In this model, a supply chain model has been developed where a manufacturer continuously transports perfect quality items at no cost to a distribution center to maintain the market demand. At the beginning of the process, the production process is in an “in-control” state, but after a random time, it goes to an “out-of-control” state. Thus the production process produces perfect as well as imperfect items in this state. The rate of imperfect production depends on production rate and production-run length in the “out-of-control” state. The unit production cost of the manufacturer depends on the production rate which indicates that the higher production rate is the cause of higher production cost if it exceeds the normal production rate set by the manufacturer. The manufacturer provides a credit period to the distributor to increase his sales growth. In the competitive business world, credit period affects the demand rate of a retailer/buyer due to its late payment facility. So, here, credit period dependent demand function is introduced for the distributor. During the festive season, demand factor of products is usually affected by stock level. Also, for some types of products (such as clothing), the demand factor depends on its stock level. Thus we have considered stock-dependent demand function for the customers. Now, in an infinite time horizon, the problem is how they adjust their demands to sustain the whole system’s financial flow. The novelty of this model is to analyze the compatibility of this two-type of demand in their businesses so that both can maintain their profits. Also, there is another credit length which is offered by the distributor. The proposed model has been discussed in type-2 fuzzy environment due to the uncertainty of the credit period. The purpose of this model is to optimize the integrated profit of the system by optimizing production rate and production-run time. Finally, numerical examples have been provided to illustrate the feasibility of both crisp and fuzzy model and some conclusions are derived conducting a sensitivity analysis of different parameters.
Keywords: Supply chain, imperfect production, two-level credit period, type-2 fuzzy environment
@article{RO_2021__55_3_1291_0,
author = {Banu, Ateka and Manna, Amalesh Kumar and Mondal, Shyamal Kumar},
title = {Adjustment of credit period and stock-dependent demands in a supply chain model with variable imperfectness},
journal = {RAIRO. Operations Research},
pages = {1291--1324},
year = {2021},
publisher = {EDP-Sciences},
volume = {55},
number = {3},
doi = {10.1051/ro/2021058},
mrnumber = {4266217},
language = {en},
url = {https://www.numdam.org/articles/10.1051/ro/2021058/}
}
TY - JOUR AU - Banu, Ateka AU - Manna, Amalesh Kumar AU - Mondal, Shyamal Kumar TI - Adjustment of credit period and stock-dependent demands in a supply chain model with variable imperfectness JO - RAIRO. Operations Research PY - 2021 SP - 1291 EP - 1324 VL - 55 IS - 3 PB - EDP-Sciences UR - https://www.numdam.org/articles/10.1051/ro/2021058/ DO - 10.1051/ro/2021058 LA - en ID - RO_2021__55_3_1291_0 ER -
%0 Journal Article %A Banu, Ateka %A Manna, Amalesh Kumar %A Mondal, Shyamal Kumar %T Adjustment of credit period and stock-dependent demands in a supply chain model with variable imperfectness %J RAIRO. Operations Research %D 2021 %P 1291-1324 %V 55 %N 3 %I EDP-Sciences %U https://www.numdam.org/articles/10.1051/ro/2021058/ %R 10.1051/ro/2021058 %G en %F RO_2021__55_3_1291_0
Banu, Ateka; Manna, Amalesh Kumar; Mondal, Shyamal Kumar. Adjustment of credit period and stock-dependent demands in a supply chain model with variable imperfectness. RAIRO. Operations Research, Tome 55 (2021) no. 3, pp. 1291-1324. doi: 10.1051/ro/2021058
and , Ordering policies of deteriorating items under permissible delay in payments. J. Oper. Res. Soc. 46 (1995) 658–662. | Zbl | DOI
and , Analyzing an inventory model with two-level trade credit period including the effect of customers’ credit on the demand function using -fuzzy number. Oper. Res. Int. J. 20 (2020) 1559–1587. | DOI
and , An integrated inventory model with warranty dependent credit period under two policies of a manufacturer. Opsearch 55 (2018) 677–702. | MR | DOI
and , The simplified solution procedure for deteriorating items under stock-dependent demand and two-level trade credit in the supply chain management. Appl. Math. Model. 37 (2013) 4653–4660. | MR | DOI
, and , Integrated supply chain model for a deteriorating item with procurement cost dependent credit period. Comput. Ind. Eng. 64 (2013) 788–796. | DOI
, and , Optimal transportation and business cycles in an integrated production inventory model with a discrete credit period. Transport. Res. E-Log. 68 (2014) 1–13. | DOI
, and , An integrated production inventory model under interactive fuzzy credit period for deteriorating item with several markets. Appl. Soft. Comput. 28 (2015) 435–465.
and , A particle swarm optimization for solving joint pricing and lot-sizing problem with fluctuating demand and trade credit financing. Comput. Ind. Eng. 60 (2011) 127–137. | DOI
and , Inspection scheduling for imperfect production process under free repair warranty contract. Eur. J. Oper. Res. 183 (2007) 238–252. | Zbl | DOI
, Economic order quanity under conditions of permissible delay in payments. J. Oper. Res. Soc. 36 (1985) 335–338. | Zbl | DOI
and , An integrated production-inventorymarketing model for deteriorating items. Comput. Ind. Eng. 28 (1995) 755–762. | DOI
, Operations and Cost, Factory Management Series. A.W. Shaw Co. (1915).
