A hierarchical approach for one-dimensional cutting stock problems in the steel industry that maximizes yield and minimizes overgrading |
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| Institution: | 1. Mathematics and CIS Department, Kutztown University, Kutztown, PA 19530, USA;2. Homer Research Laboratories, Bethlehem Steel Corporation, Bethlehem, PA 18016, USA;1. School of Economics and Management, Southeast University, Nanjing 210096, China;2. Business Division, Institute of Textiles and Clothing, The Hong Kong Polytechnic University, Hung Hom, Kowloon, Hong Kong;3. Department of Management Science, College of Management, Shenzhen University, Shenzhen 518060, China;1. Department of Industrial Engineering, School of Management, Xi’an Jiaotong University, 28 Xianning West Road, Xi’an, Shaanxi, PR China;2. Department of Industrial and Manufacturing Systems Engineering, The University of Hong Kong, 8/F Haking Wong Building, Pokfulam Road, Hong Kong;1. Business School, Sichuan University, Chengdu 610064, China;2. School of Economics & Management, Xidian University, Xi’an 710071, China |
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| Abstract: | In the steel industry, as hot steel products exit the producing facility, they are cut at primary saws (hotsaws) into shorter pieces. After these pieces cool, they are inspected for defects and either applied directly to customer orders or are further cut to ordered lengths at secondary saws (cold saws). In this case study, we will describe a hierarchical algorithm, DYNACUT_CS, that efficiently and effectively generates cutting patterns for material that is to be cut at cold saws. DYNACUT_CS strives to maximize yield over all the material cut and simultaneously tries to minimize overgrading (applying higher quality material than specified by the customer). An example will be given to illustrate how the algorithm works. This approach has been implemented for a variety of products at several different Bethlehem Steel Corporation facilities. |
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