Journal of the Korean Operations Research and Management Science Society (한국경영과학회지)
- Volume 19 Issue 3
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- Pages.81-91
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- 1994
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- 1225-1119(pISSN)
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- 2733-4759(eISSN)
A study on the economic production quantity model with partial backorders
부분부재고를 고려한 경제적 생산량모델에 관한 연구
Abstract
This paper is to build an economic production quantity model for situations, in which, during the stockout period, a fraction .betha.(backorder ratio) of the demand is backordered and remaining fraction (1-.betha.) is lost. This paper develops an objective function representing the average annual cost of a production system by defining a time-weighted backorder cost and a lost sales penalty cost per unit lost under the assumptions of deterministic demand rate and deterministic production rate, and provides an algorithm for its optimal solution. At the extreme .betha.= 1, the presented model reduces to the Fabrycky's model with complete backorders.
Keywords