A price-directed heuristic for the economic lot scheduling problem

Daniel Adelman and Christiane Barz

IISE Transactions, 2014, vol. 46, issue 12, 1343-1356

Abstract: The article formulates the well-known economic lot scheduling problem (ELSP) with sequence-dependent setup times and costs as a semi-Markov decision process. Using an affine approximation of the bias function, a semi-infinite linear program is obtained and a lower bound for the minimum average total cost rate is determined. The solution of this problem is directly used in a price-directed, dynamic heuristic to determine a good cyclic schedule. As the state space of the ELSP is non-trivial for the multi-product setting with setup times, the authors further illustrate how a lookahead version of the price-directed, dynamic heuristic can be used to construct and dynamically improve an approximation of the state space. Numerical results show that the resulting heuristic performs competitively with one reported in the literature.

Date: 2014
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://hdl.handle.net/10.1080/0740817X.2014.905733 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:uiiexx:v:46:y:2014:i:12:p:1343-1356

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/uiie20

DOI: 10.1080/0740817X.2014.905733

Access Statistics for this article

IISE Transactions is currently edited by Jianjun Shi

More articles in IISE Transactions from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().