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Multiple Criteria Inventory Classification Approach Based on Differential Evolution and Electre III

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Proceedings of the 16th International Conference on Hybrid Intelligent Systems (HIS 2016) (HIS 2016)

Part of the book series: Advances in Intelligent Systems and Computing ((AISC,volume 552))

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Abstract

The ABC classification represents one of the most frequently used analysis in production and inventory management domains. This analysis is applied to categorize a set of items in three predefined classes A, B and C, where each class follows a specific management and control policies, in order to generate companies financial well-being. This paper introduces a new approach for the multi-criteria inventory classification based on the hybridization of the Differential Evolution algorithm (DE) with the multi-criteria decision making method namely Electre III. The evolutionary algorithm (DE) attends to learn and optimize the Electre III input parameters (criteria weights). The Electre III method generates a ranking score for all the inventory items and an ABC distribution dispatches all these items into three ordered classes A, B, C, forming a complete classification. An inventory cost function is used thereafter to evaluate each established classification. This function is based on different inventory costs and service level measurement and also represents the objective function of our model, which consists of minimizing the inventory cost. The highlight of our proposed hybridization approach DE-Electre III is the exploitation of the robustness and efficiency of used techniques. Based on generated results, our model provided encouraging results in the ABC MCIC problem.

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Author information

Authors and Affiliations

  1. Institut Supérieur de Gestion, Université de Tunis, Tunis, Tunisia

    Hedi Cherif

  2. Ecole Supérieure des Sciences Economiques et Commerciales de Tunis, Université de Tunis, Tunis, Tunisia

    Talel Ladhari

  3. College of Business, Umm Al-Qura University, Umm Al-Qura, Mecca, Saudi Arabia

    Talel Ladhari

Authors
  1. Hedi Cherif
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  2. Talel Ladhari
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Corresponding author

Correspondence to Hedi Cherif .

Editor information

Editors and Affiliations

  1. (MIR Labs), Machine Intelligence Research Labs, Auburn, Washington, USA

    Ajith Abraham

  2. Hassan 1st University, Settat, Morocco

    Abdelkrim Haqiq

  3. ENIS, University of Sfax, Sfax, Tunisia

    Adel M. Alimi

  4. Technopolis Rabat-Shore Rocade, International University of Rabat, Sala el Jadida, Morocco

    Ghita Mezzour

  5. Inst Applied Dept of Electronics, Taffala, University of Sousse, Sousse, Tunisia

    Nizar Rokbani

  6. Fakulti Teknologi Maklumat dan Komunikas, Universiti Teknikal Malaysia Melaka, Durian Tunggal, Malaysia

    Azah Kamilah Muda

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Cherif, H., Ladhari, T. (2017). Multiple Criteria Inventory Classification Approach Based on Differential Evolution and Electre III. In: Abraham, A., Haqiq, A., Alimi, A., Mezzour, G., Rokbani, N., Muda, A. (eds) Proceedings of the 16th International Conference on Hybrid Intelligent Systems (HIS 2016). HIS 2016. Advances in Intelligent Systems and Computing, vol 552. Springer, Cham. https://doi.org/10.1007/978-3-319-52941-7_8

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  • DOI: https://doi.org/10.1007/978-3-319-52941-7_8

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  • Publisher Name: Springer, Cham

  • Print ISBN: 978-3-319-52940-0

  • Online ISBN: 978-3-319-52941-7

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