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The uncapacitated lot-sizing problem with sales and safety stocks

Author

Listed:
  • LOPARIC, Marko

    (Center for Operations Research and Econometrics (CORE), Université catholique de Louvain (UCL), Louvain la Neuve, Belgium)

  • POCHET, Yves

    (Center for Operations Research and Econometrics (CORE), Université catholique de Louvain (UCL), Louvain la Neuve, Belgium)

  • WOLSEY, Laurence

    (Center for Operations Research and Econometrics (CORE), Université catholique de Louvain (UCL), Louvain la Neuve, Belgium)

Abstract

We examine a variant of the uncapacitated lot-sizing model of Wagner-Whitin involving sales instead of fixed demands, and lower bounds on stocks. Two extended formulations are presented, as well as a dynamic programming algorithm and a complete description of the convex hull of solutions. When the lower bounds on stocks are non-decreasing over time, it is possible to describe an extended formulation for the problem and a combinatorial separation algorithm for the convex hull of solutions. Finally when the lower bounds on stocks are constant, a simpler polyhedral description is obtained for the case of Wagner-Whitin costs.

Suggested Citation

  • LOPARIC, Marko & POCHET, Yves & WOLSEY, Laurence, 1999. "The uncapacitated lot-sizing problem with sales and safety stocks," LIDAM Discussion Papers CORE 1999017, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    • Handle: RePEc:cor:louvco:1999017
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