Model Economic Order Quantity (Eoq) Dengan Mempertimbangkan Sebagian Penundaan Waktu Pembayaran Pada Sistem Parsial Backorder

The problem of inventories commonly facing the company is determining the optimal order quantities so the demand must be fulfilled. In transaction betwen seller and buyer specified delay of payment is offered by the seller, so given one of alternative the inventory model an Economic Order Quantity (EOQ) with consider partial delayed payment on the partial backordering system. In the inventory model, retailer allowed to make partial payment at the beginning of the period to supplier and the remaining amount can be paid at the end of the period has been determined. There are two condition of stockout are stockout on the condition of lost sales and stockout on the condition of backorder . Based on the inventory model can determined when the period to make order and how many should be order, so the total cost of inventory issued to be minimum and total profit can be maximum

An Inventory Model for Weibull Distributed Deteriorating Items Under Ramp Type Demand and Permissible Trade Credit Policy

In a classical inventory economic order quantity (EOQ) model, the stock is depleted due to both market demand and deterioration. Many inventory models are developed for items under variable rate of deterioration. The two parameter Weibull distributed term is a representation of constant, time dependent linear and non-linear, increasing and decreasing rate of deterioration. Again the demand rate is assumed here as time dependent in beginning of cycle and then becomes constant as passage of time. Shortages are allowed and fully backlogged. Moreover the trade credit policy is a win-win payment strategy for sharing profit in the inventory system. This present paper deals with a replenishment policy assuming two parameter Weibull distributed deteriorating items, demand rate a ramp type function of time under permissible trade credit policy. Finally several numerical examples are given to illustrate the model and some particular cases are also discussed along with its’ illustrations along with concluding remarks. Keywords: Inventory, Weibull distribution, deterioration, ramp type, trade credit and shortages. Subject classification: AMS Classification No. 90B05 DOI: 10.7176/EJBM/13-19-03 Publication date:October 31st 202

A cash flow EOQ inventory model for non-deteriorating items with constant demand

This study presents an inventory model to determine an optimal ordering policy for non-deteriorating items and time independent demand rate with delay in payments permitted by the supplier under inflation and time discounting, and the rate is assumed to be constant.This study determines the best cycle period and optimal payment period for items so that the annual total relevant cost is minimized. The main purpose of this study is to investigate the optimal (minimum) total present value of the costs over the time horizon H for both cases where the demand is fixed (constant) at any time. This study work is limited to only nondeteriorating goods with constant demand and with a permissible delay in payment.Numerical example and sensitivity analysis are given to evince the applicability of the model.Keywords: Demand, Inventory, Non-Deterioration, Inflation, Delay in payments, Replenishment

Economic ordering and payment policies under progressive payment schemes and time-value of money

Trade credits have received considerable attention in recent years and have become one of the most important sources of short-term funding for many companies. The paper at hand studies the optimal ordering and payment policies of a buyer assuming that the supplier offers a progressive interest scheme. The contribution to the literature is twofold. First, the different financial conditions of the companies involved are taken into account by assuming that the credit interest rate of the buyer may, but not necessarily has to, exceed the interest rate charged by the supplier. In addition, the time-value of money is considered in this scenario which is relevant when trade credit terms are valid for a long period of time and payment flows need to be evaluated by their net present value to ensure long-term profitability. The models proposed enable decision makers to improve ordering and payment decisions and the results reveal that taking into account the temporal allocation of payments, the prevailing interest relation influences replenishment policies significantly

Trade Credit Policies for Supplier, Manufacturer, and Retailer: An Imperfect Production-Inventory System with Rework

In this study, we developed a trade credit policy for a three-layer supply chain consisting of a supplier, a manufacturer and a retailer. We propose an optimal production rate and selling price for the manufacturer and the retailer under an imperfect production system. The suggested coordination policy optimizes the profit of each supply chain member. Two models were formulated for two real-life strategies respectively. The first one is a collaborative (integrated) system and the second one is a Stackelberg leadership system. Both strategies were analyzed for various credit periods, respectively offered by the supplier to the manufacturer, by the manufacturer to the retailer, and by the retailer to the customers, by considering price-sensitive demand and a certain replenishment rate. Finally, we concluded which strategy will be better for inventory management under the given restrictions in the form of propositions. The concavity property for the net profit function was established with respect to the selling price and the production rate, which was also described graphically and analyzed by numerical examples

Trade Credit Policies for Supplier, Manufacturer, and Retailer: An Imperfect Production-Inventory System with Rework

In this study, we developed a trade credit policy for a three-layer supply chain consisting of a supplier, a manufacturer and a retailer. We propose an optimal production rate and selling price for the manufacturer and the retailer under an imperfect production system. The suggested coordination policy optimizes the profit of each supply chain member. Two models were formulated for two real-life strategies respectively. The first one is a collaborative (integrated) system and the second one is a Stackelberg leadership system. Both strategies were analyzed for various credit periods, respectively offered by the supplier to the manufacturer, by the manufacturer to the retailer, and by the retailer to the customers, by considering price-sensitive demand and a certain replenishment rate. Finally, we concluded which strategy will be better for inventory management under the given restrictions in the form of propositions. The concavity property for the net profit function was established with respect to the selling price and the production rate, which was also described graphically and analyzed by numerical examples