Explore chapters and articles related to this topic
A data-driven iterative refinement approach for estimating clearing functions from simulation models of production systems
Published in International Journal of Production Research, 2019
Karthick Gopalswamy, Reha Uzsoy
The intuition behind the Iterative Refinement procedure is to progressively refine the sample of observations used to fit the CF. As the parameters of the CF used in the planning model approach those of the correct CF, the distribution of the observations generated in Step 4 should approach the distribution of the observations under the correct CF. The procedure starts by assuming an uncapacitated planning model that sets releases equal to demand. Constraint (14) ensures that expected output does not exceed the expected capacity of the system, while (15) ensures that the output in any period cannot exceed the planned workload. The original CF (1) of Karmarkar (1989) includes both these constraints, but we do not include them in the LS fitting problem due to the need for constrained regression to enforce these, instead adding them in the planning model where they do not materially increase the complexity of the linear programme.