Journal ArticleDOI
A joint economic-lot-size model for purchaser and vendor
TLDR
In this article, a joint economic-lot-size model for a special case where a vendor produces to order for a purchaser on a lot-for-lot basis under deterministic conditions is developed.Abstract:
In a typical purchasing situation, the issues of price, lot sizing, etc, usually are settled through negotiations between the purchaser and the vendor Depending on the existing balance of power, the end result of such a bargaining process may be a near-optimal or optimal ordering policy for one of the parties (placing the other in a position of significant disadvantage) or, sometimes, inoptimal policies for both parties This paper develops a joint economic-lot-size model for a special case where a vendor produces to order for a purchaser on a lot-for-lot basis under deterministic conditions The focus of this model is the joint total relevant cost It is shown that a jointly optimal ordering policy, together with an appropriate price adjustment, can be beneficial economically for both parties or, at the least, does not place either at a disadvantageread more
Citations
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Journal ArticleDOI
Hybrid lot-size coordination in a single-manufacturer-multiple-retailer system
Taebok Kim,Suresh Kumar Goyal +1 more
TL;DR: In this paper, a group of retailers propose compensatory payment to the manufacturer according to the degree of the manufacturer's lot-size relaxation, from each participant's viewpoint, an individual optimisation problem can be formulated from this relaxation model.
Journal Article
An integrated production-inventory model with backorder and lot for lot policy
Ahmadi Rad Mona,Khoshalhan Farid +1 more
TL;DR: In this article, an inventory model for two-stage supply chain with single vendor and single buyer is investigated, where shortage as a backorder is allowed for the buyer and the vendor makes the production set up every time the buyer places an order and supplies on a lot for lot basis.
Proceedings ArticleDOI
An agent-based model to support negotiation-based order acceptance in a multi-plant enterprise
TL;DR: An agent-based model is presented to support order acceptance decisions in a multi-plant enterprise, particularly incorporating buyer-seller negotiations, and provides valuable insights into the nature of negotiation in a supply chain setting.
Journal ArticleDOI
Supply Chain Coordination Mechanism Logistics Cost Optimization Analysis
Qiang Yang,Hong Xiang Zhu +1 more
TL;DR: In this article, two coordination mechanisms, traditional supply chain and vendor-managed inventory, are analyzed on their logistics cost optimization capabilities under the centralized and decentralized decision-making conditions, and the conclusions are that the logistics costs are the same under centralized decision making; vendor-managed inventory coordination mechanism is better than traditional Supply Chain coordination mechanism under the decentralized decision making.
References
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Book
Decision Systems for Inventory Management and Production Planning
TL;DR: In this article, an in-depth discussion of the major decisions in production planning, scheduling, and inventory management faced by organizations, both private and public, is presented, as well as the latest systems used to make decisions, including Just-in-Time Manufacturing, KANBAN, Distribution Requirements Planning and PUSH Control.
Journal ArticleDOI
Eoq formula: is it valid under inflationary conditions?
TL;DR: In this paper, it was shown that changes in the inflation rate should not affect the cost of capital that is utilized in the economic order quantity (EOQ) formula for determining order quantities.
Journal ArticleDOI
The Classical Economic Order Quantity Formula
TL;DR: In this paper, a stochastic version of the classical economic lot size model is developed, which yields the traditional square root formula where the constant demand term is replaced by mean demand.