This paper investigates a food supply chain model consisting of the supplier, food producer and multi-retailer of a deteriorating item under fully delay-in-payment and partial advance payment scheme. The deterioration rate of raw material is dependent on temperature and other environmental factors with respect to time. Here, the food producer prepares food after collecting the raw material from the supplier and then storing it in cold storage. The refrigeration cost is dependent on the occupied volume in the cold storage (where the products are preserved for freshness) and power consumption. The supplier offers delay-in-payment to stimulate the food producer to buy more raw material (which minimizes the holding cost and earns more revenues), whereas the food producer takes the partial advance payment on purchase cost from the retailers to ensure the order quantity. A mathematical model is developed to obtain optimal production time and the optimal number of deliveries so that the average profit of the food producer is maximum. Finally, a numerical example and sensitivity analysis of the key parameters are provided to illustrate and test the feasibility of the proposed model.
Keywords: Supply chain, deteriorating items, delay-in-payment, advance payment
@article{RO_2022__56_1_331_0,
author = {Ghosh, Prasanta Kumar and Kumar Manna, Amalesh and Dey, Jayanta Kumar and Kar, Samarjit},
title = {A deteriorating food preservation supply chain model with downstream delayed payment and upstream partial prepayment},
journal = {RAIRO. Operations Research},
pages = {331--348},
year = {2022},
publisher = {EDP-Sciences},
volume = {56},
number = {1},
doi = {10.1051/ro/2021172},
mrnumber = {4376278},
language = {en},
url = {https://www.numdam.org/articles/10.1051/ro/2021172/}
}
TY - JOUR AU - Ghosh, Prasanta Kumar AU - Kumar Manna, Amalesh AU - Dey, Jayanta Kumar AU - Kar, Samarjit TI - A deteriorating food preservation supply chain model with downstream delayed payment and upstream partial prepayment JO - RAIRO. Operations Research PY - 2022 SP - 331 EP - 348 VL - 56 IS - 1 PB - EDP-Sciences UR - https://www.numdam.org/articles/10.1051/ro/2021172/ DO - 10.1051/ro/2021172 LA - en ID - RO_2022__56_1_331_0 ER -
%0 Journal Article %A Ghosh, Prasanta Kumar %A Kumar Manna, Amalesh %A Dey, Jayanta Kumar %A Kar, Samarjit %T A deteriorating food preservation supply chain model with downstream delayed payment and upstream partial prepayment %J RAIRO. Operations Research %D 2022 %P 331-348 %V 56 %N 1 %I EDP-Sciences %U https://www.numdam.org/articles/10.1051/ro/2021172/ %R 10.1051/ro/2021172 %G en %F RO_2022__56_1_331_0
Ghosh, Prasanta Kumar; Kumar Manna, Amalesh; Dey, Jayanta Kumar; Kar, Samarjit. A deteriorating food preservation supply chain model with downstream delayed payment and upstream partial prepayment. RAIRO. Operations Research, Tome 56 (2022) no. 1, pp. 331-348. doi: 10.1051/ro/2021172
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