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Optimal lot size determination of multistage production system
Applications of Mathematics, Tome 23 (1978) no. 2, pp. 81-97
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This paper deals with the optimization of total setup plus inventory cost of a certain class of the multistage inventory-production systems with the series arranged production stages having generally different production rates, separated by stores from each other. The optimization is made by the choice of lot sizes across an infinite time horizon. The exact cost-optimization algorithm based on the Bellman optimality principle is derived and applied for deriving two lower bounds of the optimal cost of the above class of systems. These lowe bounds improve that derived by Crowston, Wagner and Williams. Two numerical examples are given.
This paper deals with the optimization of total setup plus inventory cost of a certain class of the multistage inventory-production systems with the series arranged production stages having generally different production rates, separated by stores from each other. The optimization is made by the choice of lot sizes across an infinite time horizon. The exact cost-optimization algorithm based on the Bellman optimality principle is derived and applied for deriving two lower bounds of the optimal cost of the above class of systems. These lowe bounds improve that derived by Crowston, Wagner and Williams. Two numerical examples are given.
DOI : 10.21136/AM.1978.103734
Classification : 90B05, 90B30, 90C50
Keywords: dynamic multistage; inventory-production system; production stages; infinite horizon; dynamic model; application of dynamic programming; algorithmic computation of optimal solution 
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Klapka, Jindřich L. Optimal lot size determination of multistage production system. Applications of Mathematics, Tome 23 (1978) no. 2, pp. 81-97. doi: 10.21136/AM.1978.103734

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[11] J. L. Klapka: Optimization of Multistage Production System. Quaderno dei gruppi di ricerca matematica del C. N. R., B 14. Editrice tecnico scientifica-- Pisa, Università di Pisa, dipartimento di ricerca operativa e scienze statistiche. Pisa 1975.

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