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    Title: A simple solution method for the finite horizon eoq model for deteriorating items with cost changes
    Authors: Chang, Horng-Jinh;Lin, Wen-Feng
    Contributors: 淡江大學管理科學學系
    Keywords: Inventory;EOQ;deterioration;cost change;finite horizon
    Date: 2011-12
    Issue Date: 2011-10-20 16:07:38 (UTC+8)
    Publisher: Singapore: World Scientific Publishing Co. Pte. Ltd.
    Abstract: In this article, we generalize Lev and Weiss's (1990) finite horizon economic order quantity (EOQ) model with cost change to the inventory system with deterioration. Supplier announces some or all of cost parameters may change after a decided time. Depending on whether the inventory is depleted at the time of the last opportunity to purchase before some or all of the cost parameters may change, there are two types of inventory models to be discussed. The main objective of this paper is to identify the optimal ordering policy of the inventory system by comparing the minimum cost of the two types of models. We suggest a finite horizon EOQ model to combine the above two types and propose a theorem that can quickly identify the optimal policy of the suggested model. In considering temporary price discount problem and discrete-time EOQ problem, in general, there are integer operators in mathematical models, but our approach offers a closed-form solution to these kinds of problems. Numerical examples are presented to demonstrate the results of the proposed properties and theorem.
    Relation: Asia-Pacific Journal of Operational Research 28(6), pp.689-704
    DOI: 10.1142/S0217595911003314
    Appears in Collections:[管理科學學系暨研究所] 期刊論文

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