×
Panda, S.; Saha, S.; Basu, M.

Optimal production stopping time for perishable products with ramp-type quadratic demand dependent production and setup cost. (English) Zbl 1204.90006

CEJOR, Cent. Eur. J. Oper. Res. 17, No. 4, 381-396 (2009).
Summary: A single item economic production quantity (EPQ) model is discussed to analyse the behaviour of the inventory level after it’s introduction to the market. It is assumed that demand is time dependent accelerated growth-effect of accelerated growth-steady type. Unlike the conventional EPQ models, which are restricted to general production cycle over the finite or infinite time horizon, we consider the production sale scenario of the very first production cycle for newly introduced perishable product. Shortage is not allowed. Set up cost of an order cycle depends on the total amount of inventory produced. The finite production rate is proportional to demand rate. Optimal production stopping time is determined to maximize total unit profit of the system. A numerical example is presented to illustrate the development of the model. Sensitivity analysis of the model is carried out.

Cited in 3 Documents

MSC:

90B05 Inventory, storage, reservoirs
90B25 Reliability, availability, maintenance, inspection in operations research

Keywords:

inventory; ramp-type demand; demand dependent production
PDF BibTeX XML Cite
\textit{S. Panda} et al., CEJOR, Cent. Eur. J. Oper. Res. 17, No. 4, 381--396 (2009; Zbl 1204.90006)
Full Text: DOI
  • logo of hbz
  • logo of WorldCat

References:

[1] Deb K (2000) Optimization for engineering design. Prentice-Hall of India, New Delhi, pp 153–171
[2] Donalson WA (1977) Inventory replenishment policy for a linear trend in demand-an analytical solution. Oper Res Q 28: 663–670 · Zbl 0372.90052
[3] Gallego G (1993) Reduced production rates in the economic lot scheduling problem. Int J Prod Res 31(5): 1035–1046 · Zbl 0772.90039
[4] Ghare PM, Schrader GF (1963) An inventory model for deteriorating item for exponentially deteriorating items. J Ind Eng 14: 238–243
[5] Giri BC, Chakrabarty T, Chaudhuri KS (1999) Retailer’s optimal policy for a perishable product with shortages when supplier offers all-unit quantity and freight cost discount. Proc Natl Acad Sci 69A(III): 315–326 · Zbl 1004.91023
[6] Giri BC, Jalan AK, Chadhuri KS (2003) Economic Order Quantity model with Weibull deterioration distribution, shortage and ramp-type demand. Int J Syst Sci 34(4): 237–243 · Zbl 1074.90505
[7] Goyal SK (1988) A heuristic for replenishment of trended inventories considering shortages. J Oper Res Soc 39: 885–887
[8] Goyal SK, Giri BC (2001) Recent trends in modeling of deteriorating inventory. Eur J Oper Res 134: 1–16 · Zbl 0978.90004
[9] Hariga MA, Benkherouf L (1994) Optimal and heuristic inventory models for deteriorating items with exponential time-varying demand. Eur J Oper Res 79: 123–137 · Zbl 0812.90039
[10] Hax AC, Candea D (1984) Production and Inventory Management. Prentice-Hall, Englewood Cliffs
[11] Hill RM (1995) Optimal EOQ models for deteriorating items with time-varying demand. J Oper Res Soc 47: 1228–1246
[12] Khanra S, Chaudhuri KS (2003) A note on an order-level inventory model for a deteriorating item with time-dependent quadratic demand. Comput Oper Res 30: 1901–1916 · Zbl 1047.90002
[13] Khouja M (1995) The economic production lot size model under volume flexibility. Comput Oper Res 22(5): 515–523 · Zbl 0830.90067
[14] Khouja M, Mehrez A (1994) An economic production lot size model with imperfect quality and variable production rate. J Oper Res Soc 45(12): 1405–1417 · Zbl 0814.90020
[15] Manna SK, Chaudhuri KS (2006) An EOQ model with ramp type demand rate, time dependent deterioration rate, unit production cost and shortages. Eur J Oper Res 171: 557–566 · Zbl 1090.90068
[16] Mondal B, Pal AK (1998) Order level inventory system with ramp type demand for deteriorating items. J Interdiscipl Math 1: 49–66 · Zbl 0911.90142
[17] Moon I, Gallego G, Simchi-Levi D (1991) Controllable production rates in a family production context. Int J Prod Res 29: 2459–2470 · Zbl 0729.90822
[18] Nahmias P (1982) Perishable inventory theory: a review. Oper Res 30: 680–708 · Zbl 0486.90033
[19] Panda S, Saha S, Basu M (2007) An EOQ model with generalized ramp-type demand and Weibull distribution deterioration. Asia Pacific J Oper Res 24(1): 93–109 · Zbl 1137.90321
[20] Panda S, Senapati S, Basu M (2008) Optimal replenishment policy for perishable seasonal products in a season with ramp-type time dependent demand. Comput Ind Eng 54(4): 301–314
[21] Raafat E (1991) Survey of literature on continuously deteriorating inventory model. J Oper Res Soc 42: 27–37 · Zbl 0718.90025
[22] Schweitzer PJ, Seidmann A (1991) Optimizing, processing rate for flexible manufacturing systems. Manage Sci 37: 454–466
[23] Silver EA (1990) Deliberately solving down output in a family production context. Int J Prod Res 28(1): 17–27
[24] Silver EA, Peterson R (1985) Decision system for inventory management and production planning, 2nd edn. Wiley, New York
[25] Sule DR (1981) A note on production time variation in determining EMQ under influence of learning and forgetting. IIE Trans 13: 338–343
[26] Wu KS, Ouyang LY (2000) A replenishment policy for deteriorating items with ramp-type demand rate for deteriorating items. Proc Natl Sci council Part A Phys Sci Eng 24(4): 279–286
This reference list is based on information provided by the publisher or from digital mathematics libraries. Its items are heuristically matched to zbMATH identifiers and may contain data conversion errors. It attempts to reflect the references listed in the original paper as accurately as possible without claiming the completeness or perfect precision of the matching.