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Journal of Applied Sciences
Year: 2009  |  Volume: 9  |  Issue: 2  |  Page No.: 296 - 303

Development of Heuristics for Multi-Product Multi-Level Capacitated Lotsizing Problem with Sequence-Dependent Setups

M. Mohammadi, S. M.T. Fatemi Ghomi, B. Karimi and S. A.Torabi    

Abstract: This study considers the problem of multi-product multi-level capacitated lotsizing and sequencing problem with sequence-dependent setups. A Mixed Integer Programming (MIP) formulation of the problem is proposed which is impractical to solve in reasonable computing time for non-small instances. Reducing the dimensionality of the problem and allowing to solve larger instances, a modified mathematical model is developed which ignores majority of combinations. The ability to quickly find integer-feasible solutions for non-small instances is another aspect of this paper. Hybrid methods that mixes rolling-horizon approach and heuristic are developed. Heuristic is used to determine binary variables of current period. To test the accuracy of hybrid methods, a procedure for obtaining a lower bound on the optimal solution is developed. The trade-offs between objective values and computing times are also provided.

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