An informative column generation and decomposition method for a production planning and facility location problem

Zhe Liang, Yan He, Tao Wu and Canrong Zhang

International Journal of Production Economics, 2015, vol. 170, issue PA, 88-96

Abstract: This paper develops an informative column generation and decomposition method for a capacitated multi-item lot sizing and facility location problem with backlogging. The method hybridizes column generation to achieve a relaxed linear solution and a lower bound and a decomposition method (i.e., relax-and-fix) to achieve a feasible solution. The two solutions are used for a neighborhood search procedure that fixes a subset of setup decision variables to iteratively reduce problem sizes. The relax-and-fix method is applied again to solve these smaller-size restricted problems with a purpose of progressively improving solution qualities. To show the effectiveness of the method, a number of computational tests are performed using newly-generated benchmark problems. Computational comparisons with a commercial solver (CPLEX) show that the proposed method provides competitive solution results.

Keywords: Production planning; Lot sizing; Facility location; Column generation; Relax-and-fix; Heuristics (search for similar items in EconPapers)
Date: 2015
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Citations: View citations in EconPapers (9)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:proeco:v:170:y:2015:i:pa:p:88-96

DOI: 10.1016/j.ijpe.2015.08.024

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