Wagner-Whitin lot-sizing calculator

Enter demand per period plus your setup and holding costs to get the cost-minimizing order plan. The calculator runs the exact Wagner-Whitin dynamic-programming algorithm and compares it with three common heuristics, so you can see how much each rule of thumb costs you.

Try the calculator

Optimal production/purchase lot sizing (Wagner-Whitin)

Enter demand per period and your costs. No sign-up needed.

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Enter the data and press Calculate to see the method comparison.

How to use it

  1. Enter demand for each period (weeks, months — your choice of unit).
  2. Add the fixed setup/order cost and the holding cost per unit per period.
  3. Read the optimal order plan and the cost comparison across methods.

What is the Wagner-Whitin algorithm?

A dynamic-programming method that finds the exact cost-minimizing lot-sizing plan for time-varying demand, trading off ordering/setup cost against inventory holding cost. It is optimal, not a heuristic.

Why compare it with heuristics?

Silver-Meal, Least-Unit-Cost and lot-for-lot are faster rules used in practice. Comparing them with the optimal Wagner-Whitin plan shows the cost gap of each shortcut on your data.