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A delayed differentiation multi-product FPR model with scrap and a multi-delivery policy – I: Using single-machine production scheme

Yuan-Shyi Peter Chiu ; Department of Industrial Engineering & Management, Chaoyang University of Technology, Wufong District, Taichung City 413, TAIWAN
You-Tsung Hsieh ; Department of Industrial Engineering & Management, Chaoyang University of Technology, Wufong District, Taichung City 413, TAIWAN
Jyun-Sian Kuo ; Department of Industrial Engineering & Management, Chaoyang University of Technology, Wufong District, Taichung City 413, TAIWAN
Singa Wang Chiu ; Department of Business Administration, Chaoyang University of Technology, Wufong District, Taichung City 413, TAIWAN


Puni tekst: engleski pdf 467 Kb

str. 37-52

preuzimanja: 152

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Sažetak

This study examines a delayed differentiation multi-product single-machine finite production rate (FPR) model with scrap and a multi-delivery policy. The classic FPR model considers a single product, single stage production with all items manufactured being of perfect quality and product demand satisfied by a continuous inventory issuing policy. However, in real-life production-shipment integrated systems, multi-product production is usually adopted by vendors to maximize machine utilization, and generation of scrap items appear to be inevitable with uncontrollable factors in production. Further, distribution of finished products is often done through a periodic or multi-delivery policy rather than a continuous issuing policy. It is also assumed that these multiple products share a common intermediate part. In this situation, the producer would often be interested in evaluating a two-stage production scheme with the first stage producing common parts for all products and the second stage separately fabricating the end products to lower overall production-inventory costs and shorten the replenishment cycle time. Redesigning a multi-product FPR system to delay product differentiation to the final stage of production has proved to be an effective supply chain strategy from an inventory-reduction standpoint. Using mathematical modelling, we derive the optimal replenishment cycle time and delivery policy. A numerical example is provided to demonstrate its practical usage and compare our result to that obtained from the traditional single-stage multi-product FPR model.

Ključne riječi

finite production rate model; delayed product differentiation; two-stage production; multi-product system; common intermediate part; multi-delivery; scrap

Hrčak ID:

184898

URI

https://hrcak.srce.hr/184898

Datum izdavanja:

22.12.2016.

Posjeta: 534 *