A heuristic approach for a multi-product capacitated lot-sizing problem with pricing

We address a multi-product capacitated lot-sizing problem with pricing. The objective is to maximise profit. The problem extends the multi-product capacitated lot-sizing problem (CLSP) found in the literature to include price as a decision variable, demand as a function of price, setup time, and more general holding costs. We present a heuristic procedure that can be used to solve large problem instances quickly with good solution quality. The results of computational testing are presented.     

MIP-based fix-and-optimise algorithms for the parallel machine capacitated lot-sizing and scheduling problem

This paper examines the capacitated lot-sizing and scheduling problem (CLSP) with sequence-dependent setup times, time windows, machine eligibility and preference constraints. Such a problem frequently arises in the semiconductor manufacturing industry by which this paper is motivated. A mixed integer programming (MIP) model is constructed for the problem. Two MIP-based fix-and-optimise algorithms are proposed in which the binary decision variables associated with the assignment of machines are first fixed using the randomised least flexible machine (RLFM) rule and the rest of the decision variables are settled by an MIP solver. Extensive experiments show that the proposed algorithms outperform the state-of-the-art MIP-based fix-and-optimise algorithms in the literature, especially for instances with high machine flexibility and high demand variation.     

Single machine multi-product capacitated lot sizing with sequence-dependent setups

In production planning in the glass container industry, machine-dependent setup times and costs are incurred for switch overs from one product to another. The resulting multi-item capacitated lot-sizing problem has sequence-dependent setup times and costs. We present two novel linear mixed-integer programming formulations for this problem, incorporating all the necessary features of setup carryovers. The compact formulation has polynomially many constraints, whereas the stronger formulation uses an exponential number of constraints that can be separated in polynomial time. We also present a five-step heuristic that is effective both in finding a feasible solution (even for tightly capacitated instances) and in producing good solutions to these problems. We report computational experiments.     

An efficient heuristic approach for parallel machine scheduling with job splitting and sequence-dependent setup times

In this paper, we consider a simplified real-life identical parallel machine scheduling problem with sequence-dependent setup times and job splitting to minimize makespan. We propose a heuristic to solve this problem. Our method is composed of two parts. The problem is first reduced into a single machine scheduling problem with sequence-dependent setup times. This reduced problem can be transformed into a Traveling Salesman Problem (TSP), which can be efficiently solved using Little's method. In the second part, a feasible initial solution to the original problem is obtained by exploiting the results of the first part. This initial solution is then improved in a step by step manner, taking into account the setup times and job splitting. We develop a lower bound and evaluate the performances of our heuristic on a large number of randomly generated instances. The solution given by our heuristic is less than 4.88% from the lower bound.     

Neighbourhood search meta-heuristics for capacitated lot-sizing with sequence-dependent setups

We address a problem that often arises in industry, the multi-item capacitated-lot-sizing and scheduling problem with sequence-dependent setup times and costs. Powerful commercial solvers fail to solve even medium-sized instances of this NP-hard problem, therefore we employ a tabu search and a variable neighbourhood search meta-heuristic to solve it and compare the performance of these meta-heuristics over time. In contrast to the majority of the literature on this topic, the solution representation explicitly considers production quantities and setup variables, which enables us to develop fast search heuristics. A comprehensive set of computational experiments shows the effectiveness and efficiency of the proposed approaches in solving medium- to large-sized problems.     

MIP-based heuristics for lotsizing in capacitated pure flow shop with sequence-dependent setups

Lotsizing in capacitated pure flow shop with sequence-dependent setups has been considered in this paper. An exact formulation of the problem is provided as a mixed-integer program. It is well known that the capacitated lotsizing and scheduling problem (CLSP) is NP-hard. The introduction of serially arranged machines and sequence-dependent setups makes the problem even more complicated. Five MIP-based heuristics based on iterative procedures are provided. The first three heuristics are based on the original model but to solve non-small instances of problem, the last two heuristics are based on permutation flow shop problem which ignores the majority of combinations. To test the accuracy of heuristics, two lower bounds are developed and compared against the optimal solution. The trade-offs between solution quality and computational times of heuristics are also provided.     

