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In this study, we consider an imperfect production inventory system with quality of the products dependent market’s demand structures and allowable delay in payments. Two alternative approaches of trade credit policies have been discussed when the manufacturer could not pay the due amount to the supplier within the credit period offered. Here, a new cycle is begun with new production when the manufacturer’s inventory touches to a certain level of shortages. The cycle also ends when backlogged inventory level is reached a certain level. The backlogging rate for the player is dependent on waiting time. The production cost of the manufacturer varies with ordering lot size and quality of product. The behavior of the model under integrated system is analyzed. The sensitivity of the key parameters is examined to test feasibility of the model. Finally, a numerical example is provided to investigate the proposed model.
Pal, Brojeswar 1
@article{RO_2018__52_2_499_0,
author = {Pal, Brojeswar},
title = {Optimal production model with quality sensitive market demand, partial backlogging and permissible delay in payment},
journal = {RAIRO - Operations Research - Recherche Op\'erationnelle},
pages = {499--512},
publisher = {EDP-Sciences},
volume = {52},
number = {2},
year = {2018},
doi = {10.1051/ro/2017068},
mrnumber = {3880540},
language = {en},
url = {http://geodesic.mathdoc.fr/articles/10.1051/ro/2017068/}
}
TY - JOUR AU - Pal, Brojeswar TI - Optimal production model with quality sensitive market demand, partial backlogging and permissible delay in payment JO - RAIRO - Operations Research - Recherche Opérationnelle PY - 2018 SP - 499 EP - 512 VL - 52 IS - 2 PB - EDP-Sciences UR - http://geodesic.mathdoc.fr/articles/10.1051/ro/2017068/ DO - 10.1051/ro/2017068 LA - en ID - RO_2018__52_2_499_0 ER -
%0 Journal Article %A Pal, Brojeswar %T Optimal production model with quality sensitive market demand, partial backlogging and permissible delay in payment %J RAIRO - Operations Research - Recherche Opérationnelle %D 2018 %P 499-512 %V 52 %N 2 %I EDP-Sciences %U http://geodesic.mathdoc.fr/articles/10.1051/ro/2017068/ %R 10.1051/ro/2017068 %G en %F RO_2018__52_2_499_0
Pal, Brojeswar. Optimal production model with quality sensitive market demand, partial backlogging and permissible delay in payment. RAIRO - Operations Research - Recherche Opérationnelle, Tome 52 (2018) no. 2, pp. 499-512. doi: 10.1051/ro/2017068
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