scholarly journals The effect of service constraint on EPQ model with random defective rate

2006 ◽  
Vol 2006 ◽  
pp. 1-5 ◽  
Author(s):  
Yung-Fu Huang
Keyword(s):  
Annual Cost ◽  
Differential Calculus ◽  
Cost Minimization ◽  
Algebraic Approach ◽  
Optimal Solution ◽  
Service Level ◽  
Economic Production Quantity ◽  
Economic Production ◽  
Epq Model ◽  
Production Quantity

Chiu studied the effect of service-level constraint on the economic production quantity (EPQ) model with random defective rate. In this note, we will offer a simple algebraic approach to replace his differential calculus skill to find the optimal solution under the expected annual cost minimization.

scholarly journals EPQ Model for Trended Demand with Rework and Random Preventive Machine Time

2013 ◽  
Vol 2013 ◽  
pp. 1-8 ◽  
Author(s):  
Nita H. Shah ◽  
Dushyantkumar G. Patel ◽  
Digeshkumar B. Shah
Keyword(s):  
Sensitivity Analysis ◽  
Optimal Solution ◽  
Rate Of Change ◽  
Machine Time ◽  
Economic Production Quantity ◽  
Economic Production ◽  
Model Search ◽  
Demand Rate ◽  
Epq Model ◽  
Production Quantity

Economic production quantity (EPQ) inventory model for trended demand has been analyzed with rework facility and stochastic preventive machine time. Due to the complexity of the model, search method is proposed to determine the best optimal solution. A numerical example and sensitivity analysis are carried out to validate the proposed model. From the sensitivity analysis, it is observed that the rate of change of demand has significant impact on the optimal inventory cost. The model is very sensitive to the production and demand rate.

scholarly journals Economic production quantity model with backorders and items with imperfect/perfect quality options

2019 ◽  
Vol 17 (4) ◽  
Author(s):  
Behrouz Afshar Nadjafi ◽  
Hamed Pourbakhsh ◽  
Mohammad Mirhabibi ◽  
Hasan Khodaei ◽  
Babak Ghodami ◽  
...  
Keyword(s):  
Optimal Solution ◽  
Screening Process ◽  
Economic Production Quantity ◽  
Economic Production ◽  
Decision Variables ◽  
Proposed Model ◽  
Epq Model ◽  
Production Quantity ◽  
The Impact ◽  
Single Batch

In this paper, an economic production quantity (EPQ) model with backorders considering two options for replenishing of items is proposed; with partially imperfect and perfect quality items. First option assumes a produced shipment contains a fraction of imperfect quality items and supplier does not conduct a full inspection. Therefore, these items are detected by a fully perfect screening process by buyer and are sold as a single batch at a discounted price. While the second one assumes that all items that are produced are fully inspected by supplier and all delivered items are perfect; of course with higher unit production price. Ordering size and backordering level are used as decision variables to derive the closed-form optimal solution. The proposed model is ilustrated and discussed by a numerical example. Finally, a sensitivity analysis is done for identifying the impact of crucial parameters on the optimal solution.

A comparative study on economic production quantity (EPQ) model under space constraint with different kinds of data

2019 ◽  
Vol 9 (1) ◽  
pp. 86-100
Author(s):  
Amir Karbassi Yazdi ◽  
Mohamad Amin Kaviani ◽  
Amir Homayoun Sarfaraz ◽  
Leopoldo Eduardo Cárdenas-Barrón ◽  
Hui-Ming Wee ◽  
...  
Keyword(s):  
Cycle Time ◽  
Space Constraint ◽  
Optimal Solution ◽  
Inventory Model ◽  
Fuzzy Data ◽  
Content Type ◽  
Economic Production Quantity ◽  
Economic Production ◽  
Epq Model ◽  
Production Quantity

PurposeThe purpose of this paper is to develop a multi-item economic production quantity (EPQ) strategy under grey environment and space constraint. Since the “demand” cannot be predicted with certainty, it is assumed that data behave under grey environment and compare the proposed inventory model with other studies using crisp or fuzzy environments.Design/methodology/approachThis paper is to optimise the cycle time and total cost of the multi-item EPQ inventory model. For this purpose, the Lagrangian coefficient is used to solve the constrained optimisation problem. The grey relational analysis approach and grey data are applied in developing the EPQ inventory model.FindingsThe results are compared with the analysis using crisp and fuzzy data. Sensitivity analysis is done to illustrate the effect of parameter variations on the optimal solution. The results of the study demonstrate that crisp data outperform the other two data in all scales problems in terms of cycle time and cost; grey data perform better in all scales problems than fuzzy data.Originality/valueThe contribution of this research is the use of grey data in developing the EPQ inventory model with space constraint.

