• Title/Summary/Keyword: Lot-Sizing

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Dynamic Lot-Sizing Model with Production Time Windows under Nonspeculative Cost Structure (비모의성 비용구조와 생산납기구간 환경에서의 동적롯사이징 모델)

  • Hwang Hark-Chin
    • Proceedings of the Korean Operations and Management Science Society Conference
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    • 2006.05a
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    • pp.133-136
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    • 2006
  • We consider dynamic lot-sizing model with production time windows where each of n demands has earliest due date and latest due date and it must be satisfied during the given time window. For the case of nonspeculative cost structure, an O(nlog n) time procedure is developed and it is shown to run in O(n) when demands come in the order of latest due dates.

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A Study on the Effective Inventory Management by Optimizing Lot Size in Building Construction (건설공사의 적정 Lot Size 결정에 의한 효율적인 재고관리 방안에 관한 연구)

  • Kim, Sang-Hoon;Kim, Gwang-Hee;Kang, Kyung-In
    • Journal of the Korea Institute of Building Construction
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    • v.4 no.2
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    • pp.73-80
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    • 2004
  • The purpose of this study was to look up the proper inventory management system in construction industry. it is important for construction company to improve competitiveness and to reduce construction cost. Lot-sizing techniques were applied to rebar procurement in apartment project. The results of this study were as follows; the method of Groff's marginal cost showed the best performance of other techniques and the method of Norman showed a similar result.

A Heuristic for Service-Parts Lot-Sizing with Disassembly Option (분해옵션 포함 서비스부품 로트사이징 휴리스틱)

  • Jang, Jin-Myeong;Kim, Hwa-Joong;Son, Dong-Hoon;Lee, Dong-Ho
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.44 no.2
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    • pp.24-35
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    • 2021
  • Due to increasing awareness on the treatment of end-of-use/life products, disassembly has been a fast-growing research area of interest for many researchers over recent decades. This paper introduces a novel lot-sizing problem that has not been studied in the literature, which is the service-parts lot-sizing with disassembly option. The disassembly option implies that the demands of service parts can be fulfilled by newly manufactured parts, but also by disassembled parts. The disassembled parts are the ones recovered after the disassembly of end-of-use/life products. The objective of the considered problem is to maximize the total profit, i.e., the revenue of selling the service parts minus the total cost of the fixed setup, production, disassembly, inventory holding, and disposal over a planning horizon. This paper proves that the single-period version of the considered problem is NP-hard and suggests a heuristic by combining a simulated annealing algorithm and a linear-programming relaxation. Computational experiment results show that the heuristic generates near-optimal solutions within reasonable computation time, which implies that the heuristic is a viable optimization tool for the service parts inventory management. In addition, sensitivity analyses indicate that deciding an appropriate price of disassembled parts and an appropriate collection amount of EOLs are very important for sustainable service parts systems.

An Adaptive Genetic Algorithm for a Dynamic Lot-sizing and Dispatching Problem with Multiple Vehicle Types and Delivery Time Windows (다종의 차량과 납품시간창을 고려한 동적 로트크기 결정 및 디스패칭 문제를 위한 자율유전알고리즘)

  • Kim, Byung-Soo;Lee, Woon-Seek
    • Journal of Korean Institute of Industrial Engineers
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    • v.37 no.4
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    • pp.331-341
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    • 2011
  • This paper considers an inbound lot-sizing and outbound dispatching problem for a single product in a thirdparty logistics (3PL) distribution center. Demands are dynamic and finite over the discrete time horizon, and moreover, each demand has a delivery time window which is the time interval with the dates between the earliest and the latest delivery dates All the product amounts must be delivered to the customer in the time window. Ordered products are shipped by multiple vehicle types and the freight cost is proportional to the vehicle-types and the number of vehicles used. First, we formulate a mixed integer programming model. Since it is difficult to solve the model as the size of real problem being very large, we design a conventional genetic algorithm with a local search heuristic (HGA) and an improved genetic algorithm called adaptive genetic algorithm (AGA). AGA spontaneously adjusts crossover and mutation rate depending upon the status of current population. Finally, we conduct some computational experiments to evaluate the performance of AGA with HGA.

An Alternative Modeling for Lot-sizing and Scheduling Problem with a Decomposition Based Heuristic Algorithm (로트 크기 결정 문제의 새로운 혼합정수계획법 모형 및 휴리스틱 알고리즘 개발)

  • Han, Junghee;Lee, Youngho;Kim, Seong-in;Park, Eunkyung
    • Journal of Korean Institute of Industrial Engineers
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    • v.33 no.3
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    • pp.373-380
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    • 2007
  • In this paper, we consider a new lot-sizing and scheduling problem (LSSP) that minimizes the sum of production cost, setup cost and inventory cost. Setup carry-over and overlapping as well as demand splitting are considered. Also, maximum number of setups for each time period is not limited. For this LSSP, we have formulated a mixed integer programming (MIP) model, of which the size does not increase even if we divide a time period into a number of micro time periods. Also, we have developed an efficient heuristic algorithm by combining decomposition scheme with local search procedure. Test results show that the developed heuristic algorithm finds good quality (in practice, even better) feasible solutions using far less computation time compared with the CPLEX, a competitive MIP solver.

