Pharmaceutical R &D portfolio optimization with minimum borrowed capital based on fuzzy set theory

Due to long lead times, uncertain outcomes and lack of enough historical data, pharmaceutical research development (R &D) portfolio selection is a often very complex decision issue. The aim this paper investigate R &D with unavailable unreliable project information, where the borrowed capital allowed. Based on fuzzy set theory, we propose optimization model minimum by taking into account corporate strategy in developing new products, scarcity resources, investment budget cardinality constraint. In proposed model, company assumed achieve objectives maximizing terminal wealth minimizing cumulative over whole horizon. Then, transform bi-objective corresponding single-objective using weighted sum approach employ modified artificial bee colony (MABC) algorithm solve transformed model. Finally, provide numerical example illustrate application our