This paper integrates the concepts of grey systems and fuzzy sets into
optimization analysis by dynamic programming as a means of accounting
for system uncertainty. The developed grey fuzzy dynamic programming
(GFDP) model improves upon previous DP methods by allowing uncertain i
nput information to be directly communicated into the optimization pro
cess and solutions through the use of different alpha-cut levels of fu
zzy numbers for the input fuzzy information, and the use of a grey fuz
zy linear programming (GFLP) method for an embedded LP problem. The mo
delling approach is applied to a hypothetical problem for the planning
of waste flow allocation and treatment/disposal facility expansion wi
thin a municipal solid waste management system. The solutions of the G
FDP model corresponding to different alpha-cut levels provide optimal
decisions regarding different development alternatives in a multi-peri
od, multi-facility and multi-scale context, as well as the upper and l
ower limits of waste flow allocation. The results indicate that reason
able and useful solutions can be achieved through the developed GFDP a
pproach.