) in combination with overtime are scarce. We aim to introduce the use of overtime in the Resource Renting Problem. We have developed a method to study the trade-off between stricter deadlines and a higher cost due to scheduled overtime. A computational experiment will demonstrate how the use of overtime and resource scheduling can lead to a more efficient use of resources and a better human resource management.

Presentation 2. Payment Models and NPV Maximization in Project Scheduling
Pieter Leyman, Mario Vanhoucke
Abstract: In project scheduling literature several payment models exist. Although the goal is always to maximize the project NPV, these payment models have different characteristics which typically require distinct approaches to maximize each model’s NPV. We propose a general local search capable of handling the different NPV profiles efficiently. This local search consists of several parts which can be turned on or off, depending on the payment model. Specifically, this methodology is applied to the resource-constrained project scheduling problem with discounted cash flows.

Presentation 3. A Forecasting Approach for Project Duration and Cost based on Exponential Smoothing
Jordy Batselier, Mario Vanhoucke
Abstract: In this paper, the earned value management (EVM) project control methodology is integrated with the exponential smoothing forecasting approach. This results in an extension of the known EVM and earned schedule (ES) time and cost forecasting formulas. The enhanced EVM performance factor depends on only one smoothing parameter, which facilitates calculation. Moreover, this parameter can be dynamically adjusted during project progress according to information of past performance and/or anticipated management actions. The novel method is evaluated based on extensive real-life project data.

Presentation 4. Strategic Incentive Contract Design for Projects
Louis-Philippe Kerkhove, Mario Vanhoucke
Abstract: The agency problem between the owner and the contractor in a project environment is often resolved using multidimensional incentive contracts. This research evaluates the design of such contracts from a quantitative perspective, presenting several guidelines for strategic contract design. The analysis is based on high-level models of the cost/time/scope and incentive pay-offs. Using these models, computational experiments are carried out on both real and simulated data. The presentation will focus on the preliminary results of these experiments and the managerial implications thereof.

Presentation 5. Case-based learnings for configuring custom packs
Brecht Cardoen, Jeroen Belien, Mario Vanhoucke
Abstract: A custom pack combines medical disposable items into a single sterile package that is used for surgical procedures. In this paper we propose a mathematical programming approach to guide hospitals in developing or reconfiguring their custom packs. A computational experiment, based on real data of a medium-sized Belgian hospital, compares the optimized results with the performance of the hospital’s current configuration settings and indicates how to improve future usage.

Coming soon in academic papers near you!