A Study on the Integrated Inventory Models with Defective Items under Permissible Delay in Payment

• Main Authors: Ya-Fang Dang, 鄧雅方
• Other Authors: Liang-Yah Ouyang
• Format: Others
• Language: zh-TW
• Published: 2008
• Online Access: http://ndltd.ncl.edu.tw/handle/26043587007643288029

碩士 === 淡江大學 === 管理科學研究所碩士班 === 96 === Nowdays, the enterprise can gain competitive advantages, such as increase profit or reduce cost, through the supplier-retailer cooperation. Due to the imperfect production processes, poor performance of machines, careless of workers, an arrival lot might contains defective items. If retailer sells defective items without inspection, it would cause complaint, returned purchase or lost customers forever. Therefore, selling defective items is a serious problem in business. Besides, trade credit is a common strategy in real market. Supplier offers permissible delay in payments to attract retailer to order more quantity. During the trade credit period, retailer does not have to pay when receiving the products, and can use the sales revenue to earn interest. When the trade credit period is due, retailer has to pay interest for the products still in stocks. And, the delayed payments would produce capital opportunity cost for the supplier. Two inventory models are developed in this paper. In chapter 2, we established an integrated inventory model with defective items under a two-level trade credit policy. Also, the market demand rate depends on the customer’s credit period. In chapter 3, we established an integrated inventory model with defective items, and assumed that supplier offers an order-size dependent permissible delay in payments. Our objective is to maximize the total profit per unit time. We developed algorithm to obtain the optimal solution for each inventory model. Finally, numerical examples are provided to illustrate the solution procedure and sensitivity analysis is also carried out.