Document Type
Article
Publication Date
10-14-2022
Journal / Book Title
Uncertain Supply Chain Management
Abstract
This research constructs a mathematical scheme to explore replenishment-shipment decisions for a multiproduct producer-client coordinated finite production rate (FPR) model with the postponement, rework, and subcontracting plan. The considered multiple goods have a common component, and a batch FPR fabrication with postponement is planned to meet the annual multiproduct requirements. The first fabricating phase makes only the standard components needed for a batch and subcontracts a proportion of them (with additional cost) to expedite the process. In contrast, the second fabricating phase produces the finished multiple merchandise in sequence. The in-house rework processes with extra expense help retain the desirable quality. Each merchandise’s finished batch is transported to the clients in equal-sized numerous shipments. This study derives the optimal batch cycle length and transporting frequency by minimizing the overall fabricating-shipment expenses (including clients’ holding costs). This work offers a numerical example demonstrating various crucial system features influenced by the factors of subcontracting, postponement, rework, and transportation policies to facilitate managerial decision making in industries.
DOI
10.5267/j.uscm.2022.10.005
Journal ISSN / Book ISBN
2291-6830
MSU Digital Commons Citation
Chiu, Yuan-Shyi Peter; Yan, Ting-Fang; Wang, Yunsen; and Wang, Hui-Chi, "Replenishment-shipment Decision for a Multiproduct Producer-client Coordinated FPR Model with Postponement, Rework and Subcontracting" (2022). Department of Accounting and Finance Faculty Scholarship and Creative Works. 149.
https://digitalcommons.montclair.edu/acctg-finance-facpubs/149
Published Citation
Chiu, Y., Yan, T., Wang, Y & Wang, H. (2023). Replenishment-shipment decision for a multiproduct producer-client coordinated FPR model with postponement, rework and subcontracting.Uncertain Supply Chain Management, 11(1), 213-226.
Included in
Accounting Commons, Corporate Finance Commons, Finance and Financial Management Commons, Operations and Supply Chain Management Commons