The Effect of Unreliable Machine for Two Echelons Deteriorating Inventory Model

Sutapa, I Nyoman and Widyadana, I Gede Agus (2014) The Effect of Unreliable Machine for Two Echelons Deteriorating Inventory Model. Jurnal Teknik Industri, 16 (2). pp. 109-113. ISSN 1411-2485

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    Many researchers have developed two echelons supply chain, however only few of them consider deteriorating items and unreliable machine in their models In this paper, we develop an inventory deteriorating model for two echelons supply chain with unreliable machine. The unreliable machine time is assumed uniformly distributed. The model is solved using simple heuristic since a closed form model can not be derived. A numerical example is used to show how the model works. A sensitivity analysis is conducted to show effect of different lost sales cost in the model. The result shows that increasing lost sales cost will increase both manufacture and buyer costs however buyer’s total cost increase higher than manufacture’s total cost as manufacture’s machine is more unreliable.

    Item Type: Article
    Uncontrolled Keywords: EPQ, deteriorating items, two echelons, unreliable machine
    Subjects: H Social Sciences > HD Industries. Land use. Labor > HD28 Management. Industrial Management
    Divisions: Faculty of Industrial Technology > Industrial Engineering Department
    Depositing User: Admin
    Date Deposited: 15 Jul 2015 23:26
    Last Modified: 08 Sep 2015 16:12
    URI: http://repository.petra.ac.id/id/eprint/18558

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