An EPQ model for an imperfect production system with rework and shortages (Q2627400)
From MaRDI portal
scientific article
Language | Label | Description | Also known as |
---|---|---|---|
English | An EPQ model for an imperfect production system with rework and shortages |
scientific article |
Statements
An EPQ model for an imperfect production system with rework and shortages (English)
0 references
31 May 2017
0 references
Summary: An Economic Production Quantity (EPQ) model is commonly used by practitioners in the fields of production and inventory management. The common assumptions in this model are that all units produced are perfect and shortages are not allowed. But, in a real situation the defective items will be produced in each cycle of production and shortages and scrap are possible. Hence, the defective items cannot be ignored in the production process. Rework process is necessary to convert those defective into finished goods. In this paper, inventory models for a single stage production process are developed where defective items produced are reworked. Two models of rework processes are considered, an EPQ model without shortages and with shortages. A suitable mathematical model is developed and the optimal production lot size, which minimises the total cost is derived. The relevant model is built, solved. An illustrative example is provided and numerically verified. The validation of the result in this model was coded in Microsoft Visual Basic 6.0.
0 references
economic production quantity
0 references
EPQ
0 references
cost of quality
0 references
defective items
0 references
cycle time
0 references
rework
0 references
scrap
0 references
demand
0 references
imperfect production
0 references
shortages
0 references
inventory control
0 references
mathematical modelling
0 references