Economic production quantity (EPQ) model in ‘pull’ managed single-machine multi-item production systems

Rossella Pozzi (), Tommaso Rossi () and Matteo Salani ()
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Rossella Pozzi: LIUC
Tommaso Rossi: LIUC
Matteo Salani: IDSIA

Annals of Operations Research, 2024, vol. 332, issue 1, No 5, 85-105

Abstract: Abstract For decades researchers have been facing the issue of adapting the economic production quantity (EPQ) to the case of multi-item production contexts characterised by a single (shared) resource with finite capacity. The economic lot scheduling problem (ELSP), which is still of interest to researchers, has addressed this issue. A recent attempt by Rossi et al. (Omega 71:106–113, 2017) addressed the problem while avoiding scheduling. Notwithstanding their relevance, these approaches present limitations in adapting the EPQ model to multi-product ‘pull’ production systems. The present work attempts to overcome these limitations through the development of a methodology based on the equation proposed by Mallya (1992) and restricting items production frequencies to define feasible solutions while avoiding scheduling. The feasibility and performance of the proposed model are evaluated through its application to well-known benchmarking instances (Bomberger’s, Eilon’s and Mallya’s problems) and a large set of test problems.

Keywords: Economic production quantity; Single-machine multi-item system; MILNP; Lot sizing; ELSP; Production frequences (search for similar items in EconPapers)
Date: 2024
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DOI: 10.1007/s10479-023-05509-w

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