International Series in Operations Research & Management Science Lluis M. Plà-Aragonés Editor Handbook of Operations Research in Agriculture and the Agri-Food Industry International Series in Operations Research & Management Science Volume 224 Series Editor Camille C. Price Stephen F. Austin State University, TX, USA Associate Series Editor Joe Zhu Worcester Polytechnic Institute, MA, USA Founding Series Editor Frederick S. Hillier Stanford University, CA, USA More information about this series at http://www.springer.com/series/6161 (cid:1) Lluis M. Pla-Aragone´s Editor Handbook of Operations Research in Agriculture and the Agri-Food Industry Editor LluisM.Pl(cid:1)a-Aragone´s DepartmentofMathematicsFaculty ofLawandEconomics UniversityofLleida Lleida,Spain ISSN0884-8289 ISSN2214-7934 (electronic) InternationalSeriesinOperationsResearch&ManagementScience ISBN978-1-4939-2482-0 ISBN978-1-4939-2483-7 (eBook) DOI10.1007/978-1-4939-2483-7 LibraryofCongressControlNumber:2015935569 SpringerNewYorkHeidelbergDordrechtLondon ©SpringerScience+BusinessMedia,LLC2015 Thisworkissubjecttocopyright.AllrightsarereservedbythePublisher,whetherthewholeorpartof the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on microfilms or in any other physical way, and transmission or information storage and retrieval, electronic adaptation, computer software, or by similar or dissimilarmethodologynowknownorhereafterdeveloped. The use of general descriptive names, registered names, trademarks, service marks, etc. in this publicationdoesnotimply,evenintheabsenceofaspecificstatement,thatsuchnamesareexempt fromtherelevantprotectivelawsandregulationsandthereforefreeforgeneraluse. Thepublisher,theauthorsandtheeditorsaresafetoassumethattheadviceandinformationinthis book are believed to be true and accurate at the date of publication. Neither the publisher nor the authors or the editors give a warranty, express or implied, with respect to the material contained hereinorforanyerrorsoromissionsthatmayhavebeenmade. Printedonacid-freepaper Springer Science+Business Media LLC New York is part of Springer Science+Business Media (www.springer.com) Foreword TheuseofORinNaturalResourceshasbeenwithusforseveraldecadesnow.Ithas been developed importantly in the areas of forestry, agriculture, and mining. The paperspublishedintheliteratureshowresultsthatgofrommethodologicaldevel- opmentstocasestudiestoactualapplicationsusedinindustryorgovernment.One area where OR has shown particular success has been in forestry. This has been driveninlargepartbythefactthatforestlandsandfirmsarequitelargeinbotharea andfinancialresources.Thus,thereisthepossibilityandincentivetoinvestinusing sophisticatedtoolsformanagement.Weseeinthisspecialissuethefruitsofsimilar developmentsmainlyintheareaofagriculture.ThisissobecauseAgricultureand the Agri-Food Industry are becoming capital intensive and a more complex busi- nessthantraditionallywas.Theacademicandpracticaluseofquantitativetoolsto supportdecisionmakinginagricultureisshowninitsmanyfacets.Thepapersand theproblemsinthemrepresentthetypicalchallengesmanagersface: – Planningofplantingandharvesting. – Productionandlogistics. – Optimizingthesupplychain. – Risksofcatastrophicevents. – Hierarchicalplanning. – Multiobjectivedecisionmaking. These are areas where it is well known that Operations Research has proven its high value, with its tools to solve problems, and perhaps more importantly, inthewayithelps,definestheissues,andcharacterizestheproblemstobesolved. TheuseofORtoolshasbecomemoreimportantgiventheincreasedspecialization of the sector, higher competition in a globalized world, need to produce and distribute in an efficient way, and the huge improvement in software and hardwarepossibilities.Additionalchallengesimposedbyenvironmentalconstraints, v vi Foreword sustainabledevelopment,andhealthier,safeandsecureproductsaddtotheneedof sophisticateddecisionmaking.Thefieldofquantitativedecisionmakinginagricul- ture (and in lesser volume other areas) is significantly enriched by this special Handbook. SantiagodeChile,Chile AndresWeintraub Preface Many real-world decision-making situations arise from agriculture and related agri-food industries such as fisheries, water management, and irrigation. Methods andapplicationsinAgricultureandtheAgri-FoodIndustryareofinterestatpresent in research developments related to the globally critical area of food production, animalwelfare,andsustainabilityanditisexpectedtoincreaseinthefuture.Many treatmentsofthissubjectfailtodescribewhyandhowtheconcernedORmethods workeffectivelyinthecontextofpractice.Thescopeofthisbookistoprovidean overview of Operations Research (OR) methods in agriculture and a thorough discussion of derived applications in the agri-food industry. Of course, this pano- ramic book does not claim to offer a detailed and exhaustive view of many OR approaches to agriculture and the agri-food industry. We therefore sought high- qualityworksfromleadingresearchersinthefieldthatfitwiththisgeneralscope. As Editor, I’mquite pleased with the result, which has brought together adiverse blend of research topics and modelling and solution approaches for different decisionsinagricultureorintheagri-foodindustry. Structure of the Book This