Skip to main content
Log in

Capacitated lot-sizing with extensions: a review

  • Research Paper
  • Published:
4OR Aims and scope Submit manuscript

Abstract

The capacitated lot-sizing problem (CLSP) is a standard formulation for big bucket lot-sizing problems with a discrete period segmentation and deterministic demands. We present a literature review on problems that incorporate one of the following extensions in the CLSP: back-orders, setup carry-over, sequencing, and parallel machines. We illustrate model formulations for each of the extensions and also mention the inclusion of setup times, multi-level product structures and overtime in a study. For practitioners, this overview allows to check the availability of successful solution procedures for a specific problem. For scientists, it identifies areas that are open for future research.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Similar content being viewed by others

References

  1. Aras OA and Swanson LA (1982). A lot sizing and sequencing algorithm for dynamic demands upon a single facility. J Oper Manage 2(3): 177–185

    Article  Google Scholar 

  2. Bahl HC, Ritzman LP and Gupta JND (1987). Determining lot sizes and resource requirements: a review. Oper Res 35(3): 329–345

    Google Scholar 

  3. Baker T, Muckstadt J Jr (1989) The CHES problems. Working paper, Chesapeake Decision Sciences, Inc., NJ

  4. Belvaux G and Wolsey LA (2000). bc – prod: a specialized branch-and-cut system for lot-sizing problems. Manage Sci 46(5): 724–738

    Article  Google Scholar 

  5. Billington PJ, McClain JO and Thomas LJ (1983). Mathematical programming approaches to capacity-constrained MRP systems: review, formulation and problem reduction. Manage Sci 29(10): 1126–1141

    Google Scholar 

  6. Bitran GR and Yanasse HH (1982). Computational complexity of the capacitated lot size problem. Manage Sci 28(10): 1174–1186

    Google Scholar 

  7. Cheng CH, Madan MS, Gupta Y and So S (2001). Solving the capacitated lot-sizing problem with backorder consideration. J Oper Res Soc 52: 952–959

    Article  Google Scholar 

  8. Cooke DL and Rohleder TR (2006). Inventory evaluation and product slate management in large-scale continuous process industries. J Oper Manage 24(3): 235–249

    Article  Google Scholar 

  9. Derstroff MC (1995). Mehrstufige Losgrößenplanung mit Kapazitätsbeschränkungen. Physica, Heidelberg

    Google Scholar 

  10. Diaby M, Bahl HC, Karwan MH and Zionts S (1992). A lagrangean relaxation approach for very-large-scale capacitated lot-sizing. Manage Sci 38(9): 1329–1340

    Google Scholar 

  11. Dillenberger C, Escudero LF, Wollensak A and Zhang W (1993). On solving a large-scale resource allocation problem in production planning. In: Fandel, G, Gulledge, T, and Jones, A (eds) Operations research in production planning and control, pp 105–119. Springer, Berlin

    Google Scholar 

  12. Dillenberger C, Escudero LF, Wollensak A and Zhang W (1994). On practical resource allocation for production planning and scheduling with period overlapping setups. Eur J Oper Res 75(2): 275–286

    Article  Google Scholar 

  13. Drexl A and Kimms A (1997). Lot sizing and scheduling—survey and extensions. Eur J Oper Res 99: 221–235

    Article  Google Scholar 

  14. Eppen GD and Martin RK (1987). Solving multi-item capacitated lot-sizing problems using variable redefinition. Oper Res 35(6): 832–848

    Article  Google Scholar 

  15. Erickson R, Monma C and Veinott A (1987). Send-and-split methods for minimum-concave-cost network flows. Math Oper Res 12: 634–664

    Google Scholar 

  16. Fleischmann B and Meyr H (1997). The general lotsizing and scheduling problem. OR Spektrum 19: 11–21

    Article  Google Scholar 

  17. Gao Y (2000). A heuristic procedure for the capacitated lot sizing problem with set-up carry-over. Control Theory Appl 17(6): 937–940

    Google Scholar 

  18. Gopalakrishnan M (2000). A modified framework for modelling set-up carryover in the capacitated lotsizing problem. Int J Prod Res 38(14): 3421–3424

    Article  Google Scholar 

  19. Gopalakrishnan M, Miller D and Schmidt C (1995). A framework for modelling setup carryover in the capacitated lot sizing problem. Int J Prod Res 33: 1973–1988

    Article  Google Scholar 

  20. Gopalakrishnan M, Ding K, Bourjolly JM and Mohan S (2001). A tabu-search heuristic for the capacitated lot-sizing problem with set-up carryover. Manage Sci 47(6): 851–863

