An extended vendor-buyer integrated inventory model and its minimal cost solution technique Online publication date: Wed, 09-Dec-2009
by M.A. Hoque
International Journal of Mathematical Modelling and Numerical Optimisation (IJMMNO), Vol. 1, No. 1/2, 2009
Abstract: This paper extends a single-vendor single-buyer integrated inventory model under controllable lead time with extra safety stock. Recently, a model based on equal and/or unequal sized batch (sub-lot) shipments subject to the constraint of meeting the demand in the lead-time fully was developed. Then a heuristic solution procedure of the model was proposed and cost reductions for two numerical problems were shown. To make the model more realistic, we extend it by restricting the capacities of the transport equipment and buyer's storage; considering the set up time of the vendor and transportation times of batches and amending several constraints. Then a number of properties that lead to the minimal cost solution to the model are established and the solution method is illustrated with a numerical problem. A comparative study of the methods on some numerical problems is carried out to validate the optimality of the present method.
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Mathematical Modelling and Numerical Optimisation (IJMMNO):
Login with your Inderscience username and password:
Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.
If you still need assistance, please email subs@inderscience.com
Our Blog 
Follow us on Twitter 
Visit us on Facebook