, An EPQ model with setup cost and process quality as functions of capital expenditure. Appl. Math. Model. 31 (2007) 10–17. | Zbl | DOI
, Optimal retailer’s ordering policies in the EOQ model under trade credit financing. J. Oper. Res. Soc. 54 (2003) 1011–1015. | Zbl | DOI
and , Developing approximate algorithms for EPQ problem with process compressibility and random error in production inspection. Int. J. Prod. Res. 52 (2014) 2388–2421. | DOI
, , , and , A fuzzy lot-sizing problem with two-stage composite human learning. Int. J. Prod. Res. 54 (2016) 5010–5025. | DOI
, , and , A review of the extensions of a modified EOQ model for imperfect quality items. Int. J. Prod. Econ. 132 (2011) 1–12. | DOI
, An EOQ model with non-instantaneous receipt and exponentially deteriorating items under two-level trade credit. Int. J. Prod. Econ. 113 (2008) 852–861. | DOI
and , A two-warehouse integrated inventory model with imperfect production process under stock-dependent demand and quantity discount offer. Int. J. Syst. Sci. 6 (2019) 15–26.
, and , Imperfect production inventory model with production rate dependent defective rate and advertisement dependent demand. Comput. Ind. Eng. 104 (2017) 9–22. | DOI
, and , Two layers green supply chain imperfect productioninventory model under bi-level credit period. Tekhne 15 (2017) 124–142.
, and , Impact of carbon emission on imperfect production inventory system with advance payment base free transportation. RAIRO: OR 54 (2020) 1103–1117. | MR | Numdam | DOI
, and , Effect of inspection errors on imperfect production inventory model with warranty and price discount dependent demand rate. RAIRO: OR 54 (2020) 1189–1213. | MR | Numdam | DOI
and , Analyzing a four-layer green supply chain imperfect production inventory model for green products under type-2 fuzzy credit period. Comput. Ind. Eng. 129 (2019) 435–453. | DOI
and , Economic production cycles with imperfect production processes. IIE Trans. 18 (1986) 48–55. | DOI
and , Economic production quantity model for items with imperfect quality. Int. J. Prod. Econ. 64 (2000) 59–64. | DOI
, An economic production lot size model in an imperfect production system. Eur. J. Oper. Res. 201 (2010) 158–170. | Zbl | DOI
and , Decision Systems for Inventory Management and Production Planning, 2nd edition. Wiley, New York (1985).
and , Retailer’s decision for ordering and credit policies for deteriorating items when a supplier offers order-linked credit period or cash discount. Appl. Math. Comput. 259 (2015) 569–573. | MR
, , and , Optimal manufacturing lot size for a single-stage production system with rework in a fuzzy environment. J. Intell. Fuzy. Syst. 27 (2014) 3067–3080. | MR
, , and , A fuzzifed version of the economic production quantity (EPQ) model with backorders and rework for a single-stage system. Eur. J. Ind. Eng. 8 (2014) 291–324. | DOI
, , and , Analyzing optimization techniques in inventory models: the case of fuzzy economic order quantity problems. In: Proceedings of Conference on Industrial Engineering and Operations Management, Kuala Lumpur, Malaysia, March 8–10 (2016) 1229–1240.
, , and , Fuzzy inventory models: a comprehensive review. Appl. Soft. Comput. 55 (2017) 588–621. | DOI
, and , Revisiting a fuzzy rough economic order quantity model for deteriorating items considering quantity discount and prepayment. Math. Comput. Model. 57 (2013) 1466–1479. | MR | DOI
, Determination of production run time and warranty length under system maintenance and trade credits. Int. J. Syst. Sci. 43 (2012) 2312–2360. | MR | Zbl
, On the economic order quantity under conditions of permissible delay in payments. J. Oper. Res. Soc. 53 (2002) 915–918. | Zbl | DOI
, Fuzzy Set Theory and Its Applications, 2nd revised edition. Kluwer Academic Publishers, Dordrecht, The Netherlands (1991). | Zbl | MR
Cité par Sources :
