A fuzzy periodic review integrated inventory model involving stochastic demand, imperfect production process and inspection errors
In this study, we investigate an integrated production-inventory system consisting of a single-vendor and single-buyer. The buyer manages its inventory level periodically at a certain period of time. We consider a fuzzy annual demand, imperfect production, inspection errors, partial backordering, an...
| Main Authors: | , , , |
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| Format: | Article |
| Language: | English |
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Taylor & Francis Group
2017-01-01
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| Series: | Cogent Engineering |
| Subjects: | |
| Online Access: | http://dx.doi.org/10.1080/23311916.2017.1308653 |
| _version_ | 1797714183609909248 |
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| author | Wakhid Ahmad Jauhari Selvia Mayangsari Nughthoh Arfawi Kurdhi Kuan Yew Wong |
| author_facet | Wakhid Ahmad Jauhari Selvia Mayangsari Nughthoh Arfawi Kurdhi Kuan Yew Wong |
| author_sort | Wakhid Ahmad Jauhari |
| collection | DOAJ |
| description | In this study, we investigate an integrated production-inventory system consisting of a single-vendor and single-buyer. The buyer manages its inventory level periodically at a certain period of time. We consider a fuzzy annual demand, imperfect production, inspection errors, partial backordering, and adjustable production rate in the proposed model. Additionally, it is assumed that the protection interval demand follows a normal distribution. The model contributes to the current literature by allowing the inclusion of fuzzy annual demand, adjustable production rate and imperfect production and inspection processes. Our objective is to optimize the number of deliveries from vendor to buyer, the buyer’s review period, and the vendor’s production rate, so that the joint expected total annual cost incurred has the minimum value. Furthermore, an iterative procedure is proposed to find the optimal solutions of the model. We also provide a numerical example and conduct a simple sensitivity analysis to illustrate the model’s behaviour and feasibility. The results from the sensitivity analysis show that the defective rate, type I inspection error, fuzzy annual demand, fixed production cost, variable production cost and setup cost give impacts to both the review period and production rate. Finally, it is concluded that the proposed model can be applied by managers or practitiones for managing inventories across the supply chain involving a vendor and a buyer. |
| first_indexed | 2024-03-12T07:48:10Z |
| format | Article |
| id | doaj.art-c095bd662eda4847ad2ac6e1878f2ea6 |
| institution | Directory Open Access Journal |
| issn | 2331-1916 |
| language | English |
| last_indexed | 2024-03-12T07:48:10Z |
| publishDate | 2017-01-01 |
| publisher | Taylor & Francis Group |
| record_format | Article |
| series | Cogent Engineering |
| spelling | doaj.art-c095bd662eda4847ad2ac6e1878f2ea62023-09-02T20:50:35ZengTaylor & Francis GroupCogent Engineering2331-19162017-01-014110.1080/23311916.2017.13086531308653A fuzzy periodic review integrated inventory model involving stochastic demand, imperfect production process and inspection errorsWakhid Ahmad Jauhari0Selvia Mayangsari1Nughthoh Arfawi Kurdhi2Kuan Yew Wong3Sebelas Maret UniversitySebelas Maret UniversitySebelas Maret UniversityUniversiti Teknologi MalaysiaIn this study, we investigate an integrated production-inventory system consisting of a single-vendor and single-buyer. The buyer manages its inventory level periodically at a certain period of time. We consider a fuzzy annual demand, imperfect production, inspection errors, partial backordering, and adjustable production rate in the proposed model. Additionally, it is assumed that the protection interval demand follows a normal distribution. The model contributes to the current literature by allowing the inclusion of fuzzy annual demand, adjustable production rate and imperfect production and inspection processes. Our objective is to optimize the number of deliveries from vendor to buyer, the buyer’s review period, and the vendor’s production rate, so that the joint expected total annual cost incurred has the minimum value. Furthermore, an iterative procedure is proposed to find the optimal solutions of the model. We also provide a numerical example and conduct a simple sensitivity analysis to illustrate the model’s behaviour and feasibility. The results from the sensitivity analysis show that the defective rate, type I inspection error, fuzzy annual demand, fixed production cost, variable production cost and setup cost give impacts to both the review period and production rate. Finally, it is concluded that the proposed model can be applied by managers or practitiones for managing inventories across the supply chain involving a vendor and a buyer.http://dx.doi.org/10.1080/23311916.2017.1308653integrated inventory modelperiodic reviewimperfect productionfuzzy annual demandinspection errorsadjustable production rate |
| spellingShingle | Wakhid Ahmad Jauhari Selvia Mayangsari Nughthoh Arfawi Kurdhi Kuan Yew Wong A fuzzy periodic review integrated inventory model involving stochastic demand, imperfect production process and inspection errors Cogent Engineering integrated inventory model periodic review imperfect production fuzzy annual demand inspection errors adjustable production rate |
| title | A fuzzy periodic review integrated inventory model involving stochastic demand, imperfect production process and inspection errors |
| title_full | A fuzzy periodic review integrated inventory model involving stochastic demand, imperfect production process and inspection errors |
| title_fullStr | A fuzzy periodic review integrated inventory model involving stochastic demand, imperfect production process and inspection errors |
| title_full_unstemmed | A fuzzy periodic review integrated inventory model involving stochastic demand, imperfect production process and inspection errors |
| title_short | A fuzzy periodic review integrated inventory model involving stochastic demand, imperfect production process and inspection errors |
| title_sort | fuzzy periodic review integrated inventory model involving stochastic demand imperfect production process and inspection errors |
| topic | integrated inventory model periodic review imperfect production fuzzy annual demand inspection errors adjustable production rate |
| url | http://dx.doi.org/10.1080/23311916.2017.1308653 |
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