Asynchronous teams for joint lot-sizing and scheduling problem in flow shops

The integrated production scheduling and lot-sizing problem in a flow shop environment consists of establishing production lot sizes and allocating machines to process them within a planning horizon in a production line with machines arranged in series. The problem considers that demands must be met without backlogging, the capacity of the machines must be respected, and machine setups are sequence-dependent and preserved between periods of the planning horizon. The objective is to determine a production schedule to minimise the setup, production and inventory costs. A mathematical model from the literature is presented, as well as procedures for obtaining feasible solutions. However, some of the procedures have difficulty in obtaining feasible solutions for large-sized problem instances. In addition, we address the problem using different versions of the Asynchronous Team (A-Team) approach. The procedures were compared with literature heuristics based on Mixed Integer Programming. The proposed A-Team procedures outperformed the literature heuristics, especially for large instances. The developed methodologies and the results obtained are presented.     

A framework for modelling setup carryover in the capacitated lot sizing problem

This paper addresses the single-level capacitated lot sizing problem (CLSP) with setup carryover. Specifically, we consider a class of production planning problems in which multiple products can be produced within a time period and significant setup times are incurred when changing from one product to another. Hence, there might be instances where developing a feasible schedule becomes possible only if setups are carried over from one period to another. We develop a modelling framework to formulate the CLSP with setup times and setup carryovers. We then extend the modelling framework to include multiple machines and tool requirements planning. The need for such a model that integrates both planning and lot sizing decisions is motivated by the existence of a similar problem in a paper mill. We apply the modelling framework to solve optimally, an instance of the paper mill's problem.     

Single machine scheduling problem with stochastic sequence-dependent setup times

In this study, we consider stochastic single machine scheduling problem. We assume that setup times are both sequence dependent and uncertain while processing times and due dates are deterministic. In the literature, most of the studies consider the uncertainty on processing times or due dates. However, in the real-world applications (i.e. plastic moulding industry, appliance assembly, etc.), it is common to see varying setup times due to labour or setup tools availability. In order to cover this fact in machine scheduling, we set our objective as to minimise the total expected tardiness under uncertain sequence-dependent setup times. For the solution of this NP-hard problem, several heuristics and some dynamic programming algorithms have been developed. However, none of these approaches provide an exact solution for the problem. In this study, a two-stage stochastic-programming method is utilised for the optimal solution of the problem. In addition, a Genetic Algorithm approach is proposed to solve the large-size problems approximately. Finally, the results of the stochastic approach are compared with the deterministic one to demonstrate the value of the stochastic solution.     

The capacitated lot sizing problem with overtime decisions and setup times

The Capacitated Lot Sizing-Problem (CLSP) consists of planning the lot sizes of multiple items over a planning horizon with the objective of minimizing setup and inventory holding costs. In each period that an item is produced a setup cost is incurred. Capacity is limited and homogeneous. Here, the CLSP is extended to include overtime decisions and capacity consuming setups. The objective function consists of minimizing inventory holding and overtime costs. Setups incur costs implicitly via overtime costs, that is, they lead to additional overtime costs when setup times contribute to the use of overtime capacity in a certain period. The resulting problem becomes more complicated than the standard CLSP and requires methods different from the ones proposed for the latter. Consequently, new heuristic approaches are developed to deal with this problem. Among the heuristic approaches are the classical HPP approach and its modifications, an iterative approach omitting binary variables in the model, a Genetic Algorithm approach based on the transportation-like formulation of the single item production planning model with dynamic demand and a Simulated Annealing approach based on shifting family lot sizes among consecutive periods. Computational results demonstrate that the Simulated Annealing approach produces high quality schedules and is computationally most efficient.     

Tackling perishability in multi-level process industries

The classical multi-level lot-sizing and scheduling problem formulations for process industries rarely address perishability issues, such as limited shelf lives of intermediate products. In some industries, ignoring this specificity may result in severe losses. In this paper, we start by extending a classical multi-level lot-sizing and scheduling problem formulation (MLGLSP) to incorporate perishability issues. We further demonstrate that with the objective of minimising the total costs (purchasing, inventory and setup), the production plans generated by classical models are often infeasible under a setting with perishable products. The model distinguishes different perishability characteristics of raw materials, intermediates and end products according to various industries. Finally, we provide quantitative insights on the importance of considering perishability for different production settings when solving integrated production planning and scheduling problems.     

