scholarly journals Effects of Variable Production Rate and Time-Dependent Holding Cost for Complementary Products in Supply Chain Model

2017 ◽  
Vol 2017 ◽  
pp. 1-13 ◽  
Author(s):  
Mitali Sarkar ◽  
Sun Hur ◽  
Biswajit Sarkar
Keyword(s):  
Supply Chain ◽  
Production Rate ◽  
Graphical Representation ◽  
Stackelberg Game ◽  
Time Dependent ◽  
Chain Model ◽  
Complementary Products ◽  
Supply Chain Model ◽  
Holding Cost ◽  
Variable Production

Recently, a major trend is going to redesign a production system by controlling or making variable the production rate within some fixed interval to maintain the optimal level. This strategy is more effective when the holding cost is time-dependent as it is interrelated with holding duration of products and rate of production. An effort is made to make a supply chain model (SCM) to show the joint effect of variable production rate and time-varying holding cost for specific type of complementary products, where those products are made by two different manufacturers and a common retailer makes them bundle and sells bundles to end customers. Demand of each product is specified by stochastic reservation prices with a known potential market size. Those players of the SCM are considered with unequal power. Stackelberg game approach is employed to obtain global optimum solution of the model. An illustrative numerical example, graphical representation, and managerial insights are given to illustrate the model. Results prove that variable production rate and time-dependent holding cost save more than existing literature.

A multi-retailer supply chain model with backorder and variable production cost

2018 ◽  
Vol 52 (3) ◽  
pp. 943-954 ◽  
Author(s):  
Arunava Majumder ◽  
Chandra K. Jaggi ◽  
Biswajit Sarkar
Keyword(s):  
Supply Chain ◽  
Production Rate ◽  
Production Cost ◽  
Optimization Technique ◽  
Chain Model ◽  
Supply Chain Network ◽  
Supply Chain System ◽  
Supply Chain Model ◽  
Multiple Buyers ◽  
Variable Production

The modern marketing environment involves variability and randomness within the numerous parties of any supply chain network. Thus, formation of a supply chain model including multiple buyers and variable production rate is more acceptable than assuming a single-buyer with constant production rate model. This paper considers a supply chain network, where a single-vendor manufactures products in a batch production process and supplies them to a set of buyers over multiple times. Instead of assuming a fixed production rate, as commonly used in the literature, a variable production rate is introduced by the vendor and the production cost of the vendor is treated as a function of production rate. The continuous review inventory model is applied for multiple buyers to inspect inventory levels and a crashing cost is incurred by all buyers to reduce their lead times. The lead time demand follows a normal distribution. The unsatisfied demands at the buyers end are partially backordered. A model is formulated to minimize the joint expected cost of the vendor-buyers supply chain system. A classical optimization technique is utilized to solve the model. An improved algorithm is developed to obtain the numerical solution of the model. Finally, numerical examples are given to illustrate the model.

Two-echelon imperfect production fuzzy supply chain model for reliability dependent demand with probabilistic deterioration and rework

2021 ◽  
pp. 1-15
Author(s):  
Sudip Adak ◽  
G.S. Mahapatra
Keyword(s):  
Supply Chain ◽  
Production Rate ◽  
Production Cost ◽  
Idle Time ◽  
Chain Model ◽  
Specific Time ◽  
Defective Items ◽  
Imperfect Production ◽  
Supply Chain Model ◽  
Dependent Demand

This paper develops a fuzzy two-layer supply chain for manufacturer and retailer with defective and non-defective types of products. The manufacturer produces up to a specific time, including faulty and non-defective items, and after the screening, the non-defective item sends to the retailer. The retailer’s strategy is to do the screening of items received from the manufacturer; subsequently, the perfect quality items are used to fulfill the customer’s demand, and the defective items are reworked. The retailer considers that customer demand is time and reliability dependent. The supply chain considers probabilistic deterioration for the manufacturer and retailers along with the strategies such as production rate, unit production cost, cost of idle time of manufacturer, screening, rework, etc. The optimum average profit of the integrated model is evaluated for both the cases crisp and fuzzy environments. Managerial insights and the effect of changes in the parameters’ values on the optimal inventory policy under fuzziness are presented.

scholarly journals Supply Chain Decisions and Coordination under the Combined Effect of Overconfidence and Fairness Concern

Complexity ◽  
2020 ◽  
Vol 2020 ◽  
pp. 1-16
Author(s):  
Zhang Zhijian ◽  
Peng Wang ◽  
Miyu Wan ◽  
Junhua Guo ◽  
Jian Liu
Keyword(s):  
Supply Chain ◽  
Stackelberg Game ◽  
Supply Chain Coordination ◽  
Joint Effect ◽  
Optimal Order ◽  
Chain Model ◽  
Order Quantity ◽  
Supply Chain Model ◽  
Fairness Concerns ◽  
Fairness Concern

The purpose of this study was to examine the joint effect of overconfidence and fairness concern on supply chain decisions and design contracts to achieve a win-win situation within the supply chain. For this study, a centralized supply chain model was established without considering the retailers’ overconfidence and fairness concern. Furthermore, the retailers’ overconfidence and fairness concerns were introduced into the decentralized supply chain, while the Stackelberg game model between the manufacturer and the retailer was built. Furthermore, an innovative supply chain contract, i.e., buyback contract, with promotional cost sharing was designed to achieve supply chain coordination along with overconfidence and fairness concern. Finally, a numerical analysis was also conducted to analyze the effect of overconfidence, fairness concern, and the validity of the contract. The principal findings of the study include the positive correlation between retailers’ overconfidence and optimal order quantity, sales effort, expected utility, and profit. Although the order quantity and sales efforts were not affected by the fairness concern of the retailer, the contract achieved coordination with a win-win outcome when the level of overconfidence and fairness concern was moderate.

Establishing relation between production rate and product quality in a single-vendor multi-buyer supply chain model

2021 ◽  
Vol 11 (2/3) ◽  
pp. 1
Author(s):  
Kristina Rangsha Marak ◽  
Richa Nandra ◽  
Bikash Koli Dey ◽  
ARUNAVA MAJUMDER ◽  
Ramandeep Kaur
Keyword(s):  
Supply Chain ◽  
Product Quality ◽  
Production Rate ◽  
Chain Model ◽  
Single Vendor ◽  
Supply Chain Model

scholarly journals Pricing Strategies of a Three-Stage Supply Chain: A New Research in the Big Data Era

2017 ◽  
Vol 2017 ◽  
pp. 1-16
Author(s):  
Pan Liu
Keyword(s):  
Big Data ◽  
Supply Chain ◽  
Stackelberg Game ◽  
Chain Model ◽  
Pricing Strategies ◽  
Supply Chain Model ◽  
Investment Cost ◽  
New Research ◽  
New Situation ◽  
Big Data Technology

In the Big Data era, Data Company as the Big Data information (BDI) supplier should be included in a supply chain. In the new situation, to research the pricing strategies of supply chain, a three-stage supply chain with one manufacturer, one retailer, and one Data Company was chosen. Meanwhile, considering the manufacturer contained the internal and external BDI, four benefit models about BDI investment were proposed and analyzed in both decentralized and centralized supply chain using Stackelberg game. Meanwhile, the optimal retail price and benefits in the four models were compared. Findings are as follows. (1) The industry cost improvement coefficient, the internal BDI investment cost of the manufacturer, and the added cost of the Data Company on using Big Data technology have different relationships with the optimal prices of supply chain members in different models. (2) In the retailer-dominated supply chain model, the optimal benefits of the retailer and the manufacturer are the same, and the optimal benefits of the Data Company are biggest in all the members.

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