Article ID: | iaor20021174 |
Country: | United States |
Volume: | 31 |
Issue: | 9 |
Start Page Number: | 813 |
End Page Number: | 826 |
Publication Date: | Jan 1999 |
Journal: | IIE Transactions |
Authors: | Wu S.D., Kutanoglu E. |
Most existing methods for scheduling are based on centralized or hierarchical decision making using monolithic models. In this study, we investigate a new method based on a distributed and locally autonomous decision structure using the notion of combinatorial auction. In combinatorial auction the bidders demand a combination of dependent objects with a single bid. We show that not only can we use this auction mechanism to handle complex resource scheduling problems, but there exist strong links between combinatorial auction and Lagrangean-based decomposition. Exploring some of these properties, we characterize combinatorial auction using auction protocols and payment functions. This study is a first step toward developing a distributed scheduling framework that maintains system-wide performance while accommodating local preferences and objectives. We provide some insights to this framework by demonstrating four different versions of the auction mechanism using job shop scheduling problems.