Costing-based coordination between mt-iPSS customer and providers for job shop production using game theory. Issue 2 (17th January 2017)

• Record Type: Journal Article
• Authors: Mu, Hui; Jiang, Pingyu; Leng, Jiewu
• Is Part Of: International journal of production research. Volume 55:Issue 2(2017)
• Page Start: 430
• Page End: 446
• Publication Date: 2017-01-17
• Subjects: product service systems -- operational research -- job shop scheduling -- Stackelberg game -- coordination decision; Factory management -- Periodicals; 658.57
• DOI: 10.1080/00207543.2016.1184347
• Languages: English
• ISSNs: 0020-7543

Abstract

Abstract : The industrial product-service system for Computer Numerical Control machine tool (mt-iPSS) has drawn much interest. Under the new paradigm of functional result-oriented mt-iPSS, mt-iPSS customer (i.e. owner of the workshop) pays for time or results of mt-iPSS providers. The present problem for mt-iPSS customer is how to timely identify the optimal machine tools, sequence and cutting parameters of operation to finish the jobs while mt-iPSS providers try to maximise their benefit in a non-cooperative game structure. In this paper, a Stackelberg game model is put forward to solve the coordination problem based on the costing of different job shop scheduling solutions under the result-oriented mt-iPSS paradigm. Then, to solve the established bi-level programming model of the Stackelberg game, a solution procedure based on hierarchical particle swarm optimisation is proposed. Finally, a case from a printing machinery enterprise is analysed to validate the proposed model. This research is expected to improve the quality and effectiveness of coordination for scheduling and process planning decision between mt-iPSS customer and multi-providers.