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Production lot sizing with process deterioration and machine breakdown under inspection schedule


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  • Chakraborty, Tulika
  • Giri, B.C.
  • Chaudhuri, K.S.
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    The paper develops integrated production, inventory and maintenance models for a deteriorating production system in which the production facility may not only shift from an 'in-control' state to an 'out-of-control' state but also may break down at any random point in time during a production run. In case of machine breakdown, production of the interrupted lot is aborted and a new production lot is started when the on-hand inventory is depleted after corrective repair. The process is inspected during each production run to examine the state of the production process. If it is found in the 'in-control' state then either (a) no action is taken except at the time of last inspection where preventive maintenance is done (inspection policy-I) or (b) preventive maintenance is performed (inspection policy-II). If, however, the process is found to be in the 'out-of-control' state at any inspection then restoration is done. The proposed models are formulated under general shift, breakdown and repair time distributions. As it is, in general, difficult to find the optimal production policy under inspection policy-I, a suboptimal production policy is derived. Numerical examples are taken to determine numerically the optimal/suboptimal production policies of the proposed models, to examine the sensitivity of important model parameters and to compare the performance of inspection and no inspection policies.

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    Bibliographic Info

    Article provided by Elsevier in its journal Omega.

    Volume (Year): 37 (2009)
    Issue (Month): 2 (April)
    Pages: 257-271

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    Handle: RePEc:eee:jomega:v:37:y:2009:i:2:p:257-271

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    Keywords: Inventory Production Machine breakdown Inspection Maintenance;


    References listed on IDEAS
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    1. Hyun Kim, Chang & Hong, Yushin, 1999. "An optimal production run length in deteriorating production processes," International Journal of Production Economics, Elsevier, vol. 58(2), pages 183-189, January.
    2. Harry Groenevelt & Liliane Pintelon & Abraham Seidmann, 1992. "Production Lot Sizing with Machine Breakdowns," Management Science, INFORMS, vol. 38(1), pages 104-123, January.
    3. A. G. Munford, 1981. "Comparison among Certain Inspection Policies," Management Science, INFORMS, vol. 27(3), pages 260-267, March.
    4. Dohi, Tadashi & Okamura, Hiroyuki & Osaki, Shunji, 2001. "Optimal control of preventive maintenance schedule and safety stocks in an unreliable manufacturing environment," International Journal of Production Economics, Elsevier, vol. 74(1-3), pages 147-155, December.
    5. Wang, Chih-Hsiung, 2005. "Integrated production and product inspection policy for a deteriorating production system," International Journal of Production Economics, Elsevier, vol. 95(1), pages 123-134, January.
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    Cited by:
    1. Bouslah, Bassem & Gharbi, Ali & Pellerin, Robert, 2013. "Joint optimal lot sizing and production control policy in an unreliable and imperfect manufacturing system," International Journal of Production Economics, Elsevier, vol. 144(1), pages 143-156.
    2. Chiu, Singa Wang & Chou, Chung-Li & Wu, Wen-Kuei, 2013. "Optimizing replenishment policy in an EPQ-based inventory model with nonconforming items and breakdown," Economic Modelling, Elsevier, vol. 35(C), pages 330-337.
    3. Chang, Hung-Chi & Ho, Chia-Huei, 2010. "Exact closed-form solutions for "optimal inventory model for items with imperfect quality and shortage backordering"," Omega, Elsevier, vol. 38(3-4), pages 233-237, June.
    4. Wee, Hui Ming & Widyadana, Gede Agus, 2013. "A production model for deteriorating items with stochastic preventive maintenance time and rework process with FIFO rule," Omega, Elsevier, vol. 41(6), pages 941-954.
    5. Berthaut, F. & Gharbi, A. & Dhouib, K., 2011. "Joint modified block replacement and production/inventory control policy for a failure-prone manufacturing cell," Omega, Elsevier, vol. 39(6), pages 642-654, December.
    6. Suliman, Saad M.A. & Jawad, Sayed Husain, 2012. "Optimization of preventive maintenance schedule and production lot size," International Journal of Production Economics, Elsevier, vol. 137(1), pages 19-28.
    7. Ramasesh, Ranga V., 2010. "Lot-sizing decisions under limited-time price incentives: A review," Omega, Elsevier, vol. 38(3-4), pages 118-135, June.


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