Tactical Production and Lot Size Planning with Lifetime Constraints: A Comparison of Model Formulations

2017 ◽  
Vol 34 (05) ◽  
pp. 1750019 ◽  
Author(s):  
Andrea Raiconi ◽  
Julia Pahl ◽  
Monica Gentili ◽  
Stefan Voß ◽  
Raffaele Cerulli

In this work, we face a variant of the capacitated lot sizing problem. This is a classical problem addressing the issue of aggregating lot sizes for a finite number of discrete periodic demands that need to be satisfied, thus setting up production resources and eventually creating inventories, while minimizing the overall cost. In the proposed variant we take into account lifetime constraints, which model products with maximum fixed shelflives due to several possible reasons, including regulations or technical obsolescence. We propose four formulations, derived from the literature on the classical version of the problem and adapted to the proposed variant. An extensive experimental phase on two datasets from the literature is used to test and compare the performance of the proposed formulations.

Mathematics ◽  
2020 ◽  
Vol 8 (6) ◽  
pp. 878 ◽  
Author(s):  
Yajaira Cardona-Valdés ◽  
Samuel Nucamendi-Guillén ◽  
Rodrigo E. Peimbert-García ◽  
Gustavo Macedo-Barragán ◽  
Eduardo Díaz-Medina

This paper addresses the multi-product, multi-period capacitated lot sizing problem. In particular, this work determines the optimal lot size allowing for shortages (imposed by budget restrictions), but with a penalty cost. The developed models are well suited to the usually rather inflexible production resources found in retail industries. Two models are proposed based on mixed-integer formulations: (i) one that allows shortage and (ii) one that forces fulfilling the demand. Both models are implemented over test instances and a case study of a real industry. By investigating the properties of the obtained solutions, we can determine whether the shortage allowance will benefit the company. The experimental results indicate that, for the test instances, the fact of allowing shortages produces savings up to 17% in comparison with the model without shortages, whereas concerning the current situation of the company, these savings represent 33% of the total costs while preserving the revenue.


2019 ◽  
Vol 4 (2) ◽  
pp. 205-214
Author(s):  
Erika Fatma

Lot sizing problem in production planning aims to optimize production costs (processing, setup and holding cost) by fulfilling demand and resources capacity costraint. The Capacitated Lot sizing Problem (CLSP) model aims to balance the setup costs and inventory costs to obtain optimal total costs. The object of this study was a plastic component manufacturing company. This study use CLSP model, considering process costs, holding costs and setup costs, by calculating product cycle and setup time. The constraint of this model is the production time capacity and the storage capacity of the finished product. CLSP can reduce the total production cost by 4.05% and can reduce setup time by 46.75%.  Keyword: Lot size, CLSP, Total production cost.


2018 ◽  
Vol 31 (6) ◽  
pp. 879-890 ◽  
Author(s):  
Hacer Güner Gören ◽  
Semra Tunali

PurposeThe capacitated lot sizing problem (CLSP) is one of the most important production planning problems which has been widely studied in lot sizing literature. The CLSP is the extension of the Wagner-Whitin problem where there is one product and no capacity constraints. The CLSP involves determining lot sizes for multiple products on a single machine with limited capacity that may change for each planning period. Determining the right lot sizes has a critical importance on the productivity and success of organizations. The paper aims to discuss these issues.Design/methodology/approachThis study focuses on the CLSP with setup carryover and backordering. The literature focusing on this problem is rather limited. To fill this gap, a number of problem-specific heuristics have been integrated with fix-and-optimize (FOPT) heuristic in this study. The authors have compared the performances of the proposed approaches to that of the commercial solver and recent results in literature. The obtained results have stated that the proposed approaches are efficient in solving this problem.FindingsThe computational experiments have shown that the proposed approaches are efficient in solving this problem.Originality/valueTo address the solution of the CLSP with setup carryover and backordering, a number of heuristic approaches consisting of FOPT heuristic are proposed in this paper.


2003 ◽  
Vol 49 (8) ◽  
pp. 1039-1054 ◽  
Author(s):  
Christopher Suerie ◽  
Hartmut Stadtler

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Masoud Rabbani ◽  
Soroush Aghamohamadi Bosjin ◽  
Neda Manavizadeh ◽  
Hamed Farrokhi-Asl

Purpose This paper aims to present a novel bi-objective mathematical model for a production-inventory system under uncertainty. Design/methodology/approach This paper addresses agile and lean manufacturing concepts alongside with green production methods to design an integrated capacitated lot sizing problem (CLSP). From a methodological perspective, the problem is solved in three phases. In the first step, an FM/M/C queuing system is used to minimize the number of customers waited to receive their orders. In the second step, an effective approach is applied to deal with the fuzzy bi-objective model and finally, a hybrid metaheuristic algorithm is used to solve the problem. Findings Some numerical test problems and sensitivity analyzes are conducted to measure the efficiency of the proposed model and the solution method. The results validate the model and the performance of the solution method compared to Gams results in small size test problems and prove the superiority of the hybrid algorithm in comparison with the other well-known metaheuristic algorithms in large size test problems. Originality/value This paper presents a novel bi-objective mathematical model for a CLSP under uncertainty. The proposed model is conducted on a practical case and several sensitivity analysis are conducted to assess the behavior of the model. Using a queue system, this problem aims to reduce the items waited in the queue to receive service. Two objective functions are considered to maximize the profit and minimize the negative environmental effects. In this regard, the second objective function aims to reduce the amount of emitted carbon.


2018 ◽  
Vol 204 ◽  
pp. 07005
Author(s):  
Iman Setyoaji

Remanufacturing processes face uncertainty in the quality of the items being returned by customers, this significant variability complicates the control of inventories. Demands can be satisfied by procured new items, but also by remanufactured returned items. This paper develops dynamic lot sizing model for remanufacturing industry under uncertainty of returned items and proposes Bayesian Inference to estimate the replacement ratio of returned items that used to determine those lot sizes for new items. The objective of this paper is to minimize the total cost composed of holding cost and set-ups cost. A numerical example is provided based on case study. The result shows that total cost is reduced to be 45%.


Sign in / Sign up

Export Citation Format

Share Document