An implementation of Lagrangian decomposition in solving a multi-item production scheduling problem with changeover cost and restrictions

This paper considers a production system where several products are manufactured over several time periods with specified demand levels. The minimal changeover and holding cost problem is formulated as a mixed integer program model. An efficient heuristic method is proposed by decomposing the problem into a pair of network subproblems. Some computational results showing the efficiency of the method are presented for a set of test problems. Finally, extensions to the general problem are discussed.