An algorithm for the serial capacitated economic lot-sizing problem with non-speculative costs and stationary capacities

Abstract

We address the serial capacitated economic lot-sizing problem under particular assumptions on the costs and the capacity pattern. We prove that when the involved costs are non-speculative with respect to the transfer to future periods and the capacity pattern is stationary for all levels, the optimal plan for each level can be obtained independently in O(T 3) time. This leads to an O(T 3L) algorithm for the problem with L levels. and the capacity pattern is stationary for all levels, the optimal plan for each level can be obtained independently in O(T 3) time. This leads to an O(T 3L) algorithm for the problem with L levels.