Stochastic inventory model with quantity and freight discounts integration

碩士 === 國立臺中技術學院 === 事業經營研究所 === 96 === In supply chain management, transportation and inventory problems are very important. In the traditional inventory models, transportation cost is implicitly assumed being controlled by the supplier, so it is treated as a part of unit cost or included in the ord...

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Bibliographic Details
Main Authors: Fu.KoYu, 傅科瑜
Other Authors: Hung-Chi Chang
Format: Others
Language:zh-TW
Published: 2008
Online Access:http://ndltd.ncl.edu.tw/handle/28793446160021067942
Description
Summary:碩士 === 國立臺中技術學院 === 事業經營研究所 === 96 === In supply chain management, transportation and inventory problems are very important. In the traditional inventory models, transportation cost is implicitly assumed being controlled by the supplier, so it is treated as a part of unit cost or included in the ordering cost, which is independent of delivery lot size. Thus, the effect of transportation cost could not reflect on management strategy completely. This study considers the continuous review inventory system with backorders, where various mixed types of freight discounts (all-weight/incremental weight) and quantity discounts (all-units/increment) are incorporated. Also, two special distributions, normal and uniform, are adopted to formulate the stochastic demand during lead time. For each discount policies, we develop solution procedures to find the optimal order quantity and reorder point such that the expected total annual cost is minimized. Furthermore, the results of proposed models are illustrated by numerical experiments, and sensitivity analysis is performed to examine the effect of problem parameters on the optimal policies. Comparing with the results of independent decision model where transportation cost is considered separately, the cost savings can be obtained using the proposed models in this study, and the case of dual all-units discounts has the great effect on cost savings.