Research Article

Fix-and-Optimize and Variable Neighborhood Search Approaches for Stochastic Multi-Item Capacitated Lot-Sizing Problems

Table 7

Instance generator settings.

Symbol Definition Assumptions and settings

Indices and sets:
Products used to fulfill demand Set up using clustering algorithm such as K-means clustering and hierarchical clustering after every attribute of products is realized
Products that are produced by resource Set up for randomly chosen product
Deterministic parameters:
Setup cost See (A.4)
Unit production cost See (A.3)
Unit holding cost 2% of the unit production cost
Unit capacity See (A.2)
Setup time capacity See (A.1)
Available capacities See (A.6)
Unit backlogging Penalty cost50 ×
Overtime cost See (A.7)
Demand coefficient Set for all and .
Initial inventory ~, with
Random parameters:
Demand Normally distributed, stationary across period horizons, but different mean and variation coefficient for each demand: ~ (with values cut-off), with and