A century of evolution from Harris׳s basic lot size model: Survey and research agenda

Abstract

Determining the economic lot size has always represented one of the most important issues in production planning. This problem has long attracted the attention of researchers, and several models have been developed to meet requirements at minimum cost. In this paper we explore and discuss the evolution of these models during one hundred years of history, starting from the basic model developed by Harris in 1913, up to today. Following Harris's work, a number of researchers have devised extensions that incorporate additional considerations. The evolution of EOQ theory strongly reflects the development of industrial systems over the past century. Here we outline all the research areas faced in the past by conducting a holistic analysis of 219 selected journal papers and trying to give a comprehensive view of past work on the EOQ problem. Finally, a new research agenda is proposed and discussed.

Revisiting foundations in lot sizing—Connections between Harris, Crowther, Monahan, and Clark

“…It includes price-discounts and trade credits (permissible delays of payment) but from the buyer's perspective. The review of key findings presented in this paper derived from NPV is therefore complementary to Andriolo et al (2014), and points towards an additional important research direction.…”

“…An undoubtedly fruitful line of further investigation would be to re-examine the lot sizing models reviewed in all the above articles. Andriolo et al (2014) offer a comprehensive review on EOQ and EPQ models, but excludes literature on JELS models. It is the first review in which the NPV approach is prominently present.…”

Sustainable EOQ under Lead-Time Uncertainty and Multi-Modal Transport

“…They investigate the environmental impact of inventory and transportation in the traditional EOQ model by additionally incorporating the sustainability factors into the replenishment model. For further information, we refer readers to a survey paper [13], which comprehensively explores the evolution of EOQ models, including lot-sizing research on environmental sustainability.…”

An integrated production-inventory model for deteriorating items to evaluate JIT purchasing alliances

“…Thus, in these contexts, a common question belonging to the field of inventory theory inexorably arises: what is the optimal smallest lot-size with frequent deliveries that should be used? For a complete discussion regarding the role of lot sizing theory on JIT practices, readers are referred to Andriolo et al (2014), and Chiarini (2017).…”