Abstract
This article describes a Mixed Integer Programming model to schedule ships with a variety of fertilizer products into eight ports on Australia's eastern and southern seaboards. The objective is to minimise freight, discharge and inventory holding costs while taking into account demand for product and warehousing constraints. Major planning decisions are made on a monthly basis for a 12-15 month planning horizon. To improve run-time performance extra integer variables are introduced to provide strong cuts and binary variables are introduced gradually throughout the planning horizon over several optimisation runs. The model is used for operational planning and budgetary purposes and interfaces to the outside world through a friendly matrix generator and a modern spreadsheet system.
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*Mike Fox is currently principal consultant with Opcom Pty Limited in Brisbane, Australia. Opcom specialise in scheduling software, notably for rail/bus crewing and for postal logistics. He previously worked in the computer industry lor ICL/Fujitsu and for Mount Isa Mines (Australia) and Unilever (UK) in the 1970's. He has lived in Brisbane for 18 years with his wife and two daughters. In addition to scheduling he enjoys climbing, bridge and guitar.Contact: mfox@opcom.com.au
**Dick Herden is currently Manager - Strategic Analysis with Crop Care Australasia Pty Limited in Brisbane, Australia. Crop Care Australasia, a subsidiary of INCITEC Pty Ltd, formulates, packages and distributes agricultural chemicals. He previously worked in the Logistics Department of the Fertilizer Division of INCITEC Ltd.Contact: dick.herden@cropcare.com.au
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Fox, M., Herden, D. Ship Scheduling of Fertilizer Products. OR Insight 12, 21–28 (1999). https://doi.org/10.1057/ori.1999.9
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DOI: https://doi.org/10.1057/ori.1999.9