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A multiple objective particle swarm optimization approach for inventory classification
Authors:Chi-Yang Tsai  Szu-Wei Yeh
Institution:aDepartment of Industrial Engineering and Management, Yuan Ze University, 135 Yuan-Tung Road, Chung-Li, Taoyuan 320, Taiwan, ROC
Abstract:This paper presents a particle swarm optimization approach for inventory classification problems where inventory items are classified based on a specific objective or multiple objectives, such as minimizing costs, maximizing inventory turnover ratios, and maximizing inventory correlation. In addition, this approach determines the best number of inventory classes and how items should be categorized for the desired objectives at the same time. Experiments are employed to determine the best combination of algorithm parameter values. Extensive numerical studies are conducted and results are compared to other known classification methods. The performance of the algorithm on a practical case is also presented.
Keywords:Inventory classification  Particle swarm optimization  Multiple objectives
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