Communication to the Editor—A Note on Krone's Economic Lot-Size Formulas

When many products are to be manufactured on the same production facility we can avoid product interference, and thus obtain a feasible production schedule, by requiring all products to have the same cycle time T. In this way Krone, [Krone, L. H. Jr. 1964. A note on economic lot-sizes for multipurpose equipment. Management Sci. 10 (3, April).], develops formulas for determining economic lot-sizes for multipurpose equipment. The author treats the case where backorders are permissible with a cost of backorder proportional to the length of time for which the backorder exists. The purpose of this note is to include a fixed cost of backorder into the formulas.

• 저널Management Science · 12(3) · 314–315
• 토픽Operations Management Techniques · Management Science and Operations Research
• DOI10.1287/mnsc.12.3.314
• 저자James A. Parsons