An Integrated Model for Production and Distribution Planning of Perishable Products with Inventory and Routing Considerations

Algorithm 1

Detailed steps of proposed method.

! Decomposition phase

Solve production sub model using LINGO

Solve distribution sub model using Particle Swarm Heuristic

Save the solution as CURRENT SOLUTION and BEST SOLUTION

Calculate CURRENT COST and set BEST COST = CURRENT COST

! End of decomposition phase

! Integration phase

 While the stopping criterion is not met

 Update ARTIFICIAL DEMAND

 Run Perturbation Mechanism

 Solve production sub model using LINGO considering ARTIFICIAL SETUP COST and

 ARTIFICIAL HOLDING COST

 Solve distribution sub model using Particle Swarm Heuristic

 Save the solution as CURRENT SOLUTION

 Calculate the CURRENT COST

 If (CURRENT COST < BEST COST)

  Set BEST SOLUTION = CURRENT SOLUTION

  Set BEST COST = CURRENT COST

 End If

End While

! End of integration phase

Return BEST SOLUTION and BEST COST