Journal of Optimization in Industrial Engineering: 36 (1)

Open Access Article

1 - A Robust Optimization Approach for the Hub Arc Location Problem
Marjan Gharavipour Mohsen Sheikh Sajadieh Matineh Ziari

Hub networks play a crucial role in optimizing transportation flow and reducing overall costs by efficiently connecting origins and destinations through strategically placed hub nodes. The decision of hub location carries significant long-term implications and necessita More

Hub networks play a crucial role in optimizing transportation flow and reducing overall costs by efficiently connecting origins and destinations through strategically placed hub nodes. The decision of hub location carries significant long-term implications and necessitates consideration of various factors within an uncertain environment. This paper addresses the hub arc location problem in hub networks, considering setup costs, isolated hubs, and uncertain flows between nodes. To tackle this challenge, a two-stage stochastic programming model is formulated to incorporate the uncertainty in flow volumes. Additionally, a robust optimization approach is proposed to enhance the resilience of hub location decisions against uncertain scenarios. The problem is solved using a tailored Genetic algorithm, which achieves optimal solutions with high quality and reasonable computational time. The results demonstrate the effectiveness of the proposed methodology in handling the uncertain nature of the hub location problem, contributing to the advancement of transportation planning and logistics optimization. The findings provide valuable insights for practical applications in real-world scenarios, offering a framework for decision-makers to make informed choices regarding hub network design and location. By integrating uncertainty and robust optimization techniques, this paper offers a comprehensive approach to address complex transportation network problems and improve overall efficiency in transportation systems. Manuscript profile

Open Access Article

2 - A Dynamics Approach for Maturity Assessment of Hospital Supply Chain Management
MARLA SETIAWATI TOGAR MANGIHUT SIMATUPANG LIANE OKDINAWATI

Maturity Assessment strives for continuous improvement in hospitals. Maturity assessment serves as one of valuable tools for hospitals to diagnose problems within their supply chain management processes and implement targeted solutions to improve overall performance and More

Maturity Assessment strives for continuous improvement in hospitals. Maturity assessment serves as one of valuable tools for hospitals to diagnose problems within their supply chain management processes and implement targeted solutions to improve overall performance and address challenges effectively and efficiently. Customer satisfaction, inventory management, technology and collaboration are the main problem that needs to be addressed in hospitals. This study aims to understand better the components of various variables in maturity assessment consisting of people, processes, technology, and partners of hospital supply chain management. Hospital Supply Chain Management (HSCM) is a supply chain management that focuses on reducing hospital costs while improving hospital services. This study utilizes qualitative data analysis using content analysis on semi-structured interview transcripts. The variables identified are modelled causal loop diagrams to provide and illustrate the interrelationship of the decision factors. Furthermore, the study found 27 decision factors from the interviews and then modelled them in the causal loop diagram. It showed four dominant factors influencing the maturity assessment in Hospital Supply Chain Management. Those are the number of trainings in the people area, the number of patients in the process area, supply chain integration in the technology area, and inventory management in the partner area. Manuscript profile

Open Access Article

3 - Implementation of Internet of Things in the Manufacturing Value Chain: A Comprehensive Study in Industry of Piping
Rahimah Kassim Hasnah Mustapa Azizah Rahmat Hamad Raza

The value chain process has significant importance in the manufacturing industry for achieving operational success. In order to mitigate errors, it is essential for manufacturing firms to optimize their operational processes with utmost efficiency. The Internet of Thing More

