EOQ-BASED SUPPLY CHAIN MODEL WITH VARIABLE LEAD TIME AND PRICING POLICY

Autor: Pei-Hung Lin, 林沛宏
Rok vydání: 2006
Druh dokumentu: 學位論文 ; thesis
Popis: 94
In this study we consider a simple two-stage supply chain model consisting of a single vendor and a single buyer. The buyer places orders according to an EOQ-based inventory model in order to minimize its total cost, and the vendor plans its production according to the orders received in order to maximize its total profit. In practice, if the vendor receives orders earlier, then it can plan production more efficiently which will decrease the production cost (which in turn increase the profit); also, if the buyer places orders earlier, then it may expect to have purchasing discount from the vendor which will decrease the total cost. In the supply chain model considered, we investigate both the lead time effect of order placement (provided by the buyer) on the vendor’s total profit, and the purchasing discount of pricing policy (provided by the vendor) on the buyer’s total cost. We show that the supply chain may benefit from the coordination for both parties.
Databáze: Networked Digital Library of Theses & Dissertations