A geometric branch-and-bound algorithm for the service bundle design problem

被引:0
作者
Li, Yifu [1 ,3 ]
Qi, Xiangtong [2 ]
机构
[1] Univ Sci & Technol China, Sch Management, Int Inst Finance, Hefei 230026, Anhui, Peoples R China
[2] Hong Kong Univ Sci & Technol, Dept Ind Engn & Decis Analyt, Kowloon, Hong Kong, Peoples R China
[3] Xian Jiaotong Liverpool Univ, Int Business Sch Suzhou, Suzhou 215123, Jiangsu, Peoples R China
关键词
Scheduling; Service design; Geometric branch-and-bound algorithm; 0-1 Sum-of-ratios problem; LINEARIZATION; SUM;
D O I
10.1016/j.ejor.2022.03.044
中图分类号
C93 [管理学];
学科分类号
12 ; 1201 ; 1202 ; 120202 ;
摘要
In the service industry, a service provider may sell a collection of service activities as a package, also known as a service bundle. Empirical studies indicate that the customer's ex-post perception of a service bundle depends on not only the utility of each activity, but also the sequence of the activities being delivered. The latter can be measured by certain sequence effects, such as the utility of the peak activity, the utility of the end activity, and the trend of utility change over the activities. This phenomenon gives a service provider an opportunity to optimize a service bundle by manipulating the activities and their sequence. Such a service bundle design problem can be formulated as a 0-1 sum-of-ratios problem. To solve the problem, we design a novel geometric branch-and-bound algorithm. The algorithm divides the objective function into several dimensions, and repeatedly strengthens the bounds of each dimension. This enables us to convert the 0-1 sum-of-ratios problem into a series of 0-1 quadratic optimization problems. Computational experiments show that the algorithm can solve the service bundle design problem efficiently. (C) 2022 Elsevier B.V. All rights reserved.
引用
收藏
页码:1044 / 1056
页数:13
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