IDEAS home Printed from https://ideas.repec.org/a/eee/proeco/v124y2010i1p87-96.html
   My bibliography  Save this article

Economic order quantity model for items with imperfect quality with learning in inspection

Author

Listed:
  • Khan, M.
  • Jaber, M.Y.
  • Wahab, M.I.M.

Abstract

The economic order quantity (EOQ) model is the simplest and earliest inventory model in the literature. Its simple mathematics is attributed to its assumptions, which are rarely met. Salameh and Jaber [2000. Economic production quantity model for items with imperfect quality. Int. J. Prod. Econ. 64, 59-64] addressed one of these assumptions that items received or produced are not of perfect quality. This paper extends Salameh and Jaber's work for the case where there is learning in inspection. The model is realistic in that it considers situations of lost sales and backorders. Mathematical models are developed with numerical examples provided and results discussed for the cases of (i) partial transfer of learning, (ii) total transfer of learning, and (iii) no transfer of learning.

Suggested Citation

  • Khan, M. & Jaber, M.Y. & Wahab, M.I.M., 2010. "Economic order quantity model for items with imperfect quality with learning in inspection," International Journal of Production Economics, Elsevier, vol. 124(1), pages 87-96, March.
  • Handle: RePEc:eee:proeco:v:124:y:2010:i:1:p:87-96
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0925-5273(09)00372-7
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Eroglu, Abdullah & Ozdemir, Gultekin, 2007. "An economic order quantity model with defective items and shortages," International Journal of Production Economics, Elsevier, vol. 106(2), pages 544-549, April.
    2. Salameh, M. K. & Jaber, M. Y., 2000. "Economic production quantity model for items with imperfect quality," International Journal of Production Economics, Elsevier, vol. 64(1-3), pages 59-64, March.
    3. Jaber, Mohamad Y. & Kher, Hemant V. & Davis, Darwin J., 2003. "Countering forgetting through training and deployment," International Journal of Production Economics, Elsevier, vol. 85(1), pages 33-46, July.
    4. Huang, Chao-Kuei, 2004. "An optimal policy for a single-vendor single-buyer integrated production-inventory problem with process unreliability consideration," International Journal of Production Economics, Elsevier, vol. 91(1), pages 91-98, September.
    5. Cardenas-Barron, Leopoldo Eduardo, 2000. "Observation on: "Economic production quantity model for items with imperfect quality" [Int. J. Production Economics 64 (2000) 59-64]," International Journal of Production Economics, Elsevier, vol. 67(2), pages 201-201, September.
    6. Maddah, Bacel & Jaber, Mohamad Y., 2008. "Economic order quantity for items with imperfect quality: Revisited," International Journal of Production Economics, Elsevier, vol. 112(2), pages 808-815, April.
    7. Papachristos, S. & Konstantaras, I., 2006. "Economic ordering quantity models for items with imperfect quality," International Journal of Production Economics, Elsevier, vol. 100(1), pages 148-154, March.
    8. Chiu, Huan Neng & Chen, Hsin Min, 2005. "An optimal algorithm for solving the dynamic lot-sizing model with learning and forgetting in setups and production," International Journal of Production Economics, Elsevier, vol. 95(2), pages 179-193, February.
    9. Kevin Hsu, Wen-Kai & Yