Economic Order Quantity Model for Imperfect Items Under Repair Option and Inspection Errors
Abstract
In this study, an economic order quantity (EOQ) model is extended to the case of imperfect items in a product lot. A 100% inspection process of the lot is conducted. An inspection error can occur despite a 100% inspection. From which, the misclassification is occurred that consists of two cases: (i) classifying non-defective items as defective, (ii) classifying defective items as non-defective. Moreover, for classifying defective items as defective, these defective items are sent to repair and will be returned to inventory when items in inventory are empty. This study is to determine the optimal policy with optimal order size and maximum expected total profit per unit of time. A numerical example and sensitivity analysis are exemplified. Keywords : EOQ model, imperfect item, inspection error, misclassification, repairReferences
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Hsu, J.T., & Hsu, L.F. (2013). An EOQ model with imperfect quality items, inspection errors, shortage backordering, and sale returns. International Journal of Production Economics, 143, 162-170.
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Jaber, M.Y., Goyal, S.K., & Imran, M. (2008). Economic production quantity model for items with imperfect quality subject to learning effects. International Journal of Production Economics, 115, 143-150.
Jaber, M.Y., Zanoni, S., & Zavanella, L.E. (2014). Economic order quantity models for imperfect items with buy and repair options. International Journal of Production Economics, 155, 126-131.
Khan, M., Jaber, M.Y., & Bonney, M. (2011). An economic order quantity (EOQ) for items with imperfect quality and inspection errors. International Journal of Production Economics, 133, 113-118.
Khan, M., Jaber, M.Y., & Wahab, M.I.M. (2010). Economic order quantity model for items with imperfect quality with learning in inspection. International Journal of Production Economics, 124, 87-96.
Konstantaras, I., Skouri, K., & Jaber, M.Y. (2012). Inventory models for imperfect quantity items with shortages and learning in inspection. Applied mathematical modelling, 36, 5334-5343.
Lin, T.Y. (2010). An economic order quantity with imperfect quality and quantity discounts. Applied Mathematical Modelling, 34, 3158–3165.
Liu, J., & Zheng, H. (2012). Fuzzy economic order quantity model with imperfect items, shortage and inspection errors. Systems Engineering Procedia, 4, 282-289.
Maddah, B., & Jaber, M.Y. (2008). Economic order quantity for items with imperfect quality: Revisited. International Journal of Production Economics, 112, 808–815.
Papachristos, S., & Konstantaras, I. (2006). Economic ordering quantity models for items with imperfect quality. International Journal of Production Economics, 100, 148-154.
Paul S., Wahub M.I.M., & Ongkunaruk P. (2014). Joint replenishment with imperfect items and price discount. Computers & Industrial Engineering 74, 179-185.
Salameh, M.K., & Jaber, M.Y. (2000). Economic production quantity model for items with imperfect quality. International Journal of Production Economics, 64, 59-64.
Wee, H.M., Yu, J., & Chen, M.C. (2007). Optimal inventory model for items with imperfect quality and shortage backordering. Omega, 35, 7 - 11.
quality and shortage backordering. Omega, 38, 233-237.
Eroglu, A., & Ozdemir, G. (2007). An economic order quantity model with defective items and shortages.
International Journal of Production Economics, 106, 544-549.
Hsu, J.T., & Hsu, L.F. (2013). An EOQ model with imperfect quality items, inspection errors, shortage backordering, and sale returns. International Journal of Production Economics, 143, 162-170.
Hsu, W.K., & Yu, H.F. (2009). EOQ model for imperfect items under a one-time-only discount. Omega, 37,
1018-1026.
Jaber, M.Y., Goyal, S.K., & Imran, M. (2008). Economic production quantity model for items with imperfect quality subject to learning effects. International Journal of Production Economics, 115, 143-150.
Jaber, M.Y., Zanoni, S., & Zavanella, L.E. (2014). Economic order quantity models for imperfect items with buy and repair options. International Journal of Production Economics, 155, 126-131.
Khan, M., Jaber, M.Y., & Bonney, M. (2011). An economic order quantity (EOQ) for items with imperfect quality and inspection errors. International Journal of Production Economics, 133, 113-118.
Khan, M., Jaber, M.Y., & Wahab, M.I.M. (2010). Economic order quantity model for items with imperfect quality with learning in inspection. International Journal of Production Economics, 124, 87-96.
Konstantaras, I., Skouri, K., & Jaber, M.Y. (2012). Inventory models for imperfect quantity items with shortages and learning in inspection. Applied mathematical modelling, 36, 5334-5343.
Lin, T.Y. (2010). An economic order quantity with imperfect quality and quantity discounts. Applied Mathematical Modelling, 34, 3158–3165.
Liu, J., & Zheng, H. (2012). Fuzzy economic order quantity model with imperfect items, shortage and inspection errors. Systems Engineering Procedia, 4, 282-289.
Maddah, B., & Jaber, M.Y. (2008). Economic order quantity for items with imperfect quality: Revisited. International Journal of Production Economics, 112, 808–815.
Papachristos, S., & Konstantaras, I. (2006). Economic ordering quantity models for items with imperfect quality. International Journal of Production Economics, 100, 148-154.
Paul S., Wahub M.I.M., & Ongkunaruk P. (2014). Joint replenishment with imperfect items and price discount. Computers & Industrial Engineering 74, 179-185.
Salameh, M.K., & Jaber, M.Y. (2000). Economic production quantity model for items with imperfect quality. International Journal of Production Economics, 64, 59-64.
Wee, H.M., Yu, J., & Chen, M.C. (2007). Optimal inventory model for items with imperfect quality and shortage backordering. Omega, 35, 7 - 11.
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2018-01-08
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