An optimal procedure for the coordinated replenishment dynamic lot-sizing problem with quantity discounts

2000-12-01
Chung, CS
Hum, SH
Kirca, O
We consider in this paper the coordinated replenishment dynamic lot-sizing problem when quantity discounts are offered. In addition to the coordination required due to the presence of major and minor setup costs, a separate element of coordination made possible by the offer of quantity discounts needs to be considered as well. The mathematical programming formulation for the incremental discount version of the extended problem and a tighter reformulation of the problem based on variable redefinition are provided. These then serve as the basis for the development of a primal-dual based approach that yields a strong lower bound for our problem. This lower bound is then used in a branch and bound scheme to find an optimal solution to the problem. Computational results for this optimal solution procedure are reported in the paper. (C) 2000 John Wiley & Sons, Inc.

Suggestions

A bicriteria rescheduling problem on unrelated parallel machines : network flow and enumeration based approaches
Özlen, Melih; Azizoğlu, Meral; Department of Industrial Engineering (2006)
This study considers bicriteria approaches to the minimum cost network flow problem and a rescheduling problem where those approaches find their applications. For the bicriteria integer minimum cost network flow problem, we generate all efficient solutions in two phases. The first phase generates the extreme supported efficient points that are the extreme points of the objective space of the continuous bicriteria network flow problem. In the second phase, we generate the nonextreme supported and unsupported...
The Impact of Modeling on Robust Inventory Management Under Demand Uncertainty
Solyali, Oguz; Cordeau, Jean-Francois; Laporte, Gilbert (2016-04-01)
This study considers a basic inventory management problem with nonzero fixed order costs under interval demand uncertainty. The existing robust formulations obtained by applying well-known robust optimization methodologies become computationally intractable for large problem instances due to the presence of binary variables. This study resolves this intractability issue by proposing a new robust formulation that is shown to be solvable in polynomial time when the initial inventory is zero or negative. Becau...
A branch and bound algorithm for project scheduling problem with discounted cash flows
COMERT, ALİCAN; Azizoğlu, Meral (2016-12-01)
In this study, we consider a project payment model with discounted cash flows. We assume that the client payment times are defined in the project contract. The activities are characterised by their processing times and costs that are incurred at their completion times. Our problem is to find the activity completion times so as to maximise the net present value of the client payments and activity costs. We show that the problem is strongly NP-hard. We formulate the problem as a mixed integer nonlinear progra...
A branch and bound algorithm to minimize the total weighted flowtime for the two-stage assembly scheduling problem
Tozkapan, A; Kirca, O; Chung, CS (2003-02-01)
In this paper, a two-stage assembly scheduling problem is considered with the objective of minimizing the total weighted flowtime. A lower bounding procedure and a dominance criterion are developed and incorporated into a branch and bound procedure. A heuristic procedure is also used to derive an initial upper bound. Computational results of the algorithm are presented.
An exact algorithm for the minimum squared load assignment problem
Karsu, Özlem; Azizoğlu, Meral (Elsevier BV, 2019-06)
In this study, we consider an assignment problem with the objective to minimize the sum of squared loads over all agents. We provide mixed integer nonlinear and linear programming formulations of the problem and present a branch and bound algorithm for their solution. The results of our computational experiment have shown the satisfactory behavior of our branch and bound algorithm.
Citation Formats
C. Chung, S. Hum, and O. Kirca, “An optimal procedure for the coordinated replenishment dynamic lot-sizing problem with quantity discounts,” NAVAL RESEARCH LOGISTICS, pp. 686–695, 2000, Accessed: 00, 2020. [Online]. Available: https://hdl.handle.net/11511/66936.