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A single-producer multi-retailer integrated inventory model with a rework process

Yuan-Shyi Peter Chiui ; Department of Industrial Engineering, Chaoyang University of Technology, Gifong East Road, Wufong, Taichung 413, TAIWAN
Yi-Chun Lin ; Department of Industrial Engineering, Chaoyang University of Technology, Gifong East Road, Wufong, Taichung 413, TAIWAN
Li-Wen Lin ; Department of Industrial Engineering, Chaoyang University of Technology, Gifong East Road, Wufong, Taichung 413, TAIWAN
Singa Wang Chiu ; Department of Business Administration, Chaoyang University of Technology, Gifong East Road, Wufong, Taichung 413, TAIWAN


Puni tekst: engleski pdf 449 Kb

str. 27-35

preuzimanja: 83

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Sažetak

This study considers a single-producer multi-retailer integrated inventory model with the reworking of random defective items produced. The objective is to find the optimal production lot size and optimal number of shipments that minimizes total expected costs for such a specific supply chains system. It is assumed that a product is
manufactured by a producer. All items are screened for quality purpose and random nonconforming items will be picked up and reworked at the end of regular production in each cycle. After the entire lot is quality assured, multiple shipments will be delivered synchronously to m different retailers in each production cycle. Each retailer has its own annual product demand, unit stock holding cost, and fixed and variable delivery costs. Mathematical modeling and analysis is used to deal with the proposed model and to derive the expected system cost. Hessian
matrix equations are employed to prove the convexity of the cost function. As a result, a closed-form optimal replenishment-delivery policy for such a specific single-producer multi-retailer integrated inventory model is obtained. A numerical example is provided to show the practical usage of the proposed model.

Ključne riječi

supply chains; optimization; production; lot size; multiple retailers; multiple shipments; rework

Hrčak ID:

184958

URI

https://hrcak.srce.hr/184958

Datum izdavanja:

18.7.2013.

Posjeta: 349 *