Optimization Tools and Techniques

The concept of optimization refers to the process through which we minimize or maximize a function by means of systematically selecting the best values for the decision variables from a set of available alternatives. Many techniques have been proposed in the literature for the effective optimization of different integrated logis­tics plans, each with its own strengths and weaknesses. These tools and techniques can be classified into four categories: mathematical techniques, heuristics tech­niques, simulation, and genetic algorithms. This section briefly discusses the strengths and weaknesses of each technique.