Article history: Received October 2 2012 Received in revised format November 2 2012 Accepted November 2 2012 Available online 6 November 2012 This study develops an integrated production inventory model from the perspectives of vendor, supplier and buyer. The demand rate is time dependent for the vendor and supplier and buyer assumes the stock dependent demand rate. As per the demand, supplier ...

We study a coordination contract for a supplier-retailer channel producing and selling a fashionable product exhibiting a stochastic price-dependent demand. The product’s selling season is short, and the supply chain faces great demand uncertainty. We consider a scenario where the supplier reserves production capacity for the retailer in advance, and permits the retailer to place an order not e...

background and objectives: induced demand in healthcare is referred to as provision of unnecessary services or the patient by health services providers, while the patient is not aware of their unnecessity. apart from being unethical, this practice can potentially disturb the supply and demand balance in the health market, pose financial load on the patient, thread the patient’s health by imposi...

Abstract In this paper we consider a system consisting of a retailer, a supplier with a single processing unit, and a repair center. We assume that the retailer faces a Poisson demand, his ordering cost is zero or negligible, and for his inventory control he applies one-for-one ordering policy, that is, as soon as a demand arrives he orders one unit to the supplier. We also assume that when a d...

Supplier sourcing strategies are a crucial factor driving supply chain success. In this paper, we investigate the implications of uncertain supplier reliability on a firm’s sourcing decisions in an environment with stochastic demand. In particular, we characterize specific conditions under which a firm should choose a single versus multiple supplier sourcing strategy. In an environment with bot...

In this article, optimal two-part tariffs of a bi-directional telecommunications service are examined. Heterogeneous users are assumed to formulate social demand for the service. Two regimes of supplier are considered: monopoly and non-monopoly. In the latter, the supplier which enjoyed monopoly is faced with the entry of a competitive mpplier. Demand externalities which are conspicuous in tele...

In this paper, we extend the results of Ferguson [10] on an end-product manufacturer’s choice of when to commit to an order quantity from its parts supplier. During the supplier’s lead-time, information arrives about end product demand. This information reduces some of the forecast uncertainty. While the supplier must choose its production quantity of parts based on the original forecast, the m...

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Under stochastic demand and deterministic processing times, we discussed a single-part JIT production system with the production-ordering and supplier Kanbans and derived the stationary distributions of the backlogged demand. In this paper, we extend the system to a multi-part JIT production system, deterministic processing times and withdrawals with lead time. These conditions are more realist...

We consider two−echelon supply chains with one supplier and two retailers. Retailers are censored newsvendors facing general parametric demand distributions involving unknown parameters. Using a Bayesian MDP formulation, we investigate how the supplier can make use of the combined information gathered from the retailers’ sales data to increase channel pro ts. We compare among the following thre...