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A production–repair inventory model with time-varying demand and multiple setups

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  • Omar, Mohd
  • Yeo, Ivan

Abstract

In this paper, we proposed a model for an inventory system that satisfies a continuous time-varying demand for a finished product over a known and finite planning horizon by supplying both new and repaired items. New items are fabricated from a single type of raw material procured from external suppliers, while used items are collected from the customers and then repaired to a condition that is as-good-as-new. During each time interval, new items and used items are produced from multiple production and repair runs. The problem is to determine a joint policy for raw materials procurement, new items fabrication, and used items repair such that the total relevant cost of the model is minimized. We also proposed a numerical solution procedure and we tested the model with some numerical examples and a simple sensitivity analysis.

Suggested Citation

  • Omar, Mohd & Yeo, Ivan, 2014. "A production–repair inventory model with time-varying demand and multiple setups," International Journal of Production Economics, Elsevier, vol. 155(C), pages 398-405.
  • Handle: RePEc:eee:proeco:v:155:y:2014:i:c:p:398-405
    DOI: 10.1016/j.ijpe.2013.12.034
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    References listed on IDEAS

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    1. El Saadany, Ahmed M.A. & Jaber, Mohamad Y. & Bonney, Maurice, 2013. "How many times to remanufacture?," International Journal of Production Economics, Elsevier, vol. 143(2), pages 598-604.
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    9. Choi, Dae-Won & Hwang, Hark & Koh, Shie-Gheun, 2007. "A generalized ordering and recovery policy for reusable items," European Journal of Operational Research, Elsevier, vol. 182(2), pages 764-774, October.
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    13. Omar, Mohd & Yeo, Ivan, 2009. "A model for a production-repair system under a time-varying demand process," International Journal of Production Economics, Elsevier, vol. 119(1), pages 17-23, May.
    14. Jaber, Mohamad Y. & El Saadany, Ahmed M.A., 2011. "An economic production and remanufacturing model with learning effects," International Journal of Production Economics, Elsevier, vol. 131(1), pages 115-127, May.
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