book represents a set of stand-alone works that introduce several OR meth- odologies and captures recent research trends in the application of OR methods in agriculture and the agri-food industry. In this sense, the book can be read in differentwaysdependingonthepersonalinterestofthereader,andso,thereisnota unique recommended order for reading the different chapters. On the other hand, I’m extremely grateful to the authors for their outstanding contributions and for theirpatience,whichhaveledtoafinalproductthatfarexceededmyexpectations. vii viii Preface Table1 Severalcharacteristicsofthechaptersofthebook Chapter ORmethod Decisionproblem Product Level Country 1 SP Planning Pig Supplychain Spain 2 LP Planning Horticulture Supplychain USA 3 LP Planning Seedcorn Supplychain Brazil 4 LP Planning Apple Orchard Chile 5 LP Planning Sugarcane Supplychain Cuba 6 LP Planning Soil Farm Chile 7 LP Planning Fruit Supplychain Spain 8 SIM DA Fruitandvegetable Supplychain Australia 9 SIM DA Fish Fishfarming Israel 10 MHEU Planning Fish Aquaculture Spain 11 MO ALL Water Regional Africa 12 RA DA Crop Farm Netherlands 13 FOR DA Grape Farm Australia 14 DEA EA Pig Farms Spain 15 AHP Sustainability Olive Farm Spain 16 LP Location Beef Supplychain Australia 17 LP Planning Pig Farms Spain 18 LP Diet Pig Farm Canada 19 MDP Replacement Pigandcows Farm Denmark All chapters were rigorously reviewed and I would like to thank the anonymous reviewersfortheirqualityreviewsandresponsiveness. It has been difficult to be consistent withthe use of the same criteria to decide and place one chapter after the other. However, the link or connection chapter by chapter is given sometimes by the method others by the problem or field of application. Hence, the book starts with seven chapters presenting different plan- ningproblemsfordifferentagriculturalproducts.Afterwards,threechaptersmak- inguseofsimulationandmetaheuristicsfollow,beforeasetoffivechaptersdealing with problems solved using multicriteria or multiobjective related methods are presented. The last four chapters of the book are devoted to singular livestock decisionproblems. Table 1 showsdifferent characteristics of each chapter inorder to help readers organize the reading of the book. Different dimensions are used to classify the contentofeachchapter: – Methodology: Most of the chapters present and develop mixed integer linear programming models (LP) including several integer variables. The use of commercial software to solve large LP models makes this kind of applications very interesting for practical purpose. However, the adoption of these OR solutions evolves little by little. The rest of the methods employed in the book are simulation (SIM), metaheuristics (MHEU), multiobjective programming (MO), risk analysis (RA), forecasting (FOR), data envelopment analysis Preface ix (DEA),multicriteriaAnalytichierarchyprocess(AHP),stochasticprogramming (SP),andMarkovdecisionprocess(MDP). – Decisionproblem:Planningproductionistheproblemwithmoreapplicationsin thisbook.MostoftheseproblemsaresolvedusingLPmodels.Otherexamples ofproblemsaredecisionanalysistoassesseitherrisksituationsorjustmanage- mentalternatives,efficiencyanalysis,sustainability,location,thedietproblem, andthereplacementproblem. – Agricultural product: Agriculture produces a variety of products that most of themarepresentedinoneormorechaptersofthisbook.Pigisthemostfrequent product. There are also chapters dealing with fruits and vegetables, fish, seed corn,oliveoil,beef,andhorticultureproducts.Itisworthmentioningthateven whenthedescribedproblemsseemproduct-specific(e.g.,replacementproblem in pigs), the method behind has a wider application to other products/species (e.g., replacement problems in cows, sheep, or other livestock). A couple of chaptersaredevotedtoothertopicsfocusedmoreonthemanagementofnatural resourceslikewaterandsoilimpactingonagriculturalproduction.Achapteris devoted to soil management or how to define plots to maximize crop yielding. AndanotheroneisdevotedtowatermanagementinsomeregionsofAfrica. – Level: Although several problems are formulated and solved at farm level, applications at supply chain level are becoming more and more common. Furthermore, water management and risk analysis in agriculture are some agriculturalproblemsdealtatregionalornationallevelregularly. – Country:Studiespresentedhave been developed under specific conditionsofa countrythatmaybedifferentcountrytocountry.Thereisawiderepresentation ofapplicationsdevelopedinEuropeandAmerica,lessinAustraliaandAfrica, andunfortunatelynonefromAsia. Thebookisprimarilyareferenceforresearchers,Ph.D.students,instructors,and advanced practitioners. Depending on the technique, most chapters introduce briefly the method employed before tackling the agricultural problem presented. So,thebookisalsoexpectedtobeusefulandappropriateforuseasatextbookfor certain advanced courses; and due to the interdisciplinary nature of the content, such courses may be taught in a variety of departments including Operations Research,Agriculture,AppliedMathematics,AgriculturalorAgronomicEngineer- ing,andAgriculturalEconomicsorEcosystems. Lleida,Spain LluisM.Pl(cid:1)a-Aragone´s
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