On the optimal lot-sizing and scheduling problem in serial-type supply chain system using a time-varying lot-sizing policy

In this paper, we solve the optimal sequencing, lot-sizing and scheduling decisions for several products manufactured through several firms in a serial-type supply chain so as to minimise the sum of setup and inventory holding costs while meeting given demand from customers. We propose a three-phase heuristic to solve this NP-hard problem using a time-varying lot- sizing approach. First, based on the theoretical results, we obtain candidate sets of the production frequencies and cycle time using a junction-point heuristic. Next, we determine the production sequences for each firm using a bin-packing method. Finally, we obtain the production times of the products for each firm in the supply chain system by iteratively solving a set of linear simultaneous equations which were derived from the constraints. Then, we choose the best solution among the candidate solutions. Based on the numerical experiments, we show that the proposed three-phase heuristic efficiently obtains feasible solutions with excellent quality which is much better than the upper-bound solutions from the common cycle approach.     

Integrated order selection and production scheduling under MTO strategy

We consider an integrated order selection and production scheduling problem where a make-to-order (MTO) manufacturer has to select a subset of the orders to process so as to maximise the total profit, and sequence-dependent setup times and costs are incurred between the manufacturing of different classes of products. The problem is formulated as the resource-constrained profitable tour problem (RCPTP) where many variants of the traveling salesman problem (TSP) are its special cases. We model the problem as an integer program and develop an efficient algorithm to solve the problem. Computational results show the efficiency as well as effectiveness of the algorithm. The benefit of the integration is shown and managerial insights are discussed with the computational experiments as well.     

Capacitated lot-sizing with sequence dependent setup costs

In this paper we consider a single-stage system where a number of different items have to be manufactured on one machine. Expenditures for the setups depend on the sequence in which items are scheduled on the machine. Holding costs are incurred for holding items in inventory. The demand of the items has to be satisfied without delay, i.e. shortages are not allowed. The objective is to compute a schedule such that the sum of holding and setup costs is minimized with respect to capacity constraints. For this problem which we call capacitated lot-sizing problem with sequence dependent setup costs (CLSD) we formulate a new model. The main differences between the new model and the discrete lot-sizing problem with sequence dependent setup costs (DLSDSD), introduced by Fleischmann, is that continuous lot-sizes are allowed and the setup state can be preserved over idle time. For the solution of the new model we present a heuristic which applies a priority rule. Since the priority values are affected by two significant parameters, we perform a local search in the parameter space to obtain low cost solutions. The solution quality is analyzed by a computational study. The comparison with optimal solutions of small instances shows that the solution quality of our heuristic is acceptable. The Fleischmann approach for the DLSPSD computes upper bounds for our new problem. On the basis of larger instances we show that our heuristic is more efficient to solve the CLSD.     

A heuristic for production scheduling and inventory control in the presence of sequence-dependent setup times

The consideration of sequence-dependent setup times is one of the most difficult aspects of production scheduling problems. This paper reports on the development of a heuristic procedure to address a realistic production and inventory control problem in the presence of sequence-dependent setup times. The problem considers known monthly demands, variable production rates, holding costs, minimum and maximum inventory levels per product, and regular and overtime capacity limits. The problem is formulated as a Mixed-Integer Program (MIP), where subtour elimination constraints are needed to enforce the generation of job sequences in each month. By relaxing the subtour elimination constraints, the MIP formulation can be used to find a lower bound on the optimal solution. CPLEX 3.0 is used to calculate lower bounds for relatively small instances of this production problem, which are then used to assess the merit of a proposed heuristic. The heuristic is based on a simple short-term memory tabu search method that coordinates linear programming and traveling salesperson solvers in the search for optimal or near-optimal production plans.     

