Variable neighborhood descent heuristic for solving reverse logistics multi-item dynamic lot-sizing problems

Abstract

The multi-product dynamic lot sizing problem with product returns and recovery is an important problem that appears in reverse logistics and is known to be NP-hard. In this paper we propose an efficient variable neighborhood descent heuristic algorithm for solving this problem. Furthermore, we present a new benchmark set with the largest instances in the literature. The computational results, demonstrate that our approach outperforms the state-of-the-art Gurobi optimizer.