The value chain process has significant importance in the manufacturing industry for achieving operational success. In order to mitigate errors, it is essential for manufacturing firms to optimize their operational processes with utmost efficiency. The Internet of Things (IoT) is a technology that effectively enhances operational excellence inside enterprises. In order to actualize the Internet of Things (IoT), it is essential for the industrial sector to actively participate in and effectively incorporate this technology into its routine operations. Numerous studies have been undertaken to explore the possibilities of the Internet of Things (IoT) for various enterprises. Nevertheless, the use of IoT remains limited in several sectors, such as the Manufacturing industry in poorer nations. The objective of this article is to identify and assess the elements that have an impact on the adoption of Internet of Things (IoT) in the manufacturing sector of Malaysia. Additionally, a proposed model for the implementation of IoT in this industry will be presented. The identification of drivers was conducted by means of a comprehensive analysis of prior examinations. Additionally, a paradigm known as the technology-organization-environment (TOE) framework is suggested, drawing on the idea of information system adoption. The Delphi approach was used to conduct a survey among users of the Internet of Things (IoT), and the findings revealed that the selected parameters examined in this research had a noteworthy influence on the deployment of IoT within the manufacturing sector of Malaysia. This study aims to facilitate the comprehension of Manufacturing organizations about the many facets of Internet of Things (IoT) implementation. It seeks to enhance their business structure and investment in IoT, while also serving as a source of inspiration for researchers to delve into further research on novel factors related to IoT adoption or implementation. Manuscript profile

Open Access Article

4 - Conceptual Framework for Implementing Bottom-Up Kaizen in the Malaysian Automotive Sector
S.K. Kamal ZA Rahim I. Norzura H Nakanishi Hamad Raza

This research aimed to discern the determinants shaping the implementation of bottom-up Kaizen models in the Malaysian automotive industry, conducted in three distinct phases: needs analysis, design and development, and evaluation. The identification of model prerequisi More

This research aimed to discern the determinants shaping the implementation of bottom-up Kaizen models in the Malaysian automotive industry, conducted in three distinct phases: needs analysis, design and development, and evaluation. The identification of model prerequisites involved utilizing two instruments. In the initial phase, a panel of 11 experts employed the Fuzzy Delphi Method (FDM) to formulate the model, relying on a 5-point Likert scale survey questionnaire for expert feedback. The second phase employed a Partial Least Square Structural Equation Model (PLS-SEM) approach to appraising the model, involving 300 employees in the automotive manufacturing sector. The outcomes from the first phase led to the creation of a model featuring eight constructs encompassing 41 items, specifically tailored for bottom-up Kaizen activities in the Malaysian automotive industry. Subsequently, the results from the second phase underscored that the bottom-up Kaizen activity model comprises seven constructs, wherein only statistically significant and positively influential factors for both direct and mediated paths were considered. This study has culminated in the formulation of a structural relationship model for Bottom-up Kaizen criteria, offering significant potential benefits and serving as a valuable reference for the Malaysian automotive industry. Manuscript profile

Open Access Article

5 - Organizational Competitive Advantage Analysis using SWOT Matrix and Hybrid Approach of Fuzzy-DEMATEL, ANP, and DEA
Ali Taherinezhad Alireza Alinezhad Saber Gholami Mahsa Abdolvand

Today, due to the expansion of organizational competition, the growth of technology, and the increasing demand for customers, organizations that gain a competitive advantage over competitors by adopting scientific strategies can survive. There are various approaches to More

Today, due to the expansion of organizational competition, the growth of technology, and the increasing demand for customers, organizations that gain a competitive advantage over competitors by adopting scientific strategies can survive. There are various approaches to create a competitive advantage in organizations. On the other hand, in the scientific literature of this field, there is no integrated model that can cover the gap between these approaches. The aim of this paper is to present a new hybrid model for determining organizational competition strategies and criteria through decision-making tools. In this research, brands of dairy products listed in Iran were selected as a case study to demonstrate the application of the methodology. First, competitive strategies were determined through the Delphi method and expert judgment based on the SWOT technique. Then, relying on the SWOT technique, appropriate evaluation criteria were extracted through the fuzzy DEMATEL method. In the next step, each brand was considered as a decision-making unit (DMU). In addition, the output of the fuzzy DEMATEL method formed the initial values (inputs-outputs) of data envelopment analysis (DEA). Finally, after determining DEA weights via analytic network process (ANP), the efficiency of DMUs was measured by the Russell DEA model. The results of DEA showed that based on the strategies of the SWOT technique, 38% of the units under investigation are efficient. Also, the lowest efficiency obtained from the units was 82%, which shows that there is no noticeable dispersion in the efficiency values. In other words, it shows that the performance of all brands of dairy products is at a suitable level. The rest of the results and discussion are presented in detail. Analysis shows that the model of this research can be a suitable model for survival in today’s tight organizational competition in the world. Manuscript profile

