Distributionally robust and risk-averse optimisation for the stochastic multi-product disassembly line balancing problem with workforce assignment

Xin Liu, Feng Chu, Feifeng Zheng, Chengbin Chu and Ming Liu

International Journal of Production Research, 2022, vol. 60, issue 6, 1973-1991

Abstract: Existing works usually focus on the single-product disassembly line balancing problem (DLBP). In practice, end-of-life (EOL) products to be disassembled may be heterogeneous, and the actual processing time of each task may vary with its assigned worker. This work studies a stochastic multi-product DLBP with workforce assignment, to minimise the system cost. Due to historical data scarcity, we assume that only partial distributional information of uncertain task processing times is known. Exceeding the preset cycle time may lead to a disassembly performance reduction, thus we control the cycle time violation via conditional Value-at-Risk (CVaR) constraints, i.e. in a risk-averse fashion. For the problem, we first propose a novel formulation with distributionally robust CVaR constraints. Then some valid inequalities are proposed, leading to an improved model. Two solution approaches, i.e. an exact cutting-plane method and an approximation method, are further proposed and compared, via numerical experiments. Some managerial insights are also drawn.

Date: 2022
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DOI: 10.1080/00207543.2021.1881648

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