A bi-level priority sorting framework for flexible AGV service scheduling in smart warehouses
Xiaozhu Sun, Bilal Farooq

TL;DR
This paper introduces a bi-level optimization framework for AGV scheduling in smart warehouses, balancing order fulfillment, cost, and efficiency through real-time routing and heuristic rules.
Contribution
It presents a novel bi-level optimization approach integrating heuristic rules and reinforcement learning for flexible AGV operations in smart warehouses.
Findings
Reduces average order delay and system costs by over 50% during peak demand.
Maintains service level above 90% and maximizes AGV utilization.
Demonstrates robustness and flexibility across diverse scenarios.
Abstract
This paper proposes a bi-level optimization framework to coordinate Automated Guided Vehicle (AGV) flexible operations in smart independent warehouses, addressing the critical challenge of balancing high-throughput order fulfillment with stringent cost control. The framework is designed to simultaneously optimize flexible customer service level, system cost, and operational efficiency. The first level dynamically adjusts real-time scheduling parameters, such as order commitment times and delay tolerance, based on predefined customer priority categories. The second level performs real-time routing optimization for each AGV by identifying the shortest feasible paths while avoiding conflicts. For complex multi-capacity package picking tasks, two heuristic rules, priority, deadline, with shortest path (PDSP) and delay cost with shortest path (DCSP), are applied to multi-capacity package…
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