Open Access Article

6 - Appraisal of Industrial Plans with Expected Monetary Value Approach Using FAHP in the Ceramic and Tile Industry
Masoud Merati

One of the essential issues existing in the industry section and long term investments is the procedure of evaluation and selection of industrial projects. Since selection of the optimum and appropriate project, is followed by economic efficiency and conversely the fail More

One of the essential issues existing in the industry section and long term investments is the procedure of evaluation and selection of industrial projects. Since selection of the optimum and appropriate project, is followed by economic efficiency and conversely the failure of a project causes time and cost wastage and will be followed by huge adverse consequences. Hence, decision making in this field is complicated and various tangible, intangible, qualitative and quantitative factors are involved in it and for this reason identification, study and analysis of them is necessary. In order to evaluate the projects in this article, initially technical and financial studies are considered and analyzed and its results are posed. Technical studies include estimation of investment constant costs, estimation of the plan income, costs before usage, capital turnover and production charges and financial studies include estimation of net current value indices, internal output rate, profitability index, capital return period, break – even analysis and other factors which contribute to economic evaluation of the project. The case study in this research is construction of a tile factory which five plans which in fact involve the research options are considered with indices and various technical and economic factors which through Fuzzy Hierarchical Analysis Technique which is Fuzzy Multivariate Decision Making Methods, have been compared so that the best option is selected and the projects are ranked. The ‌considered indices involve four financial indices including net current value, capital return period, investment output, sales output and the ratio of numerical break – even. The research result indicates that the projects ranking results is very close to the ranking on the basis of internal output rate. Manuscript profile

Open Access Article

7 - A Community-Based Qualitative Vulnerability Assessment Tools for Rivers in Developing Participatory Response to Land-Use Changes
Muhammad Saeed Aazani Mujahidb Moritz Müller

Vulnerability assessment is the process of identifying areas at risks to threats and developing strategies to reduce the impact of these threats. A wide array of vulnerability assessment tools is present to assess rivers for different hazards. However, there is no parti More

Vulnerability assessment is the process of identifying areas at risks to threats and developing strategies to reduce the impact of these threats. A wide array of vulnerability assessment tools is present to assess rivers for different hazards. However, there is no particular tool to assess the vulnerability of rivers to changing land-use. There are a few existing assessing frameworks for rivers use top-down approaches which require a large pool of data and highly trained experts. The output of this paper is a new river vulnerability assessment tool (RVAT) that assesses the impacts of changing land-use towards the health and socioeconomic value of the aquatic environment as well as the livelihood of the communities. RVAT comprises a total of 23 criteria, with a conceptual framework and rubrics to assess the river environment, economic and social factors affected by land-use change. This tool was tested and validated in two river systems (Maludam River and Simunjan River) with results showing >0.8 reliability and significant correlation between the criteria. RVAT was able to capture and compare vulnerability in both rivers with minimal data collection efforts. The verbal and visual data needed for the assessment such as types of erosion, water condition and perception on river condition enable the community to assess their rivers thus opening opportunities for the application of citizen science. Manuscript profile

Open Access Article

8 - The survey of lean implementation maturity level of hospitals in Thailand: Does the hospital type matter?
Kwanchanok Areewong Vichayanan Rattanawiboonsom Robert Van Der Meer

Purpose: The purpose of this study is to survey the lean implementation maturity level of the hospitals in Thailand and explore the differences across hospital types on lean implementation maturity level. Method: The survey questionnaire was developed from existing More

Purpose: The purpose of this study is to survey the lean implementation maturity level of the hospitals in Thailand and explore the differences across hospital types on lean implementation maturity level. Method: The survey questionnaire was developed from existing literature based on lean practices, lean performances and lean organizational culture, validated by three experts. Data were collected from staff with an experience in hospital lean quality improvement from 160 hospitals in Thailand. Descriptive statistics and T-tests were used to analyze the differences across hospital types on lean implementation maturity level. Results: Most hospitals in Thailand implemented lean at a medium maturity level (33.75%). The regional, non-Health Ministry and private hospitals had higher levels of lean implementation maturity than the general and community hospitals. The regional hospitals had the highest mean scores in all domains but significantly differed in the total mean score and lean activity domain compared with the community hospitals. Conclusion: The regional hospitals, tertiary care units with more speciality, resources and capacity, implemented lean at a higher maturity than other hospital types. Significantly the difference to community hospitals with limited resources, staff and capacity. Further study on the difference across hospital size and hospital capacity on lean implementation should be investigated. Manuscript profile

Open Access Article

9 - Navigation of mobile robot motion
Hameedah__Sahib__hameedah Hameedah__Sahib__hameedah

As one of the fastest growing fields in engineering, robotics is designed to perform in dangerous and difficult work environments while easing labor-intensive duties. One of the major issues in robotics is the need to design a fast and effective procedure for the naviga More

As one of the fastest growing fields in engineering, robotics is designed to perform in dangerous and difficult work environments while easing labor-intensive duties. One of the major issues in robotics is the need to design a fast and effective procedure for the navigation of mobile robots. Mobile robots have been used to execute tasks such as vital medical patrol and rescue, planetary exploration, material handling, etc. It is therefore important to develop intelligent mobile robots capable of moving independently in different environments. Thus, in this work, a study on the navigation of mobile robots with methods applied was carried out. Manuscript profile

Open Access Article

10 - Assessing the influence factors of audit fatigue and its impact on audit quality
Siti Zaharah Yacob Sallaudin Hassan Hamad Raza

The thesis is intended for investigating the relationship between audit fatigue and audit quality in the pharmaceutical company. The pharmaceutical industry, being as one of the highly regulated industry face stringent requirements by the regulatory body where the compa More

The thesis is intended for investigating the relationship between audit fatigue and audit quality in the pharmaceutical company. The pharmaceutical industry, being as one of the highly regulated industry face stringent requirements by the regulatory body where the company must comply with minimum requirements for the methods, facilities, and controls used in manufacturing, processing, and packing of a drug product. The regulations will provide assurance mechanism that a product is safe for use, and that it has the ingredients and strength it claims to have. However, limited literature is observed in studying the audit fatigue especially with regards to its contribution factor. Several studies and literatures are reviewed, and it was found that most of the literatures are indicating framework of the integration, benefits and type of integration that can be conceptualized and implemented. This research aims to explore the relationship between audit frequency, internal audit management, system workload/ employees’ experiences and audit fatigue. In addition, impact of the audit fatigue on audit quality/ audit outcome shall be investigated and subsequently a conceptual framework will be proposed as per identified hypotheses. Five out of seven hypotheses were supported in the study. The structural model result shows that there are significant and direct effects in the relationship between audit fatigue, audit frequency, workload, and audit quality. The framework developed in this study was able to contribute to the limited body of knowledge in audit fatigue. Manuscript profile

Open Access Article

11 - Does Logistics Efficiency Affect Logistics Performance? An Empirical Investigation
Qurtubi Qurtubi M Suyanto Anas Hidayat Elisa Kusrini

A company’s performance plays a vital role in business growth. Many studies on a company’s performance have been established that involve various variables as antecedents. Among others is logistics performance. This research aims to test and analyze the impa More

A company’s performance plays a vital role in business growth. Many studies on a company’s performance have been established that involve various variables as antecedents. Among others is logistics performance. This research aims to test and analyze the impact of logistics performance on a company’s performance by involving exogenous variables in efficiency, effectiveness, logistics differentiation, and halal certification. The fundamental theory of company performance applied in this research is the resource-based theory, with the resource-based theory key component that adopts a resource-based view. The study involved 125 business units in the halal-certified drink industries located in two provinces in Indonesia. The questionnaire was applied as the data collection method, while Structural Equation Modeling (SEM) was employed as data analysis with parameter estimation referred to as maximum likelihood. The hypothesis test result revealed that logistics efficiency negatively influences logistics performance. On the contrary, effectivity and differentiation, as well as halal certification, positively and significantly influence logistics performance. Similarly, logistics performance substantially impacts a company’s performance. This research shares theoretical contributions in concept development, empirically proven logistics performance models, and the importance of halal certification in enhancing a company’s performance. This research also provides managerial implications for heads of companies or persons in charge of logistics for drink industries in their efforts to improve the company’s performance. Manuscript profile

