Allocating flexible servers in serial systems with switching costs

Allocating flexible servers in serial systems with switching costs

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Article ID: iaor200973437
Volume: 172
Issue: 1
Start Page Number: 231
End Page Number: 242
Publication Date: Nov 2009
Journal: Annals of Operations Research
Authors: , ,
Keywords: queues: applications
Abstract:

Consider a firm that operates a make-to-order serial production system and employs a cross-trained workforce. We model such a firm as a tandem queuing system in which flexible servers can be allocated across stations, and assume that a switching cost is charged when servers move between stations. We show that even in the two-station two-server case the optimal policy follows a complex state-dependent structure that may be difficult to implement in practice. We propose three alternate heuristic policies and assess their performance. We show that a simpler policy which only moves one server can achieve close to optimal results.

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