On the \((t,S_ j)\) policy in an integrated production/inventory model with time-proportional demand
type: Item
instance of: scholarly article
title: On the \((t,S_ j)\) policy in an integrated production/inventory model with time-proportional demand
zbMATH Open document ID: 0816.90055
DOI: 10.1016/0377-2217(93)90160-O
author: Jae-Dong Hong
author: Tom M. Cavalier
author: Jack C. Hayya
published in: European Journal of Operational Research
publication date: 1995-07-13T00:00:00Z
review text: The authors study an inventory model where raw materials are used to produce finished inventory and the goal is to minimize total costs over a fixed time interval. There are set-up and linear holding costs for the finished item, linear holding and ordering costs for the raw materials and no backlogging, and demand is time proportional. Two types of policies are compared. Primary attention is given to a \((t, S_ j)\) ordering policy for the end product, where at every equal and fixed scheduling cycled, \(t\), a variable production quantity \(S_ j\) is produced during the \(j\)th cycle. This is compared with an \((s, Q)\) policy, where a constant batch size, \(Q\), is produced whenever inventory drops below the reorder point, \(s\). A heuristic algorithm is developed for \((t, S)\) policies. Some examples are worked out which show that a \((t, S_ j)\) need not always outperform on \((s, Q)\) policy.
Mathematics Subject Classification ID: 90B05
zbMATH DE Number: 482357
zbMATH Keywords: economic batch size
zbMATH Keywords: fixed time interval
zbMATH Keywords: set-up and linear holding costs
zbMATH Keywords: heuristic algorithm
zbMATH Keywords: \((t, S)\) policies
zbMATH Keywords: \((s, Q)\) policy
reviewed by: Edward S. Boylan
MaRDI profile type: Publication
cites work: Q3932576
cites work: Q3718435
cites work: An Integrated Inventory Model for a Single Product System
cites work: On an (s, Q) Production Policy for an Integrated Inventory Model for a Single Product with Linearly Increasing Demand
cites work: Q4077727
full work available at URL: 0377-2217(93)90160-o
OpenAlex ID: W2078255589
description: scientific article; zbMATH DE number 482357