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Observations on 'a joint economic-lot-size model for purchaser and vendor'

Author

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  • Salem M. Aljazzar
  • Amulya Gurtu

Abstract

One of the supply chain coordination methods that has been central to the literature is the joint economic lot-sizing (JELS) problems. The JELS methods have shown to reduce the total cost of a supply chain system. This paper revisits the work of Goyal (1988), one of the earliest papers on JELS, where the vendor produces an integer multiplier of equal size shipment lots for a buyer and provides three observations on that. Subsequently, two new models have been developed based on the second and third observations. This paper provided numerical examples and sensitivity analyses to illustrate the similarities and differences among all models. The supply chain performance improves with alternate models for a wider range of attributes, while Goyal's model provides better results for the specific example.

Suggested Citation

  • Salem M. Aljazzar & Amulya Gurtu, 2019. "Observations on 'a joint economic-lot-size model for purchaser and vendor'," International Journal of Inventory Research, Inderscience Enterprises Ltd, vol. 5(3), pages 169-187.
    • Handle: RePEc:ids:ijires:v:5:y:2019:i:3:p:169-187
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