SoSe 2018

Supply Chain Network Design using Mixed Integer Linear Programing (MILP)

General Course Information

  • Course no. 04-326-GS-008
  • Course and examination language is English.
  • The course is a block course offered on the dates listed below.
  • 3 CP can be achieved by group homework and a presentation and discussion of the group work. (see course catalogue if the course fits into your study program or contact Prof. Dr. T. Becker for inquiries.)
  • The course is taught by a guest lecturer, Prof. Dr. Mujtaba Agha.

Course Registration

Please register for the course on Stud.IP. The number of paricipants is limited. Students on the waiting list ("vorläufige Teilnahme") can get the chance to participate if registered students don't show.

Students have to register for the exam using the paper forms provided by the registrar ("Prüfungsamt"). A registration via PABO is not possible! Deadline for submitting the forms to the registrar is June 30th, 2018.

Course Objective

Supply Chains have to address an inherent trade-off between costs and customer service. The course will make use of Mixed Integer Linear Programing to solve and understand topics related to Network Design. The course will start with simple formulations (transportation and transhipment models) and subsequently more complex Network Design Problem (such as robust optimization, multi-commodity flows and multiple time period models) will be discussed.

Course Outline

The course is scheduled from 9:00 am until 4:30pm with a lunch break on each day. The course venue is the "IPS-Labor 1" in BIBA (ground floor, located in the center of the shop floor).
Mo 09.7.
Value of Network Design
  • Introduction to Supply Chain
  • Importance of Network Design in Effective Supply Chain Management
  • Transportation Model
Tu 10.7.
Using MS Excel to solve Network Design
  • Formulating multivariable LP through MS Excel
  • Solving multivariable through MS Excel
  • Transshipment Model   
We 12.7.
Facility Location Problem
  • Center of Gravity Method for Single Facility Location
  • Network Facility Location Problem using Mixed Integer Linear Programing (MILP)
  • Cost vs. Level of Service trade-off for Multiple Location Selection Problem
Th 12.7.
Advanced Network Design Problem
  • Sensitivity Analysis with MILP models
    Incorporating Multi-Commodity Flows
    Robustness and Flexibility consideration in Design of Supply Networks
Fr 13.7.
Advance Network Design Problem (Continued..)
  • Multi-time Period models
  • Incorporating Inventory Considerations
  • Using Mix approach (both Qualitative and Quantitative) for Decision Making
Mo 16.7.
Presentation / Examination