Recent Advancements in Commercial Integer Optimization Solvers for Business Intelligence Applications

The chapter focuses on the recent advancements in commercial integer optimization solvers as exemplified by the CPLEX software package particularly but not limited to mixed-integer linear programming (MILP) models applied to business intelligence applications. We provide background on the main underlying algorithmic method of branch-and-cut, which is based on the established optimization solution methods of branch-and-bound and cutting planes. The chapter also covers heuristic-based algorithms, which include preprocessing and probing strategies as well as the more advanced methods of local or neighborhood search for polishing solutions toward enhanced use in practical settings. Emphasis is given to both theory and implementation of the methods available. Other considerations are offered on parallelization, solution pools, and tuning tools, culminating with some concluding remarks on computational performance vis-à-vis business intelligence applications with a view toward perspective for future work in this area