Open Access Article

12 - Diabetes detection via machine learning using four implemented spanning tree algorithms
Yas Ghiasi Mehdi Seif Barghy Davar PISHVA

This paper considers an accurate and efficient diabetes detection scheme via machine learning. It uses the science of data mining and pattern matching in its diabetes diagnosis process. It implements and evaluates 4 machine learning classification algorithms, namely De More

This paper considers an accurate and efficient diabetes detection scheme via machine learning. It uses the science of data mining and pattern matching in its diabetes diagnosis process. It implements and evaluates 4 machine learning classification algorithms, namely Decision tree, Random Forest, XGBoost and LGBM. Then selects and introduces the one that performs the best towards its objective using multi-criteria decision-making methods. Its results reveal that Random Forest algorithm outperformed other algorithms with higher accuracy. It also examines the details of features that have a greater effect on diabetes detection. Considering that diabetes is one of the most deadly, disabling, and costly diseases observed today, its alarmingly increasing rates, and difficulty of its diagnosis because of many vague signs and symptoms, utilization of such approach can help doctors increase accuracy of their diagnosis and treatment schemes. Hence, this paper uses the science of data mining as a tool to gather and analyze existing data on diabetes and help doctors with its diagnosis and treatment process. The main contribution of this paper can therefore be its applied nature to an essential field and accuracy of its pattern recognition via several analytical approaches. Manuscript profile

Open Access Article

13 - Financial Health Analysis on PT Asuransi LMIGNKG Based on Premium Reserve Calculation
Fia Fridayanti Adam

An insurance company's state of financial stability is crucial. This is required to guarantee that, if an event specified in the policy occurs, the insurance provider will be able to compensate the insured. The Financial Services Authority (FSA) in Indonesia overse More

An insurance company's state of financial stability is crucial. This is required to guarantee that, if an event specified in the policy occurs, the insurance provider will be able to compensate the insured. The Financial Services Authority (FSA) in Indonesia oversees the sound financial standing of insurance companies which are Risk Based Capital (RBC), technical reserves, investment sufficiency, equity, guarantee funds, and other provisions are the metrics. The purpose of this study is to assess PT Asuransi LMIGNKG's financial situation in 2022. The research is limited to using secondary data from the company, which was utilized to determine financial health based on investment adequacy, RBC, and premium reserves. This research showed the RBC calculation is 402 % which still exceeds the 120% limit set by the regulator. PT Asuransi LMIGNKG's investment adequacy ratio is also quite large, namely 8 times compared to its technical reserves. In managing investments, PT Asuransi LMIGNKG also does not violate these rules. PT Asuransi LMIGNKG's investment management is still below regulatory limits. From these indicators, it can be said that PT Asuransi LMIGNKG is a general insurance company whose financial condition is healthy. Manuscript profile

Open Access Article

14 - An inventory lot Sizing model of deteriorating items with time and price dependent demand, by considering the time value of money
Rashin Babaei Davood mohammaditabar

In this paper, an inventory lot sizing model is proposed for a single deteriorating product with time and price dependent demand, by considering the time value of money.it is assumed the rate of deterioration is constant, the interest is compounded continuously, and the More

In this paper, an inventory lot sizing model is proposed for a single deteriorating product with time and price dependent demand, by considering the time value of money.it is assumed the rate of deterioration is constant, the interest is compounded continuously, and the shortage happens in the form of partial backorder. The product is purchased from several suppliers at different prices and sold at a unique price. The closed form solution is presented for a special case with no shortage. A numerical example is solved and analyzed in the GAMS software. It is shown that with an increase in the rate of deterioration, the model decreases the selling price in order to stimulate the demand and deplete the positive inventory faster to avoid extensive deteriorations. In addition, the fraction of time with positive inventory level is reduced. The sensitivity analysis of the interest rate showed that as the interest rate increases, the model increases the economic order size while reduces the selling price in order to get higher positive net cash flows as soon as possible. With the increase of the shortage costs, the model tried to expose less shortage by increasing the fraction of time with positive inventory level. This resulted in more deterioration in the inventory and required larger order size. Manuscript profile

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