An Optimal Policy for an Integrated Supply Chain with Investment in an Imperfect Production System

2012 ◽  
Vol 4 (23) ◽  
pp. 568-575
Author(s):  
Hui Shu ◽  
Xideng Zhou
Keyword(s):  
Supply Chain ◽  
Optimal Policy ◽  
Production System ◽  
Imperfect Production ◽  
Integrated Supply Chain

scholarly journals An EPQ inventory model considering an imperfect production system with probabilistic demand and collaborative approach

2019 ◽  
Vol 17 (2) ◽  
pp. 282-304
Author(s):  
Katherinne Salas-Navarro ◽  
Jaime Acevedo-Chedid ◽  
Gina Mora Árquez ◽  
Whady F. Florez ◽  
Holman Ospina-Mateus ◽  
...  
Keyword(s):  
Supply Chain ◽  
Production System ◽  
Inventory Model ◽  
Collaborative Approach ◽  
Lot Size ◽  
Defective Items ◽  
Content Type ◽  
Imperfect Production ◽  
Imperfect Items ◽  
Exponential Probability

Purpose The purpose of this paper is to propose an economic production quantity (EPQ) inventory model considering imperfect items and probabilistic demand for a two-echelon supply chain. The production process is imperfect and the imperfect quality items are removed from the lot size. The demand rate of the inventory system is random and follows an exponential probability density function and the demand of the retailers is depending on the initiatives of the sales team. Design/methodology/approach Two approaches are examined. In the non-collaborative approach, any member of the supply chain can be the leader and takes decisions to optimize the profits, and in the collaborative system, all members make joint decisions about the production, supply, sales and inventory to optimize the profits of the supply chain members. The calculus approach is applied to find the maximum profit related to the members of the supply chain. Findings A numerical example is presented to illustrate the performance of the EPQ model. The results show that collaborative approach generates greater profits to the supply chain and the market’s demand represents the variable behavior and uncertainty that is generated in the replenishment of a supply chain. Originality/value The new and major contributions of this research are: the inventory model considers demand for products is random variable which follows an exponential probability distribution function and it also depends on the initiatives of sales teams, the imperfect production system generates defective items, different cycle time are considered in manufacturer and retailers and collaborative and non-collaborative approaches are also studied.

scholarly journals Production System in a Collaborative Supply Chain Considering Deterioration

2021 ◽  
Vol 7 (3) ◽  
Author(s):  
Jaime Acevedo-Chedid ◽  
Katherinne Salas-Navarro ◽  
Holman Ospina-Mateus ◽  
Alina Villalobo ◽  
Shib Sankar Sana
Keyword(s):  
Supply Chain ◽  
Production System

Information technology support for integrated supply chain modeling

2008 ◽  
Vol 27 (1) ◽  
pp. 3-13
Author(s):  
Charu Chandra ◽  
Jānis Grabis
Keyword(s):  
Decision Making ◽  
Information Technology ◽  
Supply Chain ◽  
Process Modeling ◽  
Service Oriented Architecture ◽  
Model Development ◽  
Integrated Models ◽  
Supply Chain Modeling ◽  
Decision Making Models ◽  
Integrated Supply Chain

Multiple interrelated decision-making models are frequently used in supply chain modeling. Model integration is a precondition for efficient development and utilization of these models. This paper discusses use of modern information technology (IT) techniques and methods for integration of supply chain decision-making models. The overall approach to using IT at various stages of model development is presented. Data and process modeling techniques are used to developed semi-formalized representation of integrated models. These models support integration of decision-making components with other parts of supply chain information system. Process modeling is also used to describe interrelationships among multiple decision-making models. This representation is used as the basis for implementation of integrated models. The service-oriented architecture is proposed as an implementation platform. The presented discussion serves as the basis for further developments in developing integrated supply chain decision-making models.

scholarly journals Two-Stage Production System Pondering upon Corporate Social Responsibility in Food Supply Chain: A Case Study

2021 ◽  
Vol 11 (3) ◽  
pp. 1088
Author(s):  
Ten-Suz Chen ◽  
Yung-Fu Huang ◽  
Ming-Wei Weng ◽  
Manh-Hoang Do
Keyword(s):  
Corporate Social Responsibility ◽  
Supply Chain ◽  
Supply Chain Management ◽  
Social Responsibility ◽  
Food Supply ◽  
Production System ◽  
Food Supply Chain ◽  
Two Stage ◽  
Chain Management ◽  
Corporate Social

Corporate social responsibility (CSR) has witnessed remarkable attention in academic studies as well as being widely conducted in different industries globally. This specific case was chosen as one of the biggest dairy companies that may be represented for Vietnam dairy supply chain management. This research aims to integrate CSR initiatives into food supply chain management to clarify the optimal replenishment policy, paying close attention to the relationship between midstream manufacturers and final customers. The classical economic production quantity model has been employed, relying on the two-stage assembly production system. The three parameters that contribute to the total profit formulation that have been considered consist of the social charity amount for per unit selling, the unit wholesale price of the manufacturer, and the return rate of used goods from the customer. The study has stressed that there is a significant impact from implementing CSR initiatives on the enterprise’s inventory policy that leads to enhance the firm’s financial performance.

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.

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