An integrated procurement-production-delivery system under an infinite planning horizon
Document Type
Conference Proceeding
Publication Date
1-1-2010
Abstract
This paper studies an integrated procurement-production-delivery system in a supply chain. In this model a manufacturing facility purchases a fixed quantity of raw material from outside supplier, processes the materials, and delivers a fixed quantity of finished products to a buyer periodically. The model developed in the paper is used to determine optimal economic lot size for raw material procurement, production setup and finished goods delivering under an infinite planning horizon. The price decrease in raw material as observed in high-tech industries and its impact on the cost of finished goods are considered in the study. An efficient algorithm is developed for obtaining the optimal solution.
Publication Source (Journal or Book title)
IIE Annual Conference and Expo 2010 Proceedings
Recommended Citation
Yu, J., Sarker, B., & Mungan, D. (2010). An integrated procurement-production-delivery system under an infinite planning horizon. IIE Annual Conference and Expo 2010 Proceedings Retrieved from https://repository.lsu.edu/mechanical_engineering_pubs/2051