Dynamic lot sizing with multiple suppliers, backlogging and quantity discounts

A heuristic to solve the dynamic lot sizing problem with supplier selection and quantity discounts

In the present study, the single-item dynamic lot sizing problem with supplier selection is investigated. The problem is broken down into two different cases. In the first case, quantity discounts are not taken into account; in the second case, incremental and all-unit quantity discounts are considered. Due to the complexity of the problems, a new heuristic is developed, which is based on the F...

Heuristics for sourcing from multiple suppliers with alternative quantity discounts

In this paper, we analyze the impact of supplier pricing schemes and supplier capacity limitations on the optimal sourcing policy for a single firm. We consider the situation where the total quantity to be procured for a single period is known by the firm and communicated to the supplier set. In response to this communication, each supplier quotes a price and a capacity limit in terms of a maxi...

Modeling and Analyzing Incremental Quantity Discounts in Transportation Costs for a Joint Economic Lot Sizing Problem

Joint economic lot sizing (JELS) addresses integrated inventory models in a supply chain. Most of the studies in this field either do not consider the role of the transportation cost in their analysis or consider transportation cost as a fixed part of the ordering costs. In this article, a model is developed to analyze an incremental quantity discount in transportation cost. Appropriate equatio...

The joint replenishment problem involving multiple suppliers offering quantity discounts

In this article, we deal with the problem of determining the economic operating policy when a number of items are to be procured from a number of suppliers offering different quantity discounts schedules. In such inventory problems, a fixed cost is incurred with each replenishment order, independent of the suppliers as well as the items involved in the order. Further, the item involves a minor ...

Optimal Setup Cost Reduction and Lot Sizing with Imperfect Production Processes and Quantity Discounts