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A multifamily dynamic lot‐sizing model with coordinated replenishments

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  • S. Selcuk Erenguc
  • H. Murat Mercan

Abstract

We consider a multi‐item production planning problem where items are grouped together into families. A family setup time is incurred when an item in a family is produced. Also, for each replenishment of a product an individual setup time may be incurred. The objective is to determine the time‐phased production schedule that minimizes the total inventory holding cost under demand and capacity constraints. In this article we develop a finite branch‐and‐bound algorithm for solving the problem. In addition, we present a heuristic procedure to obtain an initial feasible solution. This feasible solution is the initial incumbent solution in the branch‐and‐bound algorithm and is also used for preprocessing the problem data. Computational results are reported.

Suggested Citation

  • S. Selcuk Erenguc & H. Murat Mercan, 1990. "A multifamily dynamic lot‐sizing model with coordinated replenishments," Naval Research Logistics (NRL), John Wiley & Sons, vol. 37(4), pages 539-558, August.
    • Handle: RePEc:wly:navres:v:37:y:1990:i:4:p:539-558
    DOI: 10.1002/1520-6750(199008)37:43.0.CO;2-H
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    References listed on IDEAS

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    1. S. Selcuk Erenguc & Harold P. Benson, 1986. "The interactive fixed charge linear programming problem," Naval Research Logistics Quarterly, John Wiley & Sons, vol. 33(2), pages 157-177, May.
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    4. Edward A Silver, 1979. "Coordinated replenishments of items under time‐varying demand: Dynamic programming formulation," Naval Research Logistics Quarterly, John Wiley & Sons, vol. 26(1), pages 141-151, March.
    5. VAN ROY, Tony J. & WOLSEY, Laurence A., 1987. "Solving mixed integer programming problems using automatic reformulation," LIDAM Reprints CORE 782, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
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    7. Harish C. Bahl & Larry P. Ritzman & Jatinder N. D. Gupta, 1987. "OR Practice—Determining Lot Sizes and Resource Requirements: A Review," Operations Research, INFORMS, vol. 35(3), pages 329-345, June.
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    Cited by:

    1. N.C. Simpson & S. Selcuk Erenguc, 2005. "Modeling multiple stage manufacturing systems with generalized costs and capacity issues," Naval Research Logistics (NRL), John Wiley & Sons, vol. 52(6), pages 560-570, September.

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