Abstract
We consider two multi-product dynamic lot size models with one-way substitution, where the products can be indexed such that a lower-index product may be used to substitute for the demand of a higher-index product. In the first model, the product used to meet the demand of another product must be physically transformed into the latter and incur a conversion cost. In the second model, a product can be directly used to satisfy the demand for another product without requiring any physical conversion. Both problems are generally computationally intractable. We develop dynamic programming algorithms that solve the problems in polynomial time when the number of products is fixed. A heuristic is also developed, and computational experiments are conducted to test the effectiveness of the heuristic and the efficiency of the optimal algorithm. Copyright © "IIE".
| Original language | English |
|---|---|
| Pages (from-to) | 201-215 |
| Journal | IIE Transactions (Institute of Industrial Engineers) |
| Volume | 37 |
| Issue number | 3 |
| DOIs | |
| Publication status | Published - Mar 2005 |
| Externally published | Yes |
Bibliographical note
Publication details (e.g. title, author(s), publication statuses and dates) are captured on an “AS IS” and “AS AVAILABLE” basis at the time of record harvesting from the data source. Suggestions for further amendments or supplementary information can be sent to [email protected].Funding
This work was supported in part by the Research Grants Council of Hong Kong under grant PolyU6132/02E. The authors would also like to thank the four anonymous referees for their helpful comments and suggestions.
RGC Funding Information
- RGC-funded