Volume 5, Issue 3 (8-2015)
IJOCE 2015, 5(3): 375-389 |
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Malekian Y, Mirmohammadi S. JOINT ECONOMIC LOT SIZING PROBLEM IN A TWO ECHELON PRODUCTION SYSTEM WITH FINITE PRODUCTION RATE AND LEAD TIME. IJOCE 2015; 5 (3) :375-389
URL: http://ijoce.iust.ac.ir/article-1-221-en.html
URL: http://ijoce.iust.ac.ir/article-1-221-en.html
Abstract: (16821 Views)
In this study, a two-echelon supplier-manufacturer system with finite production rate and
lead time is proposed. It is assumed that shortage is not permitted and the lot size of
manufacturer (second echelon) is m-factors of the lot size of supplier (first echelon) and
supplier can supply the manufacturer’s lot size in several shipments in each cycle. So, the
production rate of supplier is greater than manufacturer’s. The proposed model aims to
determine the optimal lot-size of each echelon such that the total cost of system is
minimized. First, the problem is studied regardless of lead time and the optimal value of the
lot sizes and the number of shipments is determined through analytical relations. Then, an
exact solution algorithm for the problem is presented for the case with non-zero lead time.
Finally, the performance of the proposed algorithm is reviewed by solving some numerical
instances of the problem.
Keywords: Inventory control, Joint economic lot sizing, multi echelon production systems, finite production rate.
Type of Study: Research |
Subject:
Optimal design
Received: 2015/06/27 | Accepted: 2015/06/27 | Published: 2015/06/27
Received: 2015/06/27 | Accepted: 2015/06/27 | Published: 2015/06/27
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