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:: Volume 2, Issue 1 (5-2015) ::
2015, 2(1): 617-639 Back to browse issues page
Integrated Inventory Model with Controllable Lead Time Involving Investment for Quality Improvement in Supply Chain System
M Vijayashree * 1, R Uthayakumar2
1- The Gandhigram Rural Institute Deemed- University, Gandhigram, Dindigul, India , vijayashreemay30@gmail.com
2- The Gandhigram Rural Institute Deemed- University, Gandhigram, Dindigul, India
Abstract:   (12317 Views)
The purpose of this article is to investigate a two-echelon supply chain inventory problem consisting of a single-vendor and a single-buyer with controllable lead time and investment for quality improvements. This paper presents an integrated vendor-buyer inventory model in order to minimize the sum of the ordering cost, holding cost, setup cost, investment for quality improvement and crashing cost by simultaneously optimizing the optimal order quantity, process quality, lead time and number of deliveries the vendor to the buyer in one production run with the objective of minimizing total relevant cost. Here the lead-time crashing cost has been assumed to be an exponentially function of the lead-time length. The main contribution of proposed model is an efficient iterative algorithm developed to minimize integrated total relevant cost for the single vendor and the single buyer systems with controllable lead time reduction and investment for quality improvements. Graphical representation is also presented to illustrate the proposed model. Numerical examples are presented to illustrate the procedures and results of the proposed algorithm. Matlab coding is also developed to derive the optimal solution and present numerical examples to illustrate the model.
Keywords: Integrated inventory model, Vendor buyer coordination, Controllable lead time crashing cost, Supply Chain Management, Investment for quality improvements
     
Type of Study: مقاله پژوهشی |
ePublished: 2017/09/28
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Vijayashree M, Uthayakumar R. Integrated Inventory Model with Controllable Lead Time Involving Investment for Quality Improvement in Supply Chain System. Journal title 2015; 2 (1) :617-639
URL: http://system.khu.ac.ir/ijsom/article-1-2378-en.html


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Creative Commons License This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
Volume 2, Issue 1 (5-2015) Back to browse issues page
International Journal of Supply and Operations Management International Journal of Supply and Operations Management
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