An economic order quantity model for an imperfect production process with entropy cost

International Journal of Production Economics

Volumn 118, Issue 1, 2009, Pages 26-33

  Jaber, M Y ^a   Bonney, M ^b   Moualek, I ^b  

^a RYERSON UNIVERSITY   (Canada)

^b UNIVERSITY OF NOTTINGHAM   (United Kingdom)

Author keywords

Defects; Entropy cost; Lot sizing; Rework

Indexed keywords

COST ACCOUNTING; COSTS; PRODUCTION ENGINEERING;

DEFECTIVE PRODUCTS; ECONOMIC ORDER QUANTITY MODELS; ENTROPY COST; EOQ MODELS; IMPERFECT PRODUCTIONS; IMPERFECT QUALITIES; LOT SIZING; NUMERICAL EXAMPLES; ORDER QUANTITIES; PRODUCTION PROCESS; PRODUCTION SYSTEMS; REWORK; SECOND LAWS OF THERMODYNAMICS; SOLUTION PROCEDURES;

ENTROPY;

EID: 61449209950     PISSN: 09255273     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.ijpe.2008.08.007     Document Type: Article

References (34)

1. Agnihothri S.R., and Kenett R.S. The impact of defects on a process with rework. European Journal of Operational Research 80 (1995) 308-327
2. Arrow K.J., and Debreu G. Existence of an equilibrium for competitive economy. Econometrica 22 (1954) 265-290
3. Billington P.J. Holding cost reduction in the EOQ model. Journal of American Academy of Business 3 (2003) 409-415
4. Bourland K.E., Brown M.J., and Yano C.A. The product cycling problem under increasing yield rates. IIE Transactions 29 (1997) 417-422
5. Chand S. Lot sizes and setup frequency with learning and process quality. European Journal of Operational Research 42 (1989) 190-202
6. Chen W.-H. Business process management: A thermodynamics perspective. Journal of Applied Management Studies 8 (1999) 241-257
7. Cheng T.C.E. An economic order quantity model with demand-dependent unit. IIE Transactions 23 (1991) 23-28
8. Callioni G., de Montgros X., Slagmulder R., van Wassenhove L.N., and Wright L. Inventory-driven costs. Harvard Business Review 83 (2005) 135-141
9. Cengel Y., and Boles M. Thermodynamics-An Engineering Approach. fourth ed (2002), McGraw-Hill, New York
10. Chyr F., Lin T.-M., and Ho C.-F. Comparison between just-in-time and EOQ system. Engineering Costs and Production Economics 18 (1990) 233-240
11. Crusoe J., Schmelzle G., and Buttross T.E. Auditing JIT implementation. Internal Auditing 14 (1999) 21-24
12. Drechsler F.S. Decision trees and the second law. Operational Research Quarterly 19 (1968) 409-419
13. Garvin D.A. Managing Quality: The Strategic and Competitive Edge (1988), Free Press, New York
14. Geren N., and Redford A. Cost and performance analysis of a robotic rework cell. International Journal of Production Economics 58 (1999) 159-172
15. Gopalan M.N., and Kannan S. Expected number analysis of a two-server queuing network subject to inner-stage inspection and rework. Computers and Operations Research 22 (1995) 935-946
16. Harris, F.W., 1915. What quantity to make at once. In: The Library of Factory Management Vol. 5, Operation and Costs, The Factory Management Series, A.W. Shaw Co., Chicago, pp. 47-52.
17. Jaber M.Y. Lot sizing for an imperfect production process with quality corrective interruptions and improvements, and reduction in setups. Computers and Industrial Engineering 51 (2006) 781-790
18. Jaber M.Y. Lot sizing with permissible delay in payments and entropy cost. Computers and Industrial Engineering 52 (2007) 78-88
19. Jaber M.Y., and Rosen M.A. The economic order quantity repair and waste disposal model with entropy cost. European Journal of Operational Research 188 (2008) 109-120
20. Jaber M.Y., Nuwayhid R.Y., and Rosen M.A. Price-driven economic order systems from a thermodynamic point of view. International Journal of Production Research 42 (2004) 5167-5184
21. Jaber M.Y., Nuwayhid R.Y., and Rosen M.A. A thermodynamic approach to modelling the economic order quantity. Applied Mathematical Modelling 30 (2006) 867-883
22. Khouja M. The use of minor setups within production cycles to improve product quality and yield. International Transactions in Operational Research 12 (2005) 403-416
23. Nuwayhid R.Y., Jaber M.Y., Rosen M.A., and Sassine G.P. On the thermodynamic treatment of diffusion-like economic commodity flow. International Journal of Exergy 3 (2006) 103-117
24. Osteryoung J.S., Nosari E., McCarty D.E., and Reinhart W.J. Use of the EOQ model for inventory analysis. Production and Inventory Management 27 (1986) 39-46
25. Porteus E.L. Optimal lot sizing, process quality improvement, and setup cost reduction. Operations Research 34 (1986) 137-144
26. Rosenblatt M.J., and Lee H.L. Economic production cycles with imperfect production processes. IIE Transactions 18 (1986) 48-55
27. Silver E.A., Pyke D.F., and Peterson R. Inventory Management and Production Planning and Scheduling. third ed (1998), Wiley, New York
28. Tyler G.W. A thermodynamic model for manpower systems. Journal of Operational Research Society 40 (1989) 137-139
29. Ullmann J.E. White-collar productivity and growth of administrative overhead. National Productivity Review 1 (1982) 290-300
30. Urban T.L. Analysis of production systems when run length influences product quality. International Journal of Production Research 36 (1998) 3085-3094
31. Uzawa H. Walras' Tâtonnement in the theory of exchange. The Review of Economic Studies 27 (1960) 182-194
32. Waters D. Inventory Control and Management. second ed (2003), Wiley, New York
33. Whewell R. Turning up the heat under the supply-chain. Logistics Focus 5 (1997) 18-22
34. Woolsey G. A Requiem for the EOQ: An editorial. Hospital Material Management Quarterly 12 (1990) 82-90