Note on “Effects of Random Defective Rate and Imperfect Rework Process on Economic Production Quantity Model”

2005 ◽  
Vol 128 (1) ◽  
pp. 375-377 ◽  
Author(s):  
Yuan-Shyi Peter Chiu ◽  
Singa Wang Chiu
Keyword(s):  
Algebraic Approach ◽  
Lot Size ◽  
Inventory Cost ◽  
Economic Production Quantity ◽  
Economic Production ◽  
Production Inventory ◽  
Epq Model ◽  
Production Quantity ◽  
Production Lot Size ◽  
Rework Process

Conventional approaches for deriving optimal production lot size are by using the differential calculus on the production-inventory cost function with the need to prove optimality first. Recent articles proposed the algebraic approach to the solution of classic economic order quantity and economic production quantity (EPQ) model without reference to the use of derivatives. This note extends it to an EPQ model taking the random defective rate and imperfect rework process into consideration. We demonstrate that the optimal lot size can be solved algebraically and the expected inventory cost can be derived immediately as well.

scholarly journals The effect of service level constraint on EPQ model with random defective rate

2006 ◽  
Vol 2006 ◽  
pp. 1-13 ◽  
Author(s):  
Yuan-Shyi Peter Chiu
Keyword(s):  
Decision Making ◽  
Mathematical Analysis ◽  
Service Level ◽  
Lot Size ◽  
Economic Production Quantity ◽  
Economic Production ◽  
Epq Model ◽  
Production Quantity ◽  
The Relationship ◽  
Required Service

We study the effect of service level constraint on the economic production quantity (EPQ) model with random defective rate. We first prove that the expected overall cost for imperfect quality EPQ model with backlogging permitted is less than or equal to that of the same model without backlogging. Secondly, the relationship between “imputed backorder cost” and maximal shortage level is derived for decision-making on whether the required service level is achievable. Then an equation is proposed for calculating the intangible backorder cost for the situation when the required service level is not attainable. By including this intangible backorder cost in the mathematical analysis, one can derive a new optimal lot-size policy that minimizes expected total costs as well as satisfies the service level constraint. Numerical example is provided to demonstrate its practical usage.

A NOTE ON EPQ MODEL FOR SEASONAL PERISHABLE PRODUCTS WITH STOCK DEPENDENT DEMAND

2008 ◽  
Vol 25 (03) ◽  
pp. 301-315 ◽  
Author(s):  
S. PANDA ◽  
S. SAHA ◽  
M. BASU
Keyword(s):  
Perishable Products ◽  
Programming Technique ◽  
Economic Production Quantity ◽  
Economic Production ◽  
Time Period ◽  
Capacity Level ◽  
Proposed Model ◽  
Production Inventory ◽  
Epq Model ◽  
Production Quantity

A single item, single cycle economic production quantity model for perishable products is proposed where the demand is two-component and stock dependent. The production inventory scenario of products like cake, bread, fast foods, fishes, garments, cosmetics etc in the festival season is considered. The profit function is formulated under the assumption that the time period of the festival seasons is fixed and the display capacity of the produced item is limited. In the formulation process, to introduce more flexibility, a goal programming technique is incorporated to achieve the producer's desired profit and stock of as much inventory as possible below the display capacity level. A numerical example is presented to illustrate the proposed model. A sensitivity analysis of the model is also carried out.

scholarly journals Pengembangan Model Economic Production Quantity (EPQ) dengan Sinkronisasi Demand Kontinu dan Diskrit Secara Simultan

2016 ◽  
Vol 15 (1) ◽  
pp. 78 ◽  
Author(s):  
Nurike Oktavia ◽  
Henmaidi Henmaidi ◽  
Jonrinaldi Jonrinaldi
Keyword(s):  
Total Production ◽  
Lot Size ◽  
Inventory Cost ◽  
Economic Production Quantity ◽  
Economic Production ◽  
Holding Cost ◽  
Epq Model ◽  
Production Quantity ◽  
Set Up ◽  
Production Lot Size

The most popular inventory model to determine production lot size is Economic Production Quantity (EPQ). It shows enterprise how to minimize total production cost by reducing inventory cost. But, three main parameters in EPQ which are demand, machine set up cost, and holding cost, are not suitable to solve issues nowadays. When an enterprise has two types of demand, continue and discrete demand, the basic EPQ would be no longer useful. Demand continues comes from a customer who wants their needs to be fulfilled every time per unit time, while the fulfillment of demand discrete is at a fixed interval of time. A literature review is done by writers to observe other formulation of EPQ model. As there is no other research can be found which adopt this topic, this study tries to develop EPQ model considering two types of demand simultaneously.

Economic production quantity (EPQ) model with partial backordering and a discount for imperfect quality batches

2018 ◽  
Vol 56 (18) ◽  
pp. 6279-6293 ◽  
Author(s):  
Luiza Ribeiro Alves Cunha ◽  
Ana Paula Santos Delfino ◽  
Kamila Almeida dos Reis ◽  
Adriana Leiras
Keyword(s):  
Imperfect Quality ◽  
Economic Production Quantity ◽  
Economic Production ◽  
Partial Backordering ◽  
Epq Model ◽  
Production Quantity

Consumer Electronics Enterprise Patent Strategy Based on University-Enterprise Cooperation with a Failure Rate

2014 ◽  
Vol 556-562 ◽  
pp. 6616-6619
Author(s):  
Jun Chen ◽  
Lai Fu Ye
Keyword(s):  
Research And Development ◽  
Failure Rate ◽  
Optimal Number ◽  
Consumer Electronics ◽  
Economic Production Quantity ◽  
Patent Strategy ◽  
Economic Production ◽  
Epq Model ◽  
Production Quantity ◽  
Development Failure

Based on Economic Production Quantity (EPQ) model with certain defective rate, this paper analyses technology patent storage problems in university-enterprise cooperation under the perspective of consumer electronics enterprise, finds out the optimal number and cycle of patent research considering the factor of research and development failure rate.

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