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Optimal lot size with learning consideration on an imperfect production system with allowable shortages

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  • Chen, Cheng-Kang
  • Lo, Chih-Chung
  • Liao, Yi-Xiang

Abstract

This paper investigates the learning effect of the unit production time on optimal lot size for the imperfect production system with allowable shortages. We seek to minimize the total cost of the imperfect production system through optimal determinations of the production quantity and the shortage level of each cycle. From the optimality conditions of the proposed model, several interesting and useful properties are investigated and an efficient and effective algorithm is developed to search for the optimal solution. Also, the convergence of the iterative algorithm in this paper is shown. Finally, numerical examples are provided to illustrate the features of the model and sensitivity analyses are performed to discuss the impact of changes in parameter values on the decision variables and objective function.

Suggested Citation

  • Chen, Cheng-Kang & Lo, Chih-Chung & Liao, Yi-Xiang, 2008. "Optimal lot size with learning consideration on an imperfect production system with allowable shortages," International Journal of Production Economics, Elsevier, vol. 113(1), pages 459-469, May.
    • Handle: RePEc:eee:proeco:v:113:y:2008:i:1:p:459-469
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    References listed on IDEAS

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    1. Hsieh, Chung-Chi & Lee, Zong-Zhe, 2005. "Joint determination of production run length and number of standbys in a deteriorating production process," European Journal of Operational Research, Elsevier, vol. 162(2), pages 359-371, April.
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    3. Jaber, Mohamad Y. & Bonney, Maurice, 2003. "Lot sizing with learning and forgetting in set-ups and in product quality," International Journal of Production Economics, Elsevier, vol. 83(1), pages 95-111, January.
    4. Jaber, Mohamad Y. & Bonney, Maurice, 1997. "The effect of learning and forgetting on the economic manufactured quantity (EMQ) with the consideration of intracycle backorders," International Journal of Production Economics, Elsevier, vol. 53(1), pages 1-11, November.
    5. Chand, Suresh, 1989. "Lot sizes and setup frequency with learning in setups and process quality," European Journal of Operational Research, Elsevier, vol. 42(2), pages 190-202, September.
    6. Jaber, Mohamad Y. & Guiffrida, Alfred L., 2004. "Learning curves for processes generating defects requiring reworks," European Journal of Operational Research, Elsevier, vol. 159(3), pages 663-672, December.
    7. E. C. Keachie & Robert J. Fontana, 1966. "Effects of Learning on Optimal Lot Size," Management Science, INFORMS, vol. 13(2), pages 102-108, October.
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    Cited by:

    1. Yoo, Seung Ho & Kim, DaeSoo & Park, Myung-Sub, 2009. "Economic production quantity model with imperfect-quality items, two-way imperfect inspection and sales return," International Journal of Production Economics, Elsevier, vol. 121(1), pages 255-265, September.
    2. Gruère, Guillaume & Narrod, Clare & Abbott, Linda, 2011. "Agricultural, food, and water nanotechnologies for the poor: Opportunities, constraints, and role of the Consultative Group on International Agricultural Research," IFPRI discussion papers 1064, International Food Policy Research Institute (IFPRI).
    3. Gour Chandra Mahata, 2017. "A production-inventory model with imperfect production process and partial backlogging under learning considerations in fuzzy random environments," Journal of Intelligent Manufacturing, Springer, vol. 28(4), pages 883-897, April.

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