    Article  Google Scholar 

  21. Grünert T (1998). Multi-level sequence-dependent dynamic lotsizing and scheduling. Shaker, Aachen

    Google Scholar 

  22. Haase K (1994). Lotsizing and scheduling for production planning. Springer, Berlin

    Google Scholar 

  23. Haase K (1996). Capacitated lot-sizing with sequence dependent setup costs. OR Spektrum 18: 51–59

    Article  Google Scholar 

  24. Haase K (1998). Capacitated lot-sizing with linked production quantities of adjacent periods. In: Drexl, A and Kimms, A (eds) Beyond manufacturing resource planning (MRP II)—advanced models and methods for production planning, pp 127–146. Springer, Berlin

    Google Scholar 

  25. Haase K and Kimms A (2000). Lot sizing and scheduling with sequence dependent setup costs and times and efficient rescheduling opportunities. Int J Prod Econ 66: 159–169

    Article  Google Scholar 

  26. Helber S (1994). Kapazitätsorientierte Losgrößenplanung in PPS-Systemen. M&P Verlag für Wissenschaft und Forschung, Stuttgart

    Google Scholar 

  27. Heuts RMJ, Seidel HP and Selen WJ (1992). A comparison of two lot sizing-sequencing heuristics for the process industry. Eur J Oper Res 59: 413–424

    Article  Google Scholar 

  28. Hindi KS (1995a). Algorithms for capacitated, multi-item lot-sizing without set-ups. J Oper Res Soc 46: 465–472

    Article  Google Scholar 

  29. Hindi KS (1995b). Solving the single-item, capacitated dynamic lot-sizing problem with startup and reservation costs by tabu search. Comput Ind Eng 28(4): 701–707

    Article  Google Scholar 

  30. Hung YF and Chien KL (2000). A multi-class multi-level capacitated lot sizing model. J Oper Res Soc 51(11): 1309–1318

    Article  Google Scholar 

  31. Kang S, Malik K and Thomas LJ (1999). Lotsizing and scheduling on parallel machines with sequence-dependent setup costs. Manage Sci 45(2): 273–289

    Google Scholar 

  32. Karimi B, Fathemi Ghomi SMT and Wilson JM (2003). The capacitated lot sizing problem: a review of models and algorithms. Omega Int J Manage Sci 31(5): 365–378

    Article  Google Scholar 

  33. Karimi B, Fathemi Ghomi SMT and Wilson JM (2006). A tabu search heuristic for solving the CLSP with backlogging and set-up carry-over. J Oper Res Soc 57(2): 140–147

    Google Scholar 

  34. Katok E, Lewis HS and Harrison TP (1998). Lot sizing in general assembly systems with setup costs, setup times, and multiple constrained resources. Manage Sci 44(6): 859–877

    Google Scholar 

  35. Kleindorfer P and Newson E (1975). A lower bounding structure for lot-size scheduling problems. Oper Res 23(2): 299–311

    Google Scholar 

  36. Kuik R, Salomon M and Van Wassenhove LN (1994). Batching decisions: structure and models. Eur J Oper Res 75(2): 243–263

    Article  Google Scholar 

  37. Laguna M (1999). A heuristic for production scheduling and inventory control in the presence of sequence-dependent setup-times. IIE Trans 31: 125–134

    Google Scholar 

  38. Maes J and Van Wassenhove LN (1988). Multi-item single-level capacitated dynamic lot-sizing heuristics: a general review. J Oper Res Soc 39(11): 991–1004

    Article  Google Scholar 

  39. Maes J, McClain JO and Van Wassenhove LN (1991). Multilevel capacitated lotsizing complexity and LP-based heuristics. Eur J Oper Res 53: 131–148

    Article  Google Scholar 

  40. Meyr H (1999). Simultane Losgrößen- und Reihenfolgeplanung für kontinuierliche Produktionslinien – Modelle und Methoden im Rahmen des Supply Chain Management. Gabler, Wiesbaden

    Google Scholar 

  41. Meyr H (2000). Simultaneous lotsizing and scheduling by combining local search with dual reoptimization. Eur J Oper Res 120(2): 311–326

    Article  Google Scholar 

  42. Meyr H (2002). Simultaneous lotsizing and scheduling on parallel machines. Eur J Oper Res 139(2): 277–292

    Article  Google Scholar 

  43. Millar HH and Yang M (1993). An application of lagrangean decomposition to the capacitated multi-item lot sizing problem. Comput Oper Res 20(4): 409–420

    Article  Google Scholar 

  44. Millar HH and Yang M (1994). Lagrangian heuristics for the capacitated multi-item lot-sizing problem with backordering. Int J Prod Econ 34(1): 1–15

    Article  Google Scholar 

  45. Miller AJ, Nemhauser GL and Savelsbergh MWP (2000). On the capacitated lot-sizing and continuous 0–1 knapsack polyhedra. Eur J Oper Res 125: 298–315

