TY - JOUR
ID - 3911
TI - Joint economic lot-sizing problem for a two-stage supply chain with price-sensitive demand
JO - Scientia Iranica
JA - SCI
LA - en
SN - 1026-3098
AU - Khojaste Sarakhsi, M.
AU - Fatemi Ghomi, S.M.T.
AU - Karimi, B.
AD - Department of Industrial Engineering, Amirkabir University of Technology, 424 Hafez Avenue, Tehran, Iran
Y1 - 2016
PY - 2016
VL - 23
IS - 3
SP - 1474
EP - 1487
KW - Joint economic lot-sizing problem
KW - Price-sensitive demand
KW - Geometric shipment policy
KW - Geometric-then-equal size shipment policy
KW - Optimal shipment policy
DO - 10.24200/sci.2016.3911
N2 - This paper studies joint economic lot-sizing problem (JELS) for a single vendor-single buyer system while demand is dependent on selling price. This problem is modeled for geometric shipment policy and a solution procedure is developed to find a well approximation of the global optimal solution of the problem. Since the equal size shipment policy or geometric shipment policy may yield more joint profit compared to each other, the most important factor that affects the break-even-point of geometric and equal-size policies is determined. The JELS problem for dependent demand is also modeled for geometric-then-equal size and optimal shipment policies. Solution procedures to find a well approximation of the global optimum of each problem are also developed for these models. The models and solution procedures for geometric, geometric-then-equal size and shipment policies are novel in the literature. Numerical results of the models show considerable improvement in the joint profit of the chain compared to lot-for-lot and equal-size shipment policies for chains with price-sensitive demand and could be very interesting for supply chain coordinators and practitioners.
UR - http://scientiairanica.sharif.edu/article_3911.html
L1 - http://scientiairanica.sharif.edu/article_3911_a4e64a34b8cf22ea1722947196da74e8.pdf
ER -