Title: Establishing relation between production rate and product quality in a single-vendor multi-buyer supply chain model

Authors: Richa Nandra; Kristina Rangsha Marak; Ramandeep Kaur; Bikash Koli Dey; Arunava Majumder

Addresses: Department of Mathematics, Lovely Faculty of Technology and Sciences, Lovely Professional University, Phagwara, Punjab, 144 411, India ' Department of Mathematics, Lovely Faculty of Technology and Sciences, Lovely Professional University, Phagwara, Punjab, 144 411, India ' Fanshawe College Boulevard, London, Ontario, N5Y 5R6, Canada ' Department of Industrial Engineering, Hongik University, 72-1 Mapo-Gu, Sangsu-Dong, Seoul 04066, South Korea ' Department of Mathematics, Lovely Faculty of Technology and Sciences, Lovely Professional University, Phagwara, Punjab, 144 411, India

Abstract: This paper develops a single-vendor multi-buyer supply chain model with variable production cost, imperfect quality of products and environmental factors. A unit production cost is considered as a function of the production rate. Costs that vary depending on the production rate of a company is variable production cost. Increase in production rate deteriorates the product quality, resulting in imperfect quality of products. High production rate also produces significant carbon emission in the environment. In order to reduce the environmental pollution, industries must invest an amount. The cost associated with the environmental impact of one's company's business operations is environmental cost. In order to obtain the global optimum solution, a classical optimisation technique is employed. An illustrative algorithm is established to obtain the numerical results. Numerical examples are given to illustrate the model. Numerical study proves the effects of variable production rate on the total cost of supply chain model.

Keywords: supply chain management; variable production cost; quality management; controllable lead time; single-setup-multi-delivery policy; environmental cost; uncertain demand; MTTF; mean time to failure.

DOI: 10.1504/IJSOI.2021.117256

International Journal of Services Operations and Informatics, 2021 Vol.11 No.2/3, pp.315 - 331

Received: 01 Apr 2020
Accepted: 03 Aug 2020
Published online: 26 Aug 2021 *

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