Operations Analytics seminar

This page is no longer in use. Please refer to the new official website I maintain at https://vu.nl/en/about-vu/more-about/operations-analytics-seminars.

The seminar of the department of Operations Analytics of the Vrije Universiteit Amsterdam currently takes place in a hybrid format, where the seminar takes place on campus and is livestreamed using Zoom. It takes place once a month at 16.00 (CET). Please find the campus room and Zoom room in the announcements that we send around.

In case you are interested in attending the seminar or would like to give a talk, please send an email to t.oosterwijk [at] vu "dot" nl.


Please see the new official website https://vu.nl/en/about-vu/more-about/operations-analytics-seminars.

2024

2023

Roozbeh Qorbanian: Valuation of Power Purchase Agreements for Corporate Renewable Energy Procurement

Corporate renewable power purchase agreements (PPAs) are long-term agreements that enable companies to source renewable energy without having to build and operate their own renewable energy projects. Typically, producers and consumers agree on a fixed price at which power is purchased. The value of the PPA to the buyer then depends on the difference between the fixed price and the expected price at which the produced volume is expected to sell the future. To model this so-called capture price, practitioners often use either fundamental models or statistical approaches, each with their inherent weaknesses. We propose a new approach that blends the logic of fundamental electricity market models with statistical learning techniques. In particular, we use regularized inverse optimization of a quadratic programming formulation of a bid stack model to estimate the marginal costs of different technologies as a parametric function of exogenous factors. We compare the out-of-sample performance using market data from three European countries and demonstrate that our approach outperforms established statistical learning benchmarks. We then discuss the case of a photovoltaic plant in Spain to illustrate how to use the model to value a PPA from the buyer's perspective.


Wout Dullaert, Leen Stougie and David Wozabal: Internal seminar


Sena Eruguz: Customer-to-Customer Returns Logistics: Can It Mitigate the Negative Impact of Online Returns?

Customer returns are a major problem for online retailers due to high costs and CO2 emissions. This paper investigates a new concept for handling online returns: customer-to-customer (C2C) returns logistics. The idea behind the C2C concept is to deliver returned items directly to the next customer, bypassing the retailer's warehouse. To incentivize customers to purchase C2C return items, retailers can promote return items on their webshop with a discount. We build the mathematical models behind the C2C concept to determine how much discount to offer to ensure enough customers are induced to purchase C2C return items and to maximize the retailer's expected total profit. Our first model, the base model (BM), is a customer-based formulation of the problem and provides an easy-to-implement constant-discount-level policy. Our second model formulates the real-world problem as a Markov decision process (MDP). Since our MDP suffers from the curse of dimensionality, we resort to simulation optimization (SO) and reinforcement learning (RL) methods to obtain reasonably good solutions. We apply our methods to data collected from a Dutch fashion retailer. We also provide extensive numerical experiments to claim generality. Our results indicate that the constant-discount-level policy obtained with the BM performs well in terms of expected profit compared to SO and RL. With the C2C concept, significant benefits can be achieved in terms of both expected profit and return rate. Even in cases where the cost-effectiveness of the C2C returns program is not pronounced, the proportion of customer-to-warehouse returns to total demand becomes lower. Therefore, the system can be defined as more environmentally friendly. The C2C concept can help retailers financially address the problem of online returns and meet the growing need for corporate social responsibility that has emerged over the past decade.


Summer break


Angelos Georghiou: Risk-Averse Regret Minimization in Multistage Stochastic Programs

Within the context of optimization under uncertainty, a well-known alternative to minimizing expected value or the worst-case scenario consists in minimizing regret. In a multistage stochastic programming setting with a discrete probability distribution, we explore the idea of risk-averse regret minimization, where the benchmark policy can only benefit from foreseeing ∆ steps into the future. The ∆-regret model naturally interpolates between the popular ex ante and ex post regret models. We provide theoretical and numerical insights about this family of models under popular coherent risk measures and shed new light on the conservatism of the ∆-regret minimizing solutions.


David Wozabal: Markovian Stochastic Dual Dynamic Programming

Stochastic dual dynamic programming (SDDP) is traditionally used for problems with stage-wise independent randomness. While the assumption of stage-wise independence makes the implementation as well as the theoretical analysis easier, it restricts the set of admissible problems. Consequently, versions of SDDP that work with Markovian randomness have recently gained popularity. In this talk, we discuss applications, algorithms, discretization strategies for Markovian SDDP and discuss convergence properties.


