A Study on Economic Production Quantity Models under Permissible Delay in Payments

碩士 === 國立屏東科技大學 === 工業管理系所 === 95 === The traditional economic production quantity (EPQ) model assumes that manufacturers must pay to the material suppliers as soon as they receive the items. However, in practices, material suppliers usually offer manufacturers a permission of delayed payment for th...

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Bibliographic Details
Main Author: 李旻芳
Other Authors: 蔡登茂
Format: Others
Language:zh-TW
Published: 2007
Online Access:http://ndltd.ncl.edu.tw/handle/76977784226321389615
Description
Summary:碩士 === 國立屏東科技大學 === 工業管理系所 === 95 === The traditional economic production quantity (EPQ) model assumes that manufacturers must pay to the material suppliers as soon as they receive the items. However, in practices, material suppliers usually offer manufacturers a permission of delayed payment for the purchase, which is “trade credit period” in order to increase the amount of orders. Through the trade credit period, manufacturers are apt to earn the investment remuneration without paying the interest in advance. In addition, the traditional EPQ model assumes that all units produced are of perfect quality and the production rate is constant. These assumptions may not be valid for most of the production environments. In many practical situations, the process may deteriorate and produce defective items. In addition, learning is an important consideration whenever an operator begins production of a new product, changes to a new machine or restarts production after some delay. This implies that the time/cost needed to produce a product will reduce as the individual, or group of individuals, becomes more proficient. Therefore, this study incorporates the effects of learning and reworking of defective items into the EPQ problem with permissible delay in payments. Two mathematical models that minimize the total inventory cost are derived. Numerical examples are provided to illustrate the solution procedures for the developed models. Also, sensitivity analyses are performed and discussed.