Setup Cost Reduction in a Multi-Product Dynamic Lot-Sizing Model (다종제품의 동적 로트크기결정 모형에서의 생산준비비용 절감효과에 관한 연구)

  • Lee, Woon-Seek;Joo, Chul-Min
    • IE interfaces
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    • v.13 no.2
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    • pp.217-224
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    • 2000
  • This paper analyzes the effects of setup cost reduction in a dynamic lot-sizing model for a single-facility multi-product problem. In the model, demands for each product are known, no backlogging is allowed, and a single resource is employed. Also, setup cost is defined as a function of capital expenditure to invest in setup cost reduction. Furthermore, in each production period the facility (or plant) produces many products, each representing a fixed part of the involved production activity (or input resource quantity). In this paper, the structure of the optimal solution is characterized and an efficient algorithm is proposed for simultaneously determining the optimal lot size with reduced setup cost and the optimal investment in setup cost reduction. Also, the proposed algorithm is illustrated by a numerical example with a linear and an exponential setup reduction functions.

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Optimal Design of Batch-Storage Network with Finite Intermediate Storage (저장조 용량제약이 있는 회분식 공정-저장조 그물망 구조의 최적설계)

  • Kim, Hyung-Min;Kim, Kyoo-Nyun;Lee, Gyeong-Beom
    • Journal of Institute of Control, Robotics and Systems
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    • v.7 no.10
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    • pp.867-873
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    • 2001
  • The purpose of this study is to find analytic solution of determining the optimal capacity (lot-size) of multiproduct acyclic multistage production and inventory system to meet the finished product demand under the constraint of finite intermediate storage. Intermediate storage is a practical way to mitigate the material flow imbalance through the line of supply and demand chain. However, the cost of constructing and operating storage facilities is becoming substantial because of increasing land value, environmental and safety concern. Therefore, reasonable decision-making about the capacity of processes and storage units is an important subject for industries. The industrial solution for this subject is to use the classical economic lot sizing method, EOQ/EPQ(Economic Order Quantity/Economic Production Quantity) model, incorporated with practical experience. But EOQ/EPQ model is not suitable for the chemical plant design with highly interlinked processes and storage units because it is developed based on single product and single stage. This study overcomes the limitation of the classical lot sizing method. The superstructure of the plant consists of the network of serially and/or parallelly interlinked non-continuous processes and storage units. The processes transform a set of feedstock materials into another set of products with constant conversion factors. A novel production and inventory analysis method, PSW(Periodic Square Wave) model, is applied to describe the detail material flows among equipments. The objective function of this study is minimizing the total cost composed of setup and inventory holding cost. The advantage of PSW model comes from the fact that the model provides a set of simple analytic solutions in spite of realistic description of the material flows between processes and storage units. the resulting simple analytic solution can greatly enhance the proper and quick investment decision for the preliminary plant design problem confronted with economic situation.

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Genetic Algorithms for a Multi-product Dynamic Lot-sizing and Dispatching Problem with Delivery Time Windows and Multi-vehicle Types (납품시간창과 다종차량을 고려한 다종제품 동적로트크기결정 및 디스패칭 문제를 위한 유전 알고리즘)

  • Kim, Byung Soo;Chae, Syungkyu;Lee, Woon-Seek
    • Journal of Korean Institute of Industrial Engineers
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    • v.41 no.3
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    • pp.233-242
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    • 2015
  • This paper analyzes a multi-product inbound lot-sizing and outbound dispatching problem with multi-vehicle types in a third-party logistics distribution center. The product must be delivered to the customers within the delivery time window and backlogging is not allowed. Replenishing orders are shipped by several types of vehicles with two types of the freight costs, i.e., uniform and decreasing, are considered. The objective of this study is to determine the lot-size and dispatching schedules to minimize the total cost with the sum of inbound and outbound transportation and inventory costs over the entire time horizon. In this study, we mathematically derive a mixed-integer programming model and propose a genetic algorithm (GA1) based on a local search heuristic algorithm to solve large-scale problems. In addition, we suggest a new genetic algorithm (GA2) with an adjusting algorithm to improve the performance of GA1. The basic mechanism of the GA2 is to provide an unidirectional partial move of products to available containers in the previous period. Finally, we analyze the results of GA1 and GA2 by evaluate the relative performance using the gap between the objective values of CPLEX and the each algorithm.