Ordering policies with random product life cycle, time-value of money and imperfect item

• Main Authors: Yu-Fen Lin, 林毓芬
• Other Authors: Hui-Ming Wee
• Format: Others
• Language: zh-TW
• Published: 2012
• Online Access: http://ndltd.ncl.edu.tw/handle/73957671540297910088

碩士 === 中原大學 === 工業與系統工程研究所 === 100 === With the advancement in technology, several high-tech products with short life-cycle are facing uncertainty of demands. Due out date of products; it leads to high level of safety stock and scrap. Moreover, the increasing price results in inflation. These issues pose a major concern for the retailers in their cost analysis. Hence, this paper considers the time value of money and inflation in developing an optimal ordering policy for a single retailer in a supply chain. This paper assumes a single retailer considering the time value of money, inflation, random product life-cycle, imperfect products and rework. This study aims to optimize the ordering policy in order to achieve the minimum expected total cost. We apply the Golden Section Search, a one dimensional search approach to solve the optimal order cycle time and the lowest expected total cost. Maple 15 and Matlab are used to solve the model. Numerical example and sensitivity analysis are given to validate the model and to illustrate the changing effect of key parameters in the model.