Control and Optimization
Ali Akbar Sohrabi; Reza Ghanbari; Khatere Ghorbani-Moghadam
Abstract
Project portfolio selection is a critical challenge for many organizations as they often face budget constraints that limit their ability to support all available projects. To address this issue, organizations seek to select a feasible subset of projects that maximizes utility. ...
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Project portfolio selection is a critical challenge for many organizations as they often face budget constraints that limit their ability to support all available projects. To address this issue, organizations seek to select a feasible subset of projects that maximizes utility. While several models for project portfolio selection based on multiple criteria have been proposed, they are typically NP-hard problems. In this study, we propose an efficient Variable Neighborhood Search (VNS) algorithm to solve these problems. Our algorithm includes a formula for computing the difference value of the objective function, which enhances its accuracy and ensures that selected projects meet desired criteria. We demonstrate the effectiveness of our algorithm through rigorous testing and comparison with a genetic algorithm (GA) and CPLEX. The results of the Wilcoxon non-parametric test confirm that our algorithm outperforms both GA and CPLEX in terms of speed and accuracy. Moreover, the variance of the relative error of our algorithm is less than that of GA.