Claudia Archetti: Reinforcement Learning Approaches for the Orienteering Problem with Stochastic and Dynamic Release Dates 

We study Orienteering Problem with Stochastic and Dynamic Release Dates (DOP-rd) where a single and uncapacitated vehicle is serving customer requests with stochastic and dynamic release dates, representing the time at which parcels are available for distribution. The objective is to maximize the number of requests served within the deadline. We model the problem as a Markov decision process and present two approximation approaches for its solutions, where the distribution strategy is learned from Monte-Carlo simulation.


Martijn van Ee: Exact and approximation algorithms for routing a convoy through a graph 

In convoy routing problems, we assume that each edge in the graph has a length and a speed at which it can be traversed, and that our convoy has a given length. At any moment, due to safety requirements, the speed of the convoy is dictated by the slowest edge on which currently a part of the convoy is located. In this talk, I will discuss the complexity and approximability of some classical routing problems in the convoy setting.


Kim van den Houten: Measure-valued derivatives in reinforcement learning algorithms

Policy gradient methods are successful for a wide range of reinforcement learning tasks. Traditionally, such methods utilize the score function as stochastic gradient estimator. We investigate the effect of replacing the score function with a measure-valued derivative within an on-policy actor-critic algorithm. The hypothesis is that measure-valued derivatives reduce the need for score function variance reduction techniques that are common in policy gradient algorithms. The empirical results of this study suggest that measure-valued derivatives can serve as low-variance alternative.



Caroline Jagtenberg: Optimal dispatching for Community First Responder systems

For urgent patients, traditional ambulance response may be supplemented with trained volunteers who are dispatched via an app. How many volunteers should be alerted for one patient? And do we alert all volunteers at time 0, or does it make sense to wait until the first few have accepted/rejected?


2022

Chris Franssen: The Feature-Based Network Fitting Framework: an approach for fitting structural features in networks

In this paper, we introduce the Feature-Based Network Fitting Framework for constructing continuously (and non-negatively) weighted networks of small to medium size (i.e., up to a few hundred nodes), satisfying prespecified features. We show how this framework can produce randomized networks on the node-level, while maintaining global features of a confidential network. Additionally, we show how to transform a network such that it satisfies an additional feature - providing a valuable tool in policymaking for network management and regulators.


Dirk Briskorn: Single-machine scheduling with an external resource

We study a single-machine scheduling problem with an external resource, which is rented for a non-interrupted period. We look at four classes of problems with an external resource: a class of problems where the renting period is budgeted and the scheduling cost needs to be minimized, a class of problems where the scheduling cost is budgeted and the renting period needs to be minimized, a class of two-objective problems where both, the renting period and the scheduling cost, are to be minimized, and a class of problems where a linear combination of the scheduling cost and the renting period is minimized. We provide a thorough complexity analysis (NP-hardness proofs and  (pseudo-)polynomial algorithms) for different members of these four classes.


Buğra Çınar: Integrating Preferences and Satisfaction of Supply Chain Actors in Last-Mile Delivery

One of the recent innovations in urban (last-mile) distribution is crowdsourced delivery, where deliveries are made by occasional drivers who want to utilize their excess resources (unused transportation capacity) by performing deliveries in exchange for some compensation. Utilizing occasional drivers presents new challenges since (in contrast to traditional couriers) neither their availability nor their behavior in accepting the delivery offers is certain. We consider a setting in which compensation-dependent acceptance probabilities are explicitly considered in the process of assigning delivery tasks to occasional drivers.


Selin Hülagü: Integrating Life Cycle Assessment and Supply Chain Network Optimization

Life Cycle Assessment (LCA) appears to be one of the most promising approaches to systematically assess the environmental impacts of supply chains. Decisions on the network structure to bring products and/or services to customers are the typical focal point of supply chain network optimization (SCO). This research wants to integrating LCA and SCO to optimize the overall network design and life cycle environmental impacts of the products supplied. We show how such integration can be modelled and discuss its potential benefits. 


Tjalling Veenstra: Minimizing the expected shortest path weight for stochastic networks

We consider a weighted network whose arcs independently become non-operational with a certain failure probability in a random experiment. The failure probability of an arc can be decreased at a given cost. Constrained by a budget the objective is to decrease the failure probability of a subset of the arcs such that it minimizes the expected shortest path weight. We propose approaches to determine optimal and approximate solutions for this problem. 


