
Dynamic lot sizing: Silver-Meal procedure
The
Single-Level Uncapacitated LotSizing Problem (SLULSP) is computed with the heuristic
procedure due to Silver and Meal.

The
algorithm is also available in the module MRP successive
planning .
Symbols:
| t,i
|
indices
of periods |
| s
|
setup
costs |
| h |
holding cost |
| D(t) |
demand
in period t |
| cpert(t,i) |
average
costs per period if the total demand of the interval t to i is produced
in period t |
Assumptions:
- deterministic
dynamic demands
-
deterministic setup costs and holding costs
- no capacity
consideration
Literature:
-
Nahmias (1997), Chapter 6.3
|