Efficient production scheduling in computer server industry remains a critical challenge. This challenge becomes particularly acute during the testing phase, where servers are assigned for testing in a modular environment consisting of test banks. Unique characteristics such as online arrival of servers known only over a short time window, skewed arrival pattern, power and cooling compatibility constraints, and dynamic assignment complicate decision making, a situation we observed at our industry partner’s site, which often leads to missing due dates and loss of customer trust. Motivated by this challenge, we introduce an Online Dynamic Dual Bin Packing with Lookahead problem and propose an integer linear programming model that maximizes the number of assigned servers. To efficiently solve this model, we decompose the problem into a set of subproblems for a given lookahead length. A ‘2-phase’ computational framework is proposed that seamlessly integrates mathematical programming with genetic algorithm. Based on realistic data available from a server manufacturer, our findings suggest that solutions are sensitive to (i) the length of the lookahead window, (ii) testing capacity and server arrival pattern, (iii) test processing time requirement, and (iv) physical allocation of servers.