scholarly journals Optimal Replenishment Policy for Deteriorating Products in a Newsboy Problem with Multiple Just-in-Time Deliveries

Mathematics ◽  
2020 ◽  
Vol 8 (11) ◽  
pp. 1981 ◽  
Author(s):  
Abu Hashan Md Mashud ◽  
Hui-Ming Wee ◽  
Chiao-Ven Huang ◽  
Jei-Zheng Wu
Keyword(s):  
Optimization Technique ◽  
Wholesale Price ◽  
Theoretical Development ◽  
Just In Time ◽  
Newsboy Problem ◽  
Return Policy ◽  
Production Inventory ◽  
Distribution Free Approach ◽  
Replenishment Policy ◽  
Newsboy Model

Product deterioration is a common phenomenon and is overlooked in most contemporary research on the newsboy problem. In this study, we have considered product deterioration in a production–inventory newsboy model based on multiple just-in-time (JIT) deliveries. This model is solved by a classical optimization technique for the manufacturer production size, wholesale price, replenishment plan, and retailer order policy using a distribution-free approach. Moreover, in order to improve business and entice more customers, a return policy and a post-sale warranty policy is adopted in the model. Theoretical development and numerical examples are provided to demonstrate the validity of this approach.

Multiple Deliveries of Two-Warehouse Deteriorating Production-Inventory Model

2013 ◽  
Vol 684 ◽  
pp. 634-638
Author(s):  
Hsiao Ching Chen ◽  
Yao Hung Hsieh
Keyword(s):  
Supply Chain ◽  
Optimization Technique ◽  
Optimal Solution ◽  
Inventory Model ◽  
Integrated System ◽  
Discounted Cash Flow ◽  
Supply Chain System ◽  
Partial Backordering ◽  
Production Inventory ◽  
Production Inventory System

In this study we develop a two-warehouse deteriorating production-inventory model from the perspectives of both the manufacturer and the retailer. The model considered multiple deliveries, partial backordering and inflation. The discounted cash flow (DSF) and optimization technique are also used to derive the optimal solution. A numerical example is given to validate the results of the whole production-inventory system. This study shows that multiple deliveries of the integrated system results in an optimal solution for the manufacturer-retailer supply chain system.

scholarly journals Cost and Efficacy of Upfront Plerixafor Versus a “Just-in-Time” (JIT) Approach in Hematopoietic Progenitor Cell (HPC) Mobilization

Blood ◽  
2014 ◽  
Vol 124 (21) ◽  
pp. 1127-1127 ◽  
Author(s):  
Lauren Westfall Veltri ◽  
Aaron Cumpston ◽  
Alexandra Shillingburg ◽  
Christopher Lipinski ◽  
Sijin Wen ◽  
...  
Keyword(s):  
Hematopoietic Cell Transplantation ◽  
Conflicts Of Interest ◽  
Karnofsky Performance Status ◽  
Wholesale Price ◽  
The United States ◽  
Cell Yield ◽  
Hematopoietic Progenitor Cell ◽  
Just In Time ◽  
P Value ◽  
The Mean

