The Heuristic Approach to the Order Consolidation Problem

We consider the batch processing of orders where either whole or part of a single order or a specific pair of different orders may be grouped in a batch within a fixed capacity. Our objective is to maximize the total number of batches filled up to the batch size. In this paper, we study the Level–2 problem where at most 2 kinds of orders can be grouped in a batch. This problem is known to be NP–hard and Max SNP–hard. So we develop heuristic algorithm and evaluate the performance of the algorithm.