Modeling multiple stage manufacturing systems with generalized costs and capacity issues

This study introduces one modeling methodology that describes a broad range of multiple stage production planning issues, including multiple limited resources with setup times and joint fixed cost relationships. An existing production system is modeled in this fashion, creating a new set of 1350 highly generalized benchmark problems. A computational study is conducted with the 1350 benchmark problems introduced in this paper and 2100 benchmark problems, with more restrictive assumptions, from the existing literature. The relative merits of a decomposition-based algorithm and a neighborhood search technique known as NIPPA, or the Non-sequential Incremental Part Period Algorithm, are assessed. NIPPA is generally the more successful of the two techniques, although there are specific instances in which the decomposition-based algorithm displayed a distinct advantage. © 2005 Wiley Periodicals, Inc. Naval Research Logistics, 2005

[1]  Cerry M. Klein,et al.  Constrained multi-item inventory systems: An implicit approach , 1993, Comput. Oper. Res..

[2]  Joseph D. Blackburn,et al.  Improved heuristics for multistage requirements planning systems , 1982 .

[3]  S. Selçuk Erengüç,et al.  Improved heuristic methods for multiple stage production planning , 1998, Comput. Oper. Res..

[4]  Linet Özdamar,et al.  Analysis of solution space-dependent performance of simulated annealing: the case of the multi-level capacitated lot sizing problem , 2000, Comput. Oper. Res..

[5]  M. H. Wagner,et al.  Dynamic Lot Size Models for Multi-Stage Assembly Systems , 1973 .

[6]  N. C. Simpson.  Multiple level production planning in rolling horizon assembly environments , 1999, Eur. J. Oper. Res..

[7]  James H. Bookbinder,et al.  Production planning for mixed assembly/arborescent systems , 1990 .

[8]  U. Karmarkar,et al.  Computationally Efficient Optimal Solutions to the Lot-Sizing Problem in Multistage Assembly Systems , 1984 .

[9]  Joseph R. Biggs.  Priority rules for shop floor control in a material requirements planning system under various levels of capacity , 1985 .

[10]  John O. McClain,et al.  Mathematical Programming Approaches to Capacity-Constrained MRP Systems: Review, Formulation and Problem Reduction , 1983 .

[11]  Mark A. McKnew,et al.  An Improved Heuristic for Multilevel Lot Sizing in Material Requirements Planning , 1991 .

[12]  H. Tempelmeier,et al.  A Lagrangean-based heuristic for dynamic multilevel multiitem constrained lotsizing with setup times , 1996 .

[13]  Joseph R. Biggs.  HEURISTIC LOT-SIZING AND SEQUENCING RULES IN A MULTISTAGE PRODUCTION-INVENTORY SYSTEM , 1979 .

[14]  Emre A. Veral,et al.  THE PERFORMANCE OF A SIMPLE INCREMENTAL LOT‐SIZING RULE IN A MULTILEVEL INVENTORY ENVIRONMENT , 1985 .

[15]  Bala Shetty,et al.  A Model for Resource Constrained Production and Inventory Management , 1994 .

[16]  D. Collier.  Aggregate Safety Stock Levels and Component Part Commonality , 1982 .

[17]  W. Zangwill.  A Backlogging Model and a Multi-Echelon Model of a Dynamic Economic Lot Size Production System---A Network Approach , 1969 .

[18]  Larry P. Ritzman,et al.  A heuristic algorithm for capacity sensitive requirements planning , 1985 .

[19]  S. Selcuk Erenguc,et al.  A multifamily dynamic lot‐sizing model with coordinated replenishments , 1990 .

[20]  Linet Özdamar,et al.  An integrated Lagrangean relaxation-simulated annealing approach to the multi-level multi-item capacitated lot sizing problem , 2000 .

[21]  William W. Trigeiro,et al.  Capacitated lot sizing with setup times , 1989 .

[22]  Chee-Chuong Sum,et al.  A New Framework for Manufacturing Planning and Control Systems , 1993 .

[23]  Bezalel Gavish,et al.  Optimal Lot-Sizing Algorithms for Complex Product Structures , 1986, Oper. Res..

[24]  L. V. Wassenhove,et al.  Some extensions of the discrete lotsizing and scheduling problem , 1991 .

[25]  L. J. Thomas,et al.  Heuristics for multilevel lot-sizing with a bottleneck , 1986 .

[26]  Robin Roundy.  Efficient, Effective Lot Sizing for Multistage Production Systems , 1993, Oper. Res..

[27]  Harish C. Bahl,et al.  A Lagrangean Relaxation Approach for Very-Large-Scale Capacitated Lot-Sizing , 1992 .

[28]  S. Selcuk Erenguc,et al.  Modeling the order picking function in supply chain systems: formulation, experimentation, and insights , 2001 .

[29]  H. Albert Napier,et al.  Optimal Multi-Level Lot Sizing for Requirements Planning Systems , 1980 .

[30]  Kum Khiong Yang,et al.  Effects of Product Structure Complexity on Multi-Level Lot Sizing , 1993 .

[31]  Laurence A. Wolsey,et al.  Multi-item lot-sizing problems using strong cutting planes , 1991 .