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
An optimal shipment strategy for imperfect items in a stock-out situation
TL;DR: The objective of this paper is to minimize the expected total cost by consolidating a number of batches of imperfect quality products of different cycles for a single shipment and maximize the expected average profit function.
Journal ArticleDOI
Enhanced joint pricing and lotsizing problem in a two-echelon supply chain with logit demand function
TL;DR: In this paper, an integrated marketing-inventory model in a two-echelon supply chain model is developed involving discount promotion, customer behaviour more realistically and operations aspects to determine optimal ordering, shipping and pricing quantities simultaneously.
Journal ArticleDOI
Buyer–supplier cooperation and negotiation support with random yield consideration
TL;DR: Not the average yield but the yield uncertainty plays the critical role mainly in providing an appropriate service level but also in finding the optimal shipment and setup policy, and analytic tools and approximations are provided to optimize the decisions.
Journal ArticleDOI
Global optimal policy for vendor---buyer integrated inventory system within just in time environment
TL;DR: The inclusion of the JIT concept in this model contributes significantly to a joint inventory cost reduction and shows an impressive cost reduction when compared with Goyal’s model.
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.