Summer break


Leen Stougie: The Online Traveling Salesman Problem with Predictions

A recent vibrant line of research aims at incorporating error-prone predictions into online algorithms. In this talk I will show results within this framework for the online traveling salesman problem (OLTSP). I will show the typical ingredients that such analysis requires and the typical statements about performance that one may expect to see.


Reinout Heijungs: Eco-efficiency by BASF: work-in-progress or hoax?

Eco-efficiency is generally defined as the ratio of an economic and an environmental variable. This interpretation is also cited in connection to its most popular implementation, known as the "BASF eco-efficiency portfolio analysis". There is, however, something strange with this. A ratio is easily visualized as a slope, but BASF's method is working with a distance, which can be formulated as a weighted sum, not as a ratio. Here we critically analyze this shift of paradigm. 


Caroline Jagtenberg : Modeling Emergency Medical Service Volunteer Response

Out of hospital cardiac arrest requires immediate treatment and patient survival can be improved by combining traditional ambulance response with the dispatch of volunteers alerted via an app. How many volunteers are needed, and from where should they be recruited?


Andreas Wiese: A PTAS for Unsplittable Flow on a Path

We present a PTAS for the Unsplittable Flow on a Path problem which is in a sense a temporal extension of the classical knapsack problem, the difference being that each item needs the knapsack only during a certain time interval. The problem has applications and connections to several other settings like scheduling, resource allocation, and multi-commodity flow.


René Sitters: Polynomial Time Approximation Schemes for the Traveling Repairman and Other Minimum Latency Problems 

In the Traveling Repairman Problem one needs to find a tour visiting all point in a metric space with the objective to minimize the average arrival time at the points. We show how to get 1+epsilon approximation algorithms (with epsilon>0 arbitrary small) for several variant of this problem. See https://doi.org/10.1137/19M126918X


Denise Tönissen: Using 3D-printing in disaster response: The two-stage stochastic 3D-printing knapsack problem

When to pack and use 3D-printers in disaster response operations? To answer this question, we introduce and solve a new type of problem, which we call the two-stage stochastic 3D-printing knapsack problem.

2021

Dirk Briskorn: Scheduling Interfering Gantry Cranes - A Bottom-Up Approach 

When scheduling multiple gantry cranes operating on the same storage block interference of these cranes needs to be taken into account. We present approaches developed in the course of a bottom-up approach where we focussed on the subproblem to resolve interference first and employed the corresponding algorithms when tackling the holistic scheduling problem.


Pascal Wissink: Using presence pattern predictors for delivery-efficient route optimization

The notion that demographic and temporal factors retain predictive power for customer presence during parcel delivery suggests that a ‘good’ route depends on more than deterministic distances alone. In fact, the oft neglected costs associated with redelivery attempts constitutes more than 5% of the overall length in some of Amsterdam’s districts. In this talk, I will present a simplified problem that illustrates how presence predictors can be exploited to incorporate the expected cost of redelivery attempts in earlier stages of route optimization. 


Nanne Dieleman: Solving ranking problems in DTMCs with stochastic optimization techniques

In this talk, I will discuss our on-going research in using stochastic optimization techniques (in our case SPSA) to solve ranking problems based on the stationary distribution of DTMCs. I will describe the SPSA technique and show some recent results.


Bernd Heidergott: From randomized algorithms for deterministic problems to (partially) deterministic algorithms for problems including randomness

In this lecture, I want to identify an approach to integrating the probabilistic and deterministic paradigm which may lead to new and meaningful research. The key questions are (i) Can we adapt deterministic algorithms to compensate for randomness? (ii) Can we perform a risk analysis of the output of deterministic algorithms? (iii) Can we trade off partial solutions per instance with a statistical sampling of instances? 


Christian Franssen: Feature-Based Network Sampling: An approach for sampling weighted graphs satisfying hard constraints

In many disciplines, the analysis of networks is obstructed by the confidentiality of inter-entity relations. In my master’s thesis, I introduce Feature-Based Network sampling (FBNS) as a tool for such cases. In this talk, I will explain the method, some of its applications, and some challenges to solve.


Tim Oosterwijk: Modelling Flow Dynamics with Flow over Time

In this talk, I will introduce a basic and widely used model that allows us to track particles over time as they traverse a network from their origin to their destination. I will mention our result on its price of anarchy and share some interesting open questions and related models.


Andreas Wiese: How theory helps to solve a problem in avionics industries

We study a scheduling problem that appears when constructing the onboard-computer of a modern plane. We show how this problem can be solved computationally with a non-standard IP formulation for the problem, using properties of the instances of our industrial partner Boeing.