Abstract:

The increasing uncertainty in raw material supply and the complexity of multi-period production planning pose significant challenges for manufacturers， particularly in industries like tobacco manufacturing， where material shortages frequently disrupt operations. It focuses on the multi-period lot-sizing problem with raw material substitution in this study， aiming to minimize total production costs while ensuring production stability. By incorporating substitution strategies， the research addresses the dynamic interplay between production capacity， raw material availability， and substitution costs， offering a practical solution to enhance supply chain resilience. To tackle this problem， a hybrid Adaptive Large Neighborhood Search （ALNS） algorithm is proposed， integrating heuristic techniques with the precision of the Gurobi solver. This approach leverages the strengths of both methods to efficiently navigate the solution space and handle the complex constraints inherent in the problem. Using real-world production data from a tobacco company， the algorithm’s effectiveness is demonstrated in significantly reducing computational time for small-scale problems while improving solution quality for large-scale cases compared to traditional methods. Additionally， the analysis highlights the substantial benefits of raw material substitution strategies， which， on average， reduce production costs by 23% and stockout rates by 26.4%， ensuring robust and flexible production planning even under varying substitution cost scenarios. It not only provides a scalable and efficient solution for multi-period lot-sizing problems but also offers valuable insights into the practical application of substitution strategies in dynamic production environments in this research. By bridging theoretical modeling with real-world case analysis， the findings contribute to the broader field of production management and supply chain optimization， offering a robust framework for addressing complex operational challenges in modern manufacturing industries.

Key words: substitution of raw materials, lot-sizing problem, hybrid ALNS, tobacco product