Combining the principles of variable neighborhood decomposition search and the fix&optimize heuristic to solve multi-level lot-sizing and scheduling problems

Authors:
F. Seeanner;B. Almada-Lobo;H. Meyr
Affiliations:
Fachgebiet Produktion & Supply Chain Management, Technische Universitäät Darmstadt, Hochschulstr, 1 64 289 Darmstadt, Germany;Fachgebiet Produktion & Supply Chain Management, Technische Universitäät Darmstadt, Hochschulstr, 1 64 289 Darmstadt, Germany;Fachgebiet Produktion & Supply Chain Management, Technische Universitäät Darmstadt, Hochschulstr, 1 64 289 Darmstadt, Germany
Venue:
Computers and Operations Research
Year:
2013

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Abstract

In this paper a new heuristic is proposed to solve general multi-level lot-sizing and scheduling problems. The idea is to cross-fertilize the principles of the meta-heuristic Variable Neighborhood Decomposition Search (VNDS) with those of the MIP-based Fix&Optimize heuristic. This combination will make it possible to solve the kind of problems that typically arise in the consumer goods industry due to sequence-dependent setups and shifting bottlenecks. In order to demonstrate the strength of this procedure, a GLSP variant for multiple production stages is chosen as a representative. With the help of artificial and real-world instances, the quality of the solution as well as the computational performance of the new procedure is tested and compared to a standard MIP-solver.