A production–delivery lot sizing policy with stochastic delivery time and in consideration of transportation cost

In this paper, we address a single item supplier selection, economic lot-sizing, and order assignment problem under quantity discount environment and transportation costs. A mixed-integer nonlinear program (MINP) model is developed with minimization of cost as its objective, while lead-time, the capacity of the supplier and demand of the product are incorporated as constraints. The total cost considered includes annual inventory holding cost, ordering cost, transportation cost and purchase cost. An efficient and effective genetic algorithm (GA) with problem-specific operators is developed and used to solve the proposed MINP model. The model is illustrated through a numerical example and the results show that the GA can solve the model in less than a minute. Moreover, the results of the numerical illustration show that the item cost and transportation cost are the deciding factors in selecting suppliers and allocating orders. Keywords: Supplier selection, Economic Order Quantity, Order allocation, Mixed-integer nonlinear programming.

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Lot-sizing with production and delivery time windows

Mathematical Programming ◽

10.1007/s10107-005-0675-3 ◽

2005 ◽

Vol 107 (3) ◽

pp. 471-489 ◽

Cited By ~ 49

Author(s):

Laurence A. Wolsey

Keyword(s):

Lot Sizing ◽

Time Windows ◽

Delivery Time

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Two-phase algorithm for the lot-sizing problem with backlogging for stepwise transportation cost without speculative motives

Omega ◽

10.1016/j.omega.2015.06.012 ◽

2016 ◽

Vol 59 ◽

pp. 238-250 ◽

Cited By ~ 4

Author(s):

Hark-Chin Hwang ◽

Jangha Kang

Keyword(s):

Lot Sizing ◽

Transportation Cost ◽

Two Phase ◽

Lot Sizing Problem

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Integrated Production-Delivery Lot Sizing Model with Limited Production Capacity and Transportation Cost considering Overtime Work and Maintenance Time

Mathematical Problems in Engineering ◽

10.1155/2018/1569029 ◽

2018 ◽

Vol 2018 ◽

pp. 1-10 ◽

Cited By ~ 3

Author(s):

Renqian Zhang ◽

Xuefang Sun

Keyword(s):

Supply Chain ◽

Numerical Experiment ◽

Lot Sizing ◽

Production Capacity ◽

Transportation Cost ◽

Solution Procedure ◽

Sensitive Analysis ◽

Integrated Production ◽

Overtime Work ◽

Maintenance Time

An extension of the integrated production-delivery lot sizing model with limited production capacity and transportation cost is investigated. We introduce the factor of overtime work into the model to improve the manufacturer’s production. In addition, when finishing a lot, the manufacturer has maintenance time to maintain and repair equipment for ensuring that the supply chain is operating continuously. By analyzing the integrated model, the solution procedure is provided to determine the optimal delivery and order policy. We conduct a numerical experiment and give sensitive analysis by varying some parameters to illustrate the problem and its solution procedure.

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