Erratum to “Lead time reduction strategies in a single-vendor-single-buyer integrated inventory model with lot size-dependent lead times and stochastic demand” [International Journal of Production Economics 136 (2012), 37–44]

2013 ◽  
Vol 143 (1) ◽  
pp. 219
Author(s):  
Wakhid Ahmad Jauhari
Keyword(s):  
Lead Time ◽  
Stochastic Demand ◽  
Inventory Model ◽  
Lead Times ◽  
Production Economics ◽  
Lot Size ◽  
Integrated Inventory Model ◽  
Size Dependent ◽  
Lead Time Reduction ◽  
Reduction Strategies

scholarly journals Production rate and lot size-dependent lead time reduction strategies in a supply chain model with stochastic demand, controllable setup cost and trade-credit financing

2020 ◽  
Author(s):  
Monami Das Roy ◽  
Shib Sankar Sana
Keyword(s):  
Production Rate ◽  
Lead Time ◽  
Trade Credit ◽  
Chain Model ◽  
Lot Size ◽  
Setup Cost ◽  
Lead Time Reduction ◽  
Supply Chain Model ◽  
Reduction Strategies ◽  
Credit Financing

This study explores simultaneous reduction strategies of lead time and setup cost in a two-stage supply chain model under trade-credit financing. Lead time depends on avariable production rate and lot size. It consists of setup, production, and transportation time which are shortened to reduce lead time. Although double safety factors are considered to avoid stock-out; but still backorders take place as the demand during the lead time is stochastic.Setup cost is reduced by including an extra investment cost. In addition, the vendor offers a fixed credit period to the buyer to settle the account. The objective is to minimize the integrated expected total cost and optimize the order quantity, number of deliveries, setup and transportation time, setup cost, safety factor for the first batch, and the production rate. A multi-variable optimization technique is used for these purposes. Furthermore, a numerical example together with managerial insights is provided for the establishment and applicability of the proposed model.The numerical results show that the introduction of setup cost reduction and trade-credit financing along with lead time reduction is more beneficial by means of integrated expected total cost reduction.

scholarly journals Managing a sustainable integrated inventory model for imperfect production process with type one and type two errors

2021 ◽  
Author(s):  
Novrianty Rizky ◽  
Ivan Darma Wangsa ◽  
Wakhid Ahmad Jauhari ◽  
Hui Ming Wee
Keyword(s):  
Lead Time ◽  
Capital Investment ◽  
Item Type ◽  
Inventory Model ◽  
Lot Size ◽  
Setup Cost ◽  
Defective Items ◽  
Defective Item ◽  
Integrated Inventory Model ◽  
Integrated Inventory

Abstract This study develops a sustainable integrated inventory model for controllable lead time with defective items, errors in inspection, and variable lead-time. The research investigates the effect of controlling lead time and capital investment in the setup cost. We assume that the buyer receives a lot size that may contain some defective items with a known defective probability. The buyer’s inspector conducts a 100% quality inspection and may incorrectly classify a non-defective item as a defective item (type one (I) error), or incorrectly classify a defective item as a non-defective item (type two (II) error). The mathematical inventory model considering carbon emission cost is developed, and the solution procedure is designed to derive the optimal solution. Finally, numerical examples and sensitivity analysis are given to illustrate the results.

scholarly journals Simulation-Based Optimization of a Two-Echelon Continuous Review Inventory Model with Lot Size-Dependent Lead Time

Processes ◽  
2020 ◽  
Vol 8 (9) ◽  
pp. 1014
Author(s):  
Ibrahim Alharkan ◽  
Mustafa Saleh ◽  
Mageed Ghaleb ◽  
Abdulsalam Farhan ◽  
Ahmed Badwelan
Keyword(s):  
Supply Chain ◽  
Lead Time ◽  
Shop Floor ◽  
Lot Size ◽  
Continuous Review ◽  
Inventory Costs ◽  
Size Dependent ◽  
Simulation Based ◽  
Simulation Based Optimization ◽  
Total Inventory

This study analyzes a stochastic continuous review inventory system (Q,r) using a simulation-based optimization model. The lead time depends on lot size, unit production time, setup time, and a shop floor factor that represents moving, waiting, and lot size inspection times. A simulation-based model is proposed for optimizing order quantity (Q) and reorder point (r) that minimize the total inventory costs (holding, backlogging, and ordering costs) in a two-echelon supply chain, which consists of two identical retailers, a distributor, and a supplier. The simulation model is created with Arena software and validated using an analytical model. The model is interfaced with the OptQuest optimization tool, which is embedded in the Arena software, to search for the least cost lot sizes and reorder points. The proposed model is designed for general demand distributions that are too complex to be solved analytically. Hence, for the first time, the present study considers the stochastic inventory continuous review policy (Q,r) in a two-echelon supply chain system with lot size-dependent lead time L(Q). An experimental study is conducted, and results are provided to assess the developed model. Results show that the optimized Q and r for different distributions of daily demand are not the same even if the associated total inventory costs are close to each other.

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