A joint inventory model with reliability, carbon emission, and inspection errors in a defective production system (original) (raw)

Joint Effects of Carbon Emission, Deterioration, and Multi-stage Inspection Policy in an Integrated Inventory Model

Asset Analytics, 2019

This paper discusses an integrated inventory model between vendor and buyer for decayed type of products. The vendor produces perfect products but may arrive some defect products in the system. To control product quality, the manufacturer inspects all the products to separate the defective products. After the first-stage inspection, the defective products are reworked at a fixed cost and again inspection takes place for the reworked products in the second-stage inspection. After completion of the second-stage inspection, the defective products are disposed at some fixed cost and delivers good products to the buyer. The delivery of good products is done by single-setup multi-delivery (SSMD) policy by consideration of fixed and variable types of transportation cost. At any stage, the good quality of products may deteriorate and the constant deterioration rate is considered for vendor and buyer, separately. Carbon is emitted from every portion of the integrated system. This issue is st...

Single Vendor-Buyer Integrated Inventory Model for Deteriorating Items Considering Carbon Emission

2017

In this study, we present an integrated single vendor-buyer inventory model considering deterioration and carbon emission simultaneously. We focus on the emissions from warehousing, transport activity as well as emission from the disposal of the deteriorated items. A numerical example is developed to illustrate the proposed solution procedure. Computational results indicate that by incorporating carbon emissions into the integrated inventory model, we can reduce the total carbon emission and slightly reduce the total supply chain cost. We also show that the integrated inventory model has significantly reduced the total cost and total carbon emissions as compared to the result when the decision is made solely from the buyer’s perspective.

Managing a sustainable integrated inventory model for imperfect production process with type one and type two errors

Research Square (Research Square), 2021

Managing a sustainable integrated inventory model for imperfect production process with type one and type two errors This study develops a sustainable integrated inventory model for controllable lead time with defective items, errors in inspection, and variable lead-time. The research investigates the effect of controlling lead time and capital investment in the setup cost. We assume that the buyer receives a lot size that may contain some defective items with a known defective probability. The buyer's inspector conducts a 100% quality inspection and may incorrectly classify a non-defective item as a defective item (type one (I) error), or incorrectly classify a defective item as a non-defective item (type two (II) error). The mathematical inventory model considering carbon emission cost is developed, and the solution procedure is designed to derive the optimal solution. Finally, numerical examples and sensitivity analysis are given to illustrate the results.

Inventory and pricing decisions for an imperfect production system with quality inspection, rework, and carbon-emissions

Yugoslav Journal of Operations Research

The present paper considers the effect of imperfect quality items on a production system which further undergoes inspection and rework. The demand of the product is price reliant. Two situations to handle the imperfect items are analyzed: selling them at a reduced price and reworking them. The demand is assumed to meet with perfect products in either case. Further, the study incorporates the carbon-emissions borne during production of goods and their holding in the inventory system. The model aims at maximizing the profit function by jointly optimizing mark-up price and production quantity. To demonstrate model characteristics, numerical and sensitivity analysis are also presented.

An inventory model to study the effect of the probabilistic rate of carbon emission on the profit earned by a supplier

Operations Research and Decisions

The inventory of suppliers providing raw materials to industries producing green products faces two challenging problems. The first one is that raw materials are usually deteriorating items and the second one that they emit carbon-based gases during deterioration. Moreover, each item has its unique carbon emission rate and composition, called the pattern of carbon emission, which is a function of the rate of carbon emission. In this present research, we attempt to develop a stochastic inventory model with price, stock, and pattern of carbon emission-dependent demand to maximise the profit of a supplier selling a single product. The rate of deterioration is a function of the rate of carbon emission and effective investment in preservation. The cost of carbon emission is a function of green investment and the pattern of carbon emission. Holding costs and purchase costs are constant. We consider three patterns of carbon emission, and each pattern is defined by a negative exponential fu...

Research on Relationship Between Economical Profit and Environmental Pollution of Imperfect Production Inventory Control Problem

Journal of the Nigerian Mathematical Society, 2016

This article presents a new model to optimize a production inventory model and prevent the environmental pollution. For this purpose, various policies have been implemented to reduce the polluting gases such as reliability development by modern technology on production system, rework on imperfective item and incorporate extra objective function to calculate the amount of the polluting gases. Here, we have considered a multi-objective production control inventory problem, the first objective function is for economical profit in maximizing form and second objective function for calculating the amount of the polluting gases in minimizing form. To evaluate the performance of our model, we give some illustrative examples using the Mathematica 9.0 software.

Low Carbon Supply Chain Coordination for Imperfect Quality Deteriorating Items

Mathematics, 2019

Nowadays, many countries have implemented carbon pricing policies. Hence, the industry adapts to this policy while striving for its main goal of maximizing financial benefits. Here, we study a single manufacturer–retailer inventory decision considering carbon emission cost and item deterioration for an imperfect production system. This study examines two models considering two cases of quality inspection. The first is when the buyer performs the quality inspection, and the second is when the quality inspection becomes the vendor’s responsibility so that no defective products are passed to the buyer. Carbon emission costs are incorporated under a carbon tax policy, and we consider the carbon footprint from transporting and warehousing the items. The objective is to jointly optimize the delivery quantity and number of deliveries per production cycle that minimize the total cost and reduce the total carbon emissions. This study provides solution procedures to solve the models, as well ...

Vendor-Buyer Model with Imperfect Supply Process and Environmental Impacts

International Journal of Latest Research in Engineering and Technology, 2018

One of the most important problems the world is facing today is the environmental pollution, which is continuously increasing and causing severe and irreparable damage to the earth. In an effort the new actions could be taken to reduce the negative impact of human species on the environment. This paper presents an integrated vendor-buyer inventory model for a single-vendor and a single-buyer considering a single item.The purpose of this paper is to investigate the impact of emission costs on the replenishment order sizes and the total profit of a Vendor-Buyer in an imperfect supply process, where the buyer receives the batches containing a percentage of imperfect quality items. In this context, an integrated inventory model with imperfect supply process and emission costs, which are the result of warehousing, waste disposal, packaging and transportation is derived with numerical example.

Effect of Unequal Lot Sizes, Variable Setup Cost, and Carbon Emission Cost in a Supply Chain Model

Mathematical Problems in Engineering, 2015

Due to heavy transportation for single-setup multidelivery (SSMD) policy in supply chain management, this model assumes carbon emission cost to obtain a realistic behavior for world environment. The transportation for buyer and vendor is considered along with setup cost reduction by using an investment function. It is assumed that the shipment lot size of each delivery is unequal and variable. The buyer inspects all received products and returns defective items to vendor for reworking process. Because of this policy, end customers will only obtain nondefective items. The analytical optimization is considered to obtain the optimum solution of the model. The main goal of this paper is to reduce the total cost by considering carbon emission during the transportation. A numerical example, graphical representation, and sensitivity analysis are given to illustrate the model.