Integrated model for pricing, delivery time setting, and scheduling in make-to-order environments
Abstract Usually, in make-to-order environments which work only in response to the customer’s orders, manufacturers for maximizing the profits should offer the best price and delivery time for an order considering the existing capacity and the customer’s sensitivity to both the factors. In this pape...
Main Authors: | , , |
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Format: | Article |
Language: | English |
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Islamic Azad University
2017-05-01
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Series: | Journal of Industrial Engineering International |
Subjects: | |
Online Access: | http://link.springer.com/article/10.1007/s40092-017-0205-y |
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author | Hamid Sattari Garmdare M. M. Lotfi Mahboobeh Honarvar |
author_facet | Hamid Sattari Garmdare M. M. Lotfi Mahboobeh Honarvar |
author_sort | Hamid Sattari Garmdare |
collection | DOAJ |
description | Abstract Usually, in make-to-order environments which work only in response to the customer’s orders, manufacturers for maximizing the profits should offer the best price and delivery time for an order considering the existing capacity and the customer’s sensitivity to both the factors. In this paper, an integrated approach for pricing, delivery time setting and scheduling of new arrival orders are proposed based on the existing capacity and accepted orders in system. In the problem, the acquired market demands dependent on the price and delivery time of both the manufacturer and its competitors. A mixed-integer non-linear programming model is presented for the problem. After converting to a pure non-linear model, it is validated through a case study. The efficiency of proposed model is confirmed by comparing it to both the literature and the current practice. Finally, sensitivity analysis for the key parameters is carried out. |
first_indexed | 2024-12-22T09:44:50Z |
format | Article |
id | doaj.art-50dbce87e9a049bfaaf1297fa0f4206e |
institution | Directory Open Access Journal |
issn | 1735-5702 2251-712X |
language | English |
last_indexed | 2024-12-22T09:44:50Z |
publishDate | 2017-05-01 |
publisher | Islamic Azad University |
record_format | Article |
series | Journal of Industrial Engineering International |
spelling | doaj.art-50dbce87e9a049bfaaf1297fa0f4206e2022-12-21T18:30:34ZengIslamic Azad UniversityJournal of Industrial Engineering International1735-57022251-712X2017-05-01141556410.1007/s40092-017-0205-yIntegrated model for pricing, delivery time setting, and scheduling in make-to-order environmentsHamid Sattari Garmdare0M. M. Lotfi1Mahboobeh Honarvar2Department of Industrial Engineering, Yazd UniversityDepartment of Industrial Engineering, Yazd UniversityDepartment of Industrial Engineering, Yazd UniversityAbstract Usually, in make-to-order environments which work only in response to the customer’s orders, manufacturers for maximizing the profits should offer the best price and delivery time for an order considering the existing capacity and the customer’s sensitivity to both the factors. In this paper, an integrated approach for pricing, delivery time setting and scheduling of new arrival orders are proposed based on the existing capacity and accepted orders in system. In the problem, the acquired market demands dependent on the price and delivery time of both the manufacturer and its competitors. A mixed-integer non-linear programming model is presented for the problem. After converting to a pure non-linear model, it is validated through a case study. The efficiency of proposed model is confirmed by comparing it to both the literature and the current practice. Finally, sensitivity analysis for the key parameters is carried out.http://link.springer.com/article/10.1007/s40092-017-0205-yMake-to-orderPricingDelivery timeOrder schedulingMixed-integer non-linear program |
spellingShingle | Hamid Sattari Garmdare M. M. Lotfi Mahboobeh Honarvar Integrated model for pricing, delivery time setting, and scheduling in make-to-order environments Journal of Industrial Engineering International Make-to-order Pricing Delivery time Order scheduling Mixed-integer non-linear program |
title | Integrated model for pricing, delivery time setting, and scheduling in make-to-order environments |
title_full | Integrated model for pricing, delivery time setting, and scheduling in make-to-order environments |
title_fullStr | Integrated model for pricing, delivery time setting, and scheduling in make-to-order environments |
title_full_unstemmed | Integrated model for pricing, delivery time setting, and scheduling in make-to-order environments |
title_short | Integrated model for pricing, delivery time setting, and scheduling in make-to-order environments |
title_sort | integrated model for pricing delivery time setting and scheduling in make to order environments |
topic | Make-to-order Pricing Delivery time Order scheduling Mixed-integer non-linear program |
url | http://link.springer.com/article/10.1007/s40092-017-0205-y |
work_keys_str_mv | AT hamidsattarigarmdare integratedmodelforpricingdeliverytimesettingandschedulinginmaketoorderenvironments AT mmlotfi integratedmodelforpricingdeliverytimesettingandschedulinginmaketoorderenvironments AT mahboobehhonarvar integratedmodelforpricingdeliverytimesettingandschedulinginmaketoorderenvironments |