Bi-objective fuzzy optimization model for multiproject and multi-item investment based on the perspective of real options

This paper presents a new fuzzy chance-constrained programming model to find the Pareto solution set for multiproject and multi-item investment combination based on the perspective of real options. The proposed 0-1 integer programming model has two objectives subject to fuzzy cash supply chain constraint conditions, and the escalating GA will be employed to solve the above optimization model with a small modification of constraint handling. A simulation experiment illustrating the application of the proposed model will be presented and Pareto-optimal solutions will be obtained. A comparison shows that EMGA has some advantages over the classical GA.