LOT SIZING UNDER DYNAMIC DEMAND CONDITIONS - A REVIEW

The paper discusses the state of the art of lot sizing under dynamic demand conditions, i. e. when to produce and in what quantities, the influence of demand uncertainty on lot-sizing decisions, and the impact of the use of a rolling planning horizon. The emphasis is on techniques which are practical enough to be used in actual Materials Requirements Planning systems, as well as on the theoretical bases that support these techniques. The main research areas on dynamic lot sizing are given, and for each topic the most relevant contributions are discussed.