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An approach for solving the lot-sizing problem of a market-driven foundry

Author

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  • V S Tonaki

    (Universidade de São Paulo)

  • F M B Toledo

    (Universidade de São Paulo)

Abstract

Foundries can be found all over Brazil and they are very important to its economy. In 2008, a mixed integer-programming model for small market-driven foundries was published, attempting to minimize delivery delays. We undertook a study of that model. Here, we present a new approach based on the decomposition of the problem into two sub-problems: production planning of alloys and production planning of items. Both sub-problems are solved using a Lagrangian heuristic based on transferences. An important aspect of the proposed heuristic is its ability to take into account a secondary practice objective solution: the furnace waste. Computational tests show that the approach proposed here is able to generate good quality solutions that outperform prior results.

Suggested Citation

  • V S Tonaki & F M B Toledo, 2010. "An approach for solving the lot-sizing problem of a market-driven foundry," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 61(1), pages 108-114, January.
  • Handle: RePEc:pal:jorsoc:v:61:y:2010:i:1:d:10.1057_jors.2008.151
    DOI: 10.1057/jors.2008.151
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    References listed on IDEAS

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    4. dos Santos-Meza, Elisangela & Oliveira dos Santos, Maristela & Nereu Arenales, Marcos, 2002. "A lot-sizing problem in an automated foundry," European Journal of Operational Research, Elsevier, vol. 139(3), pages 490-500, June.
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    Keywords

    foundry; lot-sizing; heuristic;
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