Optimization Model for Determining Economic Production Quantity and Process Mean by Considering Internal and External Quality Loss.

Autor: Isna Nur Asnan, Muhammad Habib, Rosyidi, Cucuk Nur, Pujiyanto, Eko
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Zdroj: AIP Conference Proceedings; 2020, Vol. 2217 Issue 1, p030024-1-030024-11, 11p, 1 Diagram, 3 Charts, 2 Graphs
Abstrakt: The Economic Production Quantity (EPQ) model is an inventory control model that can be used by a company to determine a number of certain product to minimize the total cost. One of the way to minimize the total cost incurred by a company is to determine optimal production quantity and process mean. This paper presents a modified economic production quantity model with deterioration in production process. The purpose of this paper is to develop an optimization model for determining economic production quantity and process mean by considering internal and external quality loss. The optimal production quantity (Q) and process mean (μ) are determined by minimizing the total expected cost of product per hour that include the total average quality loss, the total average material cost, the total average setup cost, the total average inventory holding cost, the total average adjustment cost, the total average maintenance cost, and the total average inspection cost, per hour. The optimal values of Q is 200 and μ is 7.655 with the total expected cost per hour is $ 364.897. [ABSTRACT FROM AUTHOR]
Databáze: Complementary Index