    Article  Google Scholar 

  46. Moursli O and Pochet Y (2000). A branch-and-bound algorithm for the hybrid flowshop. Int J Prod Econ 64: 113–125

    Article  Google Scholar 

  47. Özdamar L and Barbarosoglu G (1999). Hybrid heuristics for the multi-stage capacitated lot sizing and loading problem. J Oper Res Soc 50: 810–825

    Article  Google Scholar 

  48. Özdamar L and Birbil SI (1998). Hybrid heuristics for the capacitated lot sizing and loading problem with setup times and overtime decisions. Eur J Oper Res 110(3): 525–547

    Article  Google Scholar 

  49. Özdamar L and Bozyel MA (2000). The capacitated lot sizing problem with overtime decisions and setup times. IIE Trans 32(11): 1043–1057

    Google Scholar 

  50. Pochet Y and Wolsey L (1988). Lot size models with back-logging: strong reformulations and cutting planes. Math Program 40: 317–335

    Article  Google Scholar 

  51. Quadt D (2004) Lot-sizing and scheduling for flexible flow lines. Lecture Notes in Economics and Mathematical Systems, Springer, Berlin

  52. Quadt D, Kuhn H (2004) Capacitated lot-sizing and scheduling with parallel machines, back-orders and setup carry-over. Working paper, Ingolstadt School of Management, Catholic University of Eichstätt-Ingolstadt, Ingolstadt, Germany

  53. Quadt D and Kuhn H (2005). A conceptual framework for lot-sizing and scheduling of flexible flow lines. Int J Prod Res 43(11): 2291–2308

    Article  Google Scholar 

  54. Riane F (1998) Scheduling hybrid flowshops: algorithms and applications. Ph.D. thesis, Facultés Universitaires Catholiques de Mons

  55. Selen WJ and Heuts RMJ (1990). Operational production planning in a chemical manufacturing environment. Eur J Oper Res 45: 38–46

    Article  Google Scholar 

  56. Smith-Daniels VL and Ritzman LP (1988). A model for lot-sizing and sequencing in process industries. Int J Prod Res 26: 647–674

    Article  Google Scholar 

  57. Smith-Daniels VL and Smith-Daniels DE (1986). A mixed integer programming model for lot sizing and sequencing packaging lines in the process industries. IIE Trans 18: 278–285

    Article  Google Scholar 

  58. Sox CR and Gao Y (1999). The capacitated lot sizing problem with setup carry-over. IIE Trans 31: 173–181

    Google Scholar 

  59. Stadtler H (1996). Mixed integer programming model formulations for dynamic multi-item multi-level capacitated lotsizing. Eur J Oper Res 94(3): 561–581

    Article  Google Scholar 

  60. Sürie C (2005) Time continuity in discrete time models. Lecture Notes in Economics and Mathematical Systems, Springer, Berlin

  61. Sürie C and Stadtler H (2003). The capacitated lot-sizing problem with linked lot-sizes. Manage Sci 49(8): 1039–1054

    Article  Google Scholar 

  62. Tempelmeier H and Derstroff M (1996). A lagrangean-based heuristic for dynamic multilevel multiitem constrained lotsizing with setup times. Manage Sci 42(5): 738–757

    Google Scholar 

  63. Tempelmeier H and Helber S (1994). A heuristic for the dynamic multi-item multi-level capacitated lotsizing for general product structures. Eur J Oper Res 75: 296–311

    Article  Google Scholar 

  64. Tempelmeier H and Helber S (1995). Lot sizing in capacitated production planning and control systems. OR Spectrum 17(1): 5–18

    Google Scholar 

  65. Thizy JM and Van Wassenhove LN (1985). Lagrangean relaxation for the multi-item capacitated lot-sizing problem: a heuristic implementation. IIE Trans 17(4): 308–313

    Article  Google Scholar 

  66. Trigeiro WW, Thomas LJ and McClain JO (1989). Capacitated lot sizing with setup times. Manage Sci 35(3): 353–366

    Google Scholar 

  67. Voss S (1999). The steiner tree problem with hop constraints. Ann Oper Res 86: 321–345

    Article  Google Scholar 

  68. Wittrock RJ (1988). An adaptable scheduling algorithm for flexible flow lines. Oper Res 36(4): 445–453

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Heinrich Kuhn.

Rights and permissions

Reprints and permissions

About this article

Cite this article

Quadt, D., Kuhn, H. Capacitated lot-sizing with extensions: a review. 4OR 6, 61–83 (2008). https://doi.org/10.1007/s10288-007-0057-1

Download citation

  • Received:

  • Revised:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s10288-007-0057-1

Keywords

MSC Classification (2000)

Navigation