IDEAS home Printed from https://ideas.repec.org/a/ids/eujine/v6y2012i1p68-86.html
   My bibliography  Save this article

Inventory systems with variable capacity

Author

Listed:
  • Ilkyeong Moon
  • Byung-Hyun Ha
  • Jongchul Kim

Abstract

Many complex production/inventory systems are characterised by uncertain capacities due to imperfect facilities and processes. Uncertainty in supply capacity may consist of variable supplier capacities and random yields. We extend a model with variable supplier capacity in several directions and analyse the effects of variable supplier capacity. First, we investigate a lot-sizing problem in an EOQ model with variable supplier capacity and random yield. Second, we develop an EOQ model with storage or investment constraints when multiple items are considered. Third, we apply a distribution-free approach (DFA) to the (Q, r) model with variable supplier capacity. [Received: 11 November 2009; Revised: 21 June 2010; Accepted: 19 July 2010]

Suggested Citation

  • Ilkyeong Moon & Byung-Hyun Ha & Jongchul Kim, 2012. "Inventory systems with variable capacity," European Journal of Industrial Engineering, Inderscience Enterprises Ltd, vol. 6(1), pages 68-86.
    • Handle: RePEc:ids:eujine:v:6:y:2012:i:1:p:68-86
    as

    Download full text from publisher

    File URL: http://www.inderscience.com/link.php?id=44811
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Silver, Edward A. & Moon, Ilkyeong, 2001. "The multi-item single period problem with an initial stock of convertible units," European Journal of Operational Research, Elsevier, vol. 132(2), pages 466-477, July.
    2. Moon, Ilkyeong & Choi, Sangjin, 1997. "Distribution free procedures for make-to-order (MTO), make-in-advance (MIA), and composite policies," International Journal of Production Economics, Elsevier, vol. 48(1), pages 21-28, January.
    3. Gerchak, Yigal, 1992. "Order point/order quantity models with random yield," International Journal of Production Economics, Elsevier, vol. 26(1-3), pages 297-298, February.
    4. Yunzeng Wang & Yigal Gerchak, 1996. "Periodic Review Production Models with Variable Capacity, Random Yield, and Uncertain Demand," Management Science, INFORMS, vol. 42(1), pages 130-137, January.
    5. Wang, Yunzeng & Gerchak, Yigal, 1996. "Continuous review inventory control when capacity is variable," International Journal of Production Economics, Elsevier, vol. 45(1-3), pages 381-388, August.
    6. Katrien Ramaekers & Gerrit K. Janssens, 2008. "On the choice of a demand distribution for inventory management models," European Journal of Industrial Engineering, Inderscience Enterprises Ltd, vol. 2(4), pages 479-491.
    7. Gullu, Refik & Onol, Ebru & Erkip, Nesim, 1999. "Analysis of an inventory system under supply uncertainty," International Journal of Production Economics, Elsevier, vol. 59(1-3), pages 377-385, March.
    8. Frank W. Ciarallo & Ramakrishna Akella & Thomas E. Morton, 1994. "A Periodic Review, Production Planning Model with Uncertain Capacity and Uncertain Demand---Optimality of Extended Myopic Policies," Management Science, INFORMS, vol. 40(3), pages 320-332, March.
    9. Karuna Jain & Edward A. Silver, 1995. "The single period procurement problem where dedicated supplier capacity can be reserved," Naval Research Logistics (NRL), John Wiley & Sons, vol. 42(6), pages 915-934, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Mohammad Ebrahim Arbabian & Hossein Rikhtehgar Berenji, 2023. "Inventory systems with uncertain supplier capacity: an application to covid-19 testing," Operations Management Research, Springer, vol. 16(1), pages 324-344, March.
    2. Hackl, Roman & Harvey, Simon, 2013. "Framework methodology for increased energy efficiency and renewable feedstock integration in industrial clusters," Applied Energy, Elsevier, vol. 112(C), pages 1500-1509.
    3. Wierzbowski, Michal & Filipiak, Izabela, 2017. "Enhanced operational reserve as a tool for development of optimal energy mix," Energy Policy, Elsevier, vol. 102(C), pages 602-615.
    4. Deligiannis, Michalis & Liberopoulos, George & Pandelis, Dimitrios G., 2023. "Managing supply chain risks with dual sourcing: Bayesian learning of censored supply capacity," International Journal of Production Economics, Elsevier, vol. 265(C).
    5. Ting-Chen Hu & Kuo-Chen Hung & Kuo-Lung Yang, 2019. "The Convergence of Gallego’s Iterative Method for Distribution-Free Inventory Models," Mathematics, MDPI, vol. 7(5), pages 1-10, May.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kutzner, Sarah C. & Kiesmüller, Gudrun P., 2013. "Optimal control of an inventory-production system with state-dependent random yield," European Journal of Operational Research, Elsevier, vol. 227(3), pages 444-452.
