Capacitated Lot-Sizing Problem with Sequence-Dependent Setup, Setup Carryover and Setup Crossover

Abstract

Since setup operations have significant impacts on production environments, the capacitated lot-sizing problem considering arbitrary length of setup times helps to develop flexible and efficient production plans. This study discusses a capacitated lot-sizing problem with sequence-dependent setup, setup carryover and setup crossover. A new mixed integer programming formulation is proposed. The formulation is based on three building blocks: the facility location extended formulation; the setup variables with indices for the starting and the completion time periods; and exponential number of generalized subtour elimination constraints (GSECs). A separation routine is adopted to generate the violated GSECs. Computational experiments show that the proposed formulation outperforms models from the literature.