Journal of Mathematics and Modeling in Finance

A Multi-Objective Mathematical Model for Labor Cost Optimization and Shift Scheduling in the Oil and Gas Industry

Articles in Press

Document Type : Research Article

Authors

Azar Ghyasi 1
Mohammad Tohidi 2
Sadegh Feizollahi 3

1 Department of Mathematics, Faculty of Statistics, Mathematics and Computer, Allameh Tabataba’i University, Tehran, Iran.

2 Department of Mathematics, Il. C., Islamic Azad University, Ilam, Iran.

3 Department of Management, Il. C., Islamic Azad University, Ilam, Iran.

10.22054/jmmf.2026.92900.1289
Abstract
Labor cost management and resource allocation are critical in capital-intensive sectors like the oil and gas industry. This study introduces a multi-objective mathematical model to optimize shift scheduling and work pattern selection. Formulated as a zero-one integer programming problem, the framework tackles three primary economic objectives: minimizing direct labor expenditures, maximizing human capital productivity, and optimizing employee preferences to reduce turnover costs. The model incorporates strict economic-operational constraints, including role-specific staffing requirements and rotational shifts. To solve this computationally intensive problem, two metaheuristics—Non-dominated Sorting Genetic Algorithm II (NSGA-II) and Artificial Bee Colony (ABC)—are deployed. Algorithm parameters are calibrated via the Taguchi method to maximize convergence and solution cost-effectiveness. A numerical case study reveals that NSGA-II consistently outperforms ABC, generating superior Pareto-optimal solutions that empower financial decision-makers to balance cost reduction with operational diversity effectively. These results underscore the practical utility of evolutionary algorithms in complex financial scheduling environments. The proposed model serves as a scalable tool for energy sector planners, suggesting future research trajectories toward stochastic cost modeling and financial uncertainty.

Keywords

Labor Cost Optimization
Financial-Operational Modeling
Multi-objective Optimization
Integer Programming
Metaheuristic Algorithms
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Journal of Mathematics and Modeling in Finance

Articles in Press, Accepted Manuscript
Available Online from 19 August 2026

  • Receive Date 26 May 2026
  • Revise Date 18 July 2026
  • Accept Date 17 August 2026

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