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Therefore, this paper investigates the issue of an EMQ inventory system for defective products with the consideration of imperfect production processes, rework, variable setup cost and sales team's initiatives-dependent demand in a multiple shipments policy.
The main contribution of this paper is to develop a mathematical model and design an iterative solution procedure to effectively increase investment and to reduce the expected total cost for EMQ inventory system involving defective products with rework and sales team's initiative-dependent demand in a multiple shipments policy.
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The optimal production and shipment policy for the single-vendor single-buyer integrated production-inventory problem.
(2016) dealt an economic production quantity (EPQ) inventory model with reworkable defective items and multi-shipment policy.
(2007) studied the deteriorating item stock replenishment and shipment policy for vendor-managed inventory (VMI) system with the assumption that the demand process follows a typical Poisson process.
Other extensions of this problem are considered as stochastic parameters.[Ben-Daya and Zamin (2002b)] considered a JELS problem under equal-shipment policy with stochastic demand.
It is further assumed that a multiple shipment policy is employed and the finished items can only be delivered to customers if the whole lot is quality assured at the end of rework.
Unlike the hitherto existing production-inventory models for the vendor buyer system, the present model neither requires the buyer's unit holding cost greater than the vendor's nor assumes the structure of shipment policy.
Goyal and Gupta (1989), Monden (1983), Lu (1995), Hill (1999) investigated an unequal shipment policy for the joint single-vendor single-buyer inventory problem and concluded that an optimal policy for this problem is to use shipment sizes that increase by a fixed factor in the beginning and then remaining constant after a well-specified number of shipments.
Make sure to read through the refund and shipment policy before ordering your item.
Sajadieh and Akbari Jokar (2009) examined pricing, ordering and shipment policies in a two- echelon supply chain.
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