Bi-level optimization for maintenance service contracts involving three parties using genetic algorithm

Autor: U. S. Pasaribu, Bermawi P. Iskandar, Nur F. Sa'idah, Andi Cakravastia
Rok vydání: 2017
Předmět:
Zdroj: 2017 IEEE International Conference on Industrial Engineering and Engineering Management (IEEM).
DOI: 10.1109/ieem.2017.8290224
Popis: This paper deals with a Maintenance Service Contract (MSC) involving three parties — Manufacturer, Service Agent and Customer. We formulate decision problems of the three parties using Stackelberg game theory formulation and integrate the three interdependent decision models using a bi-level optimization formulation. As the objective functions and their constraints are all in non-linier form, then we need to use Karush-kuhn Tucker condition to convert the optimization problem into a single level optimization. A genetic algorithm is used to obtain the optimal solution (i.e. the best option and its optimal price) for each party.
Databáze: OpenAIRE