    2. Y. Boulaksil & J. C. Fransoo & T. Tan, 2017. "Capacity reservation and utilization for a manufacturer with uncertain capacity and demand," OR Spectrum: Quantitative Approaches in Management, Springer;Gesellschaft für Operations Research e.V., vol. 39(3), pages 689-709, July.
    3. Gel, Esma S. & Salman, F. Sibel, 2022. "Dynamic ordering decisions with approximate learning of supply yield uncertainty," International Journal of Production Economics, Elsevier, vol. 243(C).
    4. Mohammad Ebrahim Arbabian & Hossein Rikhtehgar Berenji, 2023. "Inventory systems with uncertain supplier capacity: an application to covid-19 testing," Operations Management Research, Springer, vol. 16(1), pages 324-344, March.
    5. Baruah, Pundarikaksha, 2006. "Supply Chains Facing Atypical Demand: Optimal Operational Policies And Benefits Under Information Sharing," MPRA Paper 16101, University Library of Munich, Germany.
    6. Jain, Tarun & Hazra, Jishnu, 2017. "Sourcing strategies under agglomeration economies, capacity risks and retail competition," International Journal of Production Economics, Elsevier, vol. 191(C), pages 311-322.
    7. Arifoglu, Kenan & Özekici, Süleyman, 2011. "Inventory management with random supply and imperfect information: A hidden Markov model," International Journal of Production Economics, Elsevier, vol. 134(1), pages 123-137, November.
    8. Erdem, Asli Sencer & Ozekici, Suleyman, 2002. "Inventory models with random yield in a random environment," International Journal of Production Economics, Elsevier, vol. 78(3), pages 239-253, August.
    9. Serel, Dogan A., 2008. "Inventory and pricing decisions in a single-period problem involving risky supply," International Journal of Production Economics, Elsevier, vol. 116(1), pages 115-128, November.
    10. Wang, Daqin & Tang, Ou & Zhang, Lihua, 2014. "A periodic review lot sizing problem with random yields, disruptions and inventory capacity," International Journal of Production Economics, Elsevier, vol. 155(C), pages 330-339.
    11. Argon, Nilay Tanik & Gullu, Refik & Erkip, Nesim, 2001. "Analysis of an inventory system under backorder correlated deterministic demand and geometric supply process," International Journal of Production Economics, Elsevier, vol. 71(1-3), pages 247-254, May.
    12. Jian Yang & Zhaoqiong Qin, 2007. "Capacitated Production Control with Virtual Lateral Transshipments," Operations Research, INFORMS, vol. 55(6), pages 1104-1119, December.
    13. Qi Feng & J. George Shanthikumar, 2018. "Supply and Demand Functions in Inventory Models," Operations Research, INFORMS, vol. 66(1), pages 77-91, 1-2.
    14. Yang, Jian & Qi, Xiangtong & Xia, Yusen & Yu, Gang, 2006. "Inventory control with Markovian capacity and the option of order rejection," European Journal of Operational Research, Elsevier, vol. 174(1), pages 622-645, October.
    15. Wang, Charles X. & Webster, Scott & Zhang, Sidong, 2014. "Robust price-setting newsvendor model with interval market size and consumer willingness-to-pay," International Journal of Production Economics, Elsevier, vol. 154(C), pages 100-112.
    16. Asli Sencer Erdem & Mehmet Murat Fadilog̃lu & Süleyman Özekici, 2006. "An EOQ model with multiple suppliers and random capacity," Naval Research Logistics (NRL), John Wiley & Sons, vol. 53(1), pages 101-114, February.
    17. Dada, Maqbool & Petruzzi, Nicholas C. & Schwarz, Leroy B., 2003. "A Newsvendor Model with Unreliable Suppliers," Working Papers 03-0112, University of Illinois at Urbana-Champaign, College of Business.
    18. Yi Yang & Youhua (Frank) Chen & Yun Zhou, 2014. "Coordinating Inventory Control and Pricing Strategies Under Batch Ordering," Operations Research, INFORMS, vol. 62(1), pages 25-37, February.
    19. Deligiannis, Michalis & Liberopoulos, George & Pandelis, Dimitrios G., 2023. "Managing supply chain risks with dual sourcing: Bayesian learning of censored supply capacity," International Journal of Production Economics, Elsevier, vol. 265(C).
    20. Jakšič, M. & Fransoo, J.C., 2015. "Optimal inventory management with supply backordering," International Journal of Production Economics, Elsevier, vol. 159(C), pages 254-264.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ids:eujine:v:6:y:2012:i:1:p:68-86. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sarah Parker (email available below). General contact details of provider: http://www.inderscience.com/browse/index.php?journalID=210 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.