Dynamic lot‐sizing model with production time windows

We consider a dynamic lot‐sizing model with production time windows where each of n demands has earliest and latest production due dates and it must be satisfied during the given time window. For the case of nonspeculative cost structure, an O ( n log n ) time procedure is developed and it is shown to run in O ( n ) when demands come in the order of latest production due dates. When the cost structure is somewhat general fixed plus linear that allows speculative motive, an optimal procedure with O ( T 4 ) is proposed where T is the length of a planning horizon. Finally, for the most general concave production cost structure, an optimal procedure with O ( T 5 ) is designed. © 2007 Wiley Periodicals, Inc. Naval Research Logistics, 2007