A simulated annealing algorithm for balancing the assembly line type II problem with sequence-dependent setup times between tasks

This paper addresses the general assembly line balancing problem where the simple version is enriched by considering sequence-dependent setup times between tasks. Recently, Andres et al. (Andres, C., Miralles, C., and Pastor, R., 2008. Balancing and scheduling tasks in assembly lines with sequence-dependent setup times. European Journal of Operational Research, 187, (3), 1212–1223.) proposed the type I general assembly line balancing problem with setups (GALBPS-I) and developed a mathematical model and several algorithms for solving the problem. In a similar vein, we scrutinised the GALBPS type II problem where the challenge is to find the minimum cycle time for a predefined number of work stations. To solve the problem, we develop a mathematical model and a novel simulated annealing (SA) algorithm to solve such an NP-hard problem. We then employed the Taguchi method as an optimisation technique to extensively tune different parameters of our algorithm and make the classical SA algorithm more efficient in terms of running time and solution quality. Computational results reflected the high efficiency of the SA algorithm in both aspects.     

Multi-population genetic algorithm to solve the synchronized and integrated two-level lot sizing and scheduling problem

This paper introduces an evolutionary algorithm as a procedure to solve the Synchronized and Integrated Two-Level Lot Sizing and Scheduling Problem (SITLSP). This problem can be found in some industrial settings, mainly soft drink companies, where the production process involves two interdependent levels with decisions concerning raw material storage and soft drink bottling. The challenge is to simultaneously determine the lot-sizing and scheduling of raw materials in tanks and soft drinks in bottling lines, where setup costs and times depend on the previous items stored and bottled. A multi-population genetic algorithm approach with a novel representation of solutions for individuals and a hierarchical ternary tree structure for populations is proposed. Computational tests include comparisons with an exact approach for small-to-moderate-sized instances and with real-world production plans provided by a manufacturer.     

Equivalence of the LP relaxations of two strong formulations for the capacitated lot-sizing problem with setup times

The multi-item Capacitated Lot-Sizing Problem (CLSP) has been widely studied in the literature due to its relevance to practice, such as its application in constructing a master production schedule. The problem becomes more realistic with the incorporation of setup times since they may use up significant amounts of the available resource capacity. In this paper, we present a proof to show the linear equivalence of the Shortest Path (SP) formulation and the Transportation Problem (TP) formulation for CLSP with setup costs and times. Our proof is based on a linear transformation from TP to SP and vice versa. In our proof, we explicitly consider the case when there is no demand for an item in a period, a case that is frequently observed in the real world and in test problems in the literature. The equivalence result in this paper has an impact on the choice of model formulation and the development of solution procedures.     

生产调度与维护集成的多目标Lorenz非劣遗传优化

研究了一种单机环境下集成生产和维护的双目标优化调度问题。机床的故障间隔时间和平均维修时间服从指数分布,同时结合加工序列相关准备时间。预防性维护活动不能与作业加工同时进行,但与准备时间不相冲突。调度目标是同时最小化作业总计完成时间和机床不可得性。在问题建模的基础上,构造了一种基于Lorenz非劣关系的分类遗传算法(表示为L-NSGA-Ⅱ),详细设计了算法的核心部分。最后,通过大量计算实验,将L-NSGA-II算法与NSGA-II算法进行了比较分析,说明了L-NSGA-II算法的有效性。     

A multi-objective optimisation model to integrating flexible process planning and scheduling based on hybrid multi-objective simulated annealing

Process planning and production scheduling play important roles in manufacturing systems. In this paper we present a mixed integer linear programming (MILP) scheduling model, that is to say a slot-based multi-objective multi-product, that readily accounts for sequence-dependent preparation times (transition and set up times or machine changeover time). The proposed scheduling model becomes computationally expensive to solve for long time horizons. The aim is to find a set of high-quality trade-off solutions. This is a combinatorial optimisation problem with substantially large solution space, suggesting that it is highly difficult to find the best solutions with the exact search method. To account for this, the hybrid multi-objective simulated annealing algorithm (MOHSA) is proposed by fully utilising the capability of the exploration search and fast convergence. Two numerical experiments have been performed to demonstrate the effectiveness and robustness of the proposed algorithm.