This paper presents the economic production quantity (EPQ) models for the imperfect quality items produced with/without the presence of shortage condition. The models are presented in a two-level supply chain composed of a single manufacturer and a single buyer to investigate the performance of vendormanaged inventory (VMI) policy. The total costs are minimized to obtain the optimal production ...

In this paper we consider the uncapacitated economic lot-size model, where demand is a deterministic function of price. In the model a single price need to be set for all periods. The objective is to find an optimal price and ordering decisions simultaneously. In 1973 Kunreuther and Schrage proposed an heuristic algorithm to solve this problem. The contribution of our paper is twofold. First, w...

This paper deals with an integrated model for the joint determination of both economic production quantity (EPQ) and level of preventive maintenance (PM) for an imperfect production process. This process has a general deterioration distribution with increasing hazard rate. The effect of PM activities on the deterioration pattern of the process is modeled using the imperfect maintenance concept....

This chapter deals with a mathematical model which gives an optimal production schedule in demand declining market if production system is imperfect (i.e. at any random time during production period machine shifts from 'in – control' state in to 'out – of control' state). This is a study about economic production in an imperfect production system. The imperfect production system means, a system...

Abstract In a single item dynamic lot-sizing problem, we are given time horizon and demand for in every period. The problem seeks solution that determines how much to produce carry at each period, so will incur the least amount of production inventory cost. When remanufacturing option is included, input comprises number returned products period can be potentially remanufactured satisfy demands,...

A real economic growth only comes from increasing quality and quantity of the factors of production. Most production systems produce items which are of imperfect quality. In a production/inventory situation items which are received or produced are not of perfect quality. Thus the presence of defects which is inevitable in a produced/ordered lot is sorted out by the process of screening. Handlin...

Imperfect quality items are unavoidable in an inventory system due to imperfect production process, natural disasters, damages, or many other reasons. The setup cost and production cycle time can be related in terms of process deterioration and learning and forgetting effects. Learning reduces production run length and setup cost, whereas deterioration and forgetting increases both. Keeping the...