A memetic algorithm for maximizing net present value in resource-constrained project scheduling problem

Abstract

In this study, we develop a model that considers monetary issues in resource-constrained environments, and involves scheduling project activities to maximize net present value. This problem is recognized as the ldquoresource-constrained project scheduling problem with discounted cash flows (RCPSPDCF),rdquo. which is strongly NP-hard. All resources considered are both types of renewable and nonrenewable; the duration of each activity depends on the amount of resources allocated to its execution. Efforts are made by considering a two-stage method applying mode selection rules at the first stage and the memetic algorithm at the second stage. Results are shown in a comparative study which demonstrates the effectiveness of using memetic algorithm in maximizing project net present value; as well as, a combination of mode selection rules which provide a high probability of giving the best solution.