A note on "The economic lot sizing problem with inventory bounds"

Abstract

In a recent paper, Liu [3] considers the lot-sizing problem with lower and upper bounds on the inventory levels. He proposes an O(n(2)) algorithm for the general problem, and an O(n) algorithm for the special case with non-speculative motives. We show that neither of the algorithms provides an optimal solution in general. Furthermore, we propose a fix for the former algorithm that maintains the 0(n2) complexity.