Research on Returned or Unreturned Order Decision-Making of Single-Period Product Based On Stochastic Demand

Logistics ◽  
2009 ◽  
Author(s):  
Yubo Sun ◽  
Huaizhen Ye ◽  
Gang Lu
Author(s):  
Xiaoning Jin ◽  
Lin Li ◽  
Jun Ni

This paper presents an analytical, option-based cost model for an integrated production and preventive maintenance decision making with stochastic demand. The determination of preventive maintenance times and their schedule during a production period is converted to an option problem through maximizing the profit of the production per unit time. The optimal number of preventive maintenance actions is obtained and some further discussions on how the cost parameters affect the optimal results are also derived. The resulting option-based model is found to add flexibility to the production system and thus reduce the risk of shortage when the production system is faced with stochastic demand. A comparisons between the basic model (without option) and the option-based preventive maintenance model has shown that the option model is a more flexible under demand uncertainty and results in at least as much profit as the basic one.


Author(s):  
DING DING ◽  
JIAN CHEN

This paper studies a supply chain consisting of two suppliers and an assembler who also acts as a retailer in a single period model. The suppliers provide complementary modules to the assembler and the latter assembles the final products and sells them to meet a stochastic demand. Each supplier can improve his performance by offering a return policy to the assembler while the best contract depends on that offered by the other supplier. We show that the non-cooperative contracts game between the firms has a unique and stable equilibrium in which the optimal return policies happen to fully coordinate the whole channel. Moreover, the suppliers still have the rights to negotiate with the assembler independently to share their profits properly. With such properties, the suppliers are encouraged to offer return policies to the assembler by following a simple rule derived from the favorable equilibrium, which will lead to a win-win-win situation.


2005 ◽  
Vol 51 (12) ◽  
pp. 1873-1891 ◽  
Author(s):  
Saibal Ray ◽  
Shanling Li ◽  
Yuyue Song

2019 ◽  
Vol 9 (5) ◽  
pp. 1025 ◽  
Author(s):  
Raffaele Carli ◽  
Mariagrazia Dotoli ◽  
Roberta Pellegrino

Investing in the optimal measures for improving the energy efficiency of urban street lighting systems has become strategic for the economic, technological and social development of cities. The decision-making process for the selection of the optimal set of interventions is not so straightforward. Several criticalities-such as difficulties getting access to credit for companies involved in street lighting systems refurbishment, budget constraints of municipalities, and unawareness of the actual energy and economic performance after a retrofitting intervention-require a decision-making approach that supports the city energy manager in selecting the optimal street lighting energy efficiency retrofitting solution while looking not only based on the available budget, but also based on the future savings in energy expenditures. In this context, the purpose of our research is to develop an effective decision-making model supporting the optimal multi-period planning of the street lighting energy efficiency retrofitting, which proves to be more effective and beneficial than the classical single-period approach and has never before been applied to the considered public lighting system context. The proposed methodology is applied to a real street lighting system in the city of Bari, Italy, showing the energy savings and financial benefit obtained through the proposed method. Numerical experiments are used to investigate and quantify the effects of using a multi-period planning approach instead of a single-period approach.


Omega ◽  
2008 ◽  
Vol 36 (5) ◽  
pp. 808-824 ◽  
Author(s):  
F.J. Arcelus ◽  
Satyendra Kumar ◽  
G. Srinivasan

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