Abstract HPC mobilization with plerixafor (Plex) plus G-CSF (G+P) results in superior CD34+ cell yield, when compared to mobilization with G-CSF alone in patients with myeloma and lymphoid malignancies. However, Plex-based approaches are associated with high mobilization costs. To circumvent higher costs, several institutions use a so-called JIT approach, where Plex is only administered to patients likely to fail mobilization with G-CSF alone. Whether such a JIT-Plex approach is cost effective has not been confirmed to date. We present here, a single institution comparative analysis of 137 patients with myeloma and lymphoma who underwent mobilization with 2 different approaches of Plex utilization. Between Jan 2010-Oct 2012 (n=77) patients received mobilization G-CSF (10 μg/kg) for 5 days and Plex (0.24 mg/kg) on the evening of day four, 11 hours before apheresis the following day (G+P). To reduce mobilization costs between Nov 2012-Jun 2014 (n=60) patients were mobilized with JIT-Plex where Plex was only administered to patients likely to fail mobilization with G-CSF alone (i.e. patients with a day 4 peripheral blood (PB) CD34+ count of <10/μL, or those with day 1 yield of < 1.0 X 106 cells/kg or day 1+2 yield of <1.5 X 106 cells/kg ABW. Mobilization failure was defined as inability to collect at least 2 X 106 /kg CD 34+ cells. Patients in G+P had a higher mean peak PB CD34+ cell count (77 vs. 33.1 cells/μL, p<0.001) and a higher mean CD34+ cell yield on day 1 of collection (4.4 X 106 vs. 2.4 X 106 cells/kg ABW, p=0.0005). The mean total CD34+ cell collection was also higher in G+P (6.64 X 106 vs. 4.81 X 106 cells/kg ABW, p=0.0068). In the JIT-Plex group 41% (n=24) completed adequate HPC collection without Plex. Mobilization failure was noted in 5 patients in the G+P group (3 were salvaged with bone marrow harvest) and 2 patients in the JIT-Plex group. Two patients in either group did not proceed to AHCT as a result of mobilization failure. The mean Plex doses utilized in JIT-Plex was lower (1.3 vs. 2.1, p=0.0002), however 21% (n=16) in the G+P group completed apheresis on day 1 compared to only 6.9% (n=4) in JIT-Plex, p=0.0094. Cost analysis was estimated based on actual sales price (actual wholesale price AWP – (AWP X 0.2)) for mobilization agents and the United states (US) Department of Health and Human Services Centers for Medicaid Services (HHS/CMS) reimbursement rates for procedural costs associated with mobilization, apheresis or cryopreservation. The mean estimated cost was higher in the G+P group ($28,448 vs. $24,852, p=0.0315). Our analyses, for the first time confirms that mobilization with JIT-Plex allows for a safe, adequate and cost efficient strategy for HPC collection. Baseline Patent Characteristics at Time of Mobilization Table Mobilization Strategy Upfront Plerixafor + G-CSF (n=77) G-CSF + Just-in-time Plerixafor (n=60) p-value Disease Myeloma Lymphoma 46 (60%) 31 (40%) 30 (50%) 30 (50%) 0.29 Mean age, years (range) 58 (23-75) 57 (22-75) 0.45 Male gender 42 (55%) 33 (57%) 0.92 Race: Caucasian 73 (97%) 57 (98%) 1.0 Lines of prior therapy, mean 1.5 1.8 0.3 Prior Radiation 13 (18%) 12 (21%) 0.66 Mean KPS (range) 80 (70-100) 80 (60-100) 0.75 HCT-CI Score (mean) 2 2 0.36 Abbreviations: G-CSF-granulocyte-colony stimulating factor (filgrastim); KPS-Karnofsky performance status; HCT-CI- hematopoietic cell transplantation-specific comorbidity index Disclosures No relevant conflicts of interest to declare.

Application of an Adjoint Method to Aerodynamic Design

1997 ◽  
Vol 50 (11S) ◽  
pp. S193-S197
Author(s):  
Luis Carlos de Castro Santos
Keyword(s):  
Control Method ◽  
Adjoint Equation ◽  
Optimization Technique ◽  
Computational Cost ◽  
Wave Drag ◽  
Computational Effort ◽  
Theoretical Development ◽  
Full Potential ◽  
Optimal Control Method ◽  
Drag Minimization

The theoretical development and implementation of an optimization technique based on optimal control method is presented for the two-dimensional full-potential flow model. This technique, in comparison with the classical finite-differences approach (brute force), provides major savings in the overall computational cost. The reduction on computational effort is due to the fact that the gradient of a cost function can be evaluated by a closed form equation after the solution of an adjoint equation. Since this adjoint equation is similar to the full-potential equation itself, the same solution algorithm is applied. Inverse design problems are solved using optimization in both subsonic and transonic flows. Also wave drag minimization is successfully accomplished.

scholarly journals How to Implement Return Policies in a Two-Echelon Supply Chain?

2012 ◽  
Vol 2012 ◽  
pp. 1-20 ◽  
Author(s):  
Wei Hu ◽  
Jianbin Li
Keyword(s):  
Supply Chain ◽  
Demand Uncertainty ◽  
Wholesale Price ◽  
Retail Price ◽  
Modeling Framework ◽  
Optimal Response ◽  
Return Policies ◽  
Return Policy ◽  
Optimal Decisions ◽  
Valuation Uncertainty

We integrate a retailer's return policy and a supplier's buyback policy within a modeling framework. In this setting, consumers decide whether to buy and then whether to return the product, the retailer sets the retail price, quantity, and refund price, and the supplier chooses the wholesale price and buyback price. Both the demand uncertainty and consumers' valuation uncertainty are considered; consumers realize their valuations only after purchase. We discuss four scenarios for each party in the supply chain that may offer or not offer return policy. We characterize each party's optimal decisions for all scenarios and we show that the supplier's best choice is to provide buyback policy and the retailer's optimal response is to set refund price to be the same as supplier's buyback price.

Multi-period dual-sourcing replenishment problem with option contracts and a spot market

2018 ◽  
Vol 118 (4) ◽  
pp. 782-805 ◽  
Author(s):  
Nana Wan ◽  
Xu Chen
Keyword(s):  
Wholesale Price ◽  
Price Volatility ◽  
Spot Market ◽  
Approximate Algorithm ◽  
Spot Price ◽  
Stochastic Dynamic ◽  
Operational Strategies ◽  
Content Type ◽  
Option Contracts ◽  
Replenishment Policy

Purpose The spot market has been gradually recognized as an important alternative purchasing source. To maintain a flexible replenishment strategy, call, put and bidirectional option contracts, as a risk hedging, are in combined usage with the spot market, respectively. The purpose of this paper is to analyze a finite-horizon replenishment problem with option contracts in the context of a spot market. Design/methodology/approach Based on stochastic dynamic programming, the firm’s optimal replenishment policy with either call, put or bidirectional option contracts is always shown to be order-up-to type, characterized by an upper threshold and a lower one. The corresponding policy parameters in different cases are calculated through an approximate algorithm. This research highlights the effectiveness of option contracts on the firm’s operational strategies and overall profitability. Findings This study reveals that the firm is better off with option contracts than without them. When the price parameters are the same for different option contracts, bidirectional option contracts are the best choice among these flexible contracts; otherwise, unilateral option contracts might be either better or worse than bidirectional ones. In addition, if low inventory costs and high spot price volatility are confronted, the firm prefers to call option contracts rather than put ones; otherwise, there exists an opposite conclusion. Originality/value In addition to highlight the advantage of option contracts over wholesale price contracts, this paper provides interesting observations with respect to the effect of different option contracts on the firm. Many significant insights derived from this research do not only contribute to the provider’s feasible design of the supply contracts, but also contribute to the user’s rational operational strategies for higher profitability.

Uncertain Newsboy Model

2011 ◽  
Vol 55-57 ◽  
pp. 639-642
Author(s):  
Si Bo Ding
Keyword(s):  
Real Life ◽  
Expected Profit ◽  
Chance Constraint ◽  
Newsboy Problem ◽  
Profit Model ◽  
Hybrid Intelligent Algorithm ◽  
Uncertain Variables ◽  
Deterministic Equivalent ◽  
Proposed Model ◽  
Newsboy Model

In this paper, we consider a new model of newsboy problem with uncertain variables under budget constraint. Since the demands of products are often uncertain in real life, the profit of the newsboy is uncertain. We develop expected profit model and investigate its deterministic equivalent class. In the model, the objective function is to maximize the expected profit of newsboy and the chance of achieving a target budget satisfies chance constraint with at least some given confidence level. Furthermore, a hybrid intelligent algorithm which integrates genetic algorithm and 99-method is designed for the model. Finally, an illustrating example is given to show the application of the proposed model and algorithm.

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