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A Lagrangean relaxation approach for capacitated lot sizing problem with setup times

Author

Listed:
  • Chun-Hung Cheng
  • Manohar S. Madan
  • Jaideep Motwani
  • Ka-Yun Yip

Abstract

In this research, we consider a production planning problem that determines the production timings and quantities for multiple products over a finite number of periods without violating capacity constraints. This problem is commonly referred to as the capacitated lot sizing (CLS) problem. We develop a model that explicitly considers setup times for products and different types of production capacities such as regular time and overtime. We develop a heuristic based on Lagrangian relaxation to solve this CLS problem. Computational results show that our algorithm gives reliable results while comparing solution values to lower bounds.

Suggested Citation

  • Chun-Hung Cheng & Manohar S. Madan & Jaideep Motwani & Ka-Yun Yip, 2013. "A Lagrangean relaxation approach for capacitated lot sizing problem with setup times," International Journal of Operational Research, Inderscience Enterprises Ltd, vol. 18(3), pages 272-303.
    • Handle: RePEc:ids:ijores:v:18:y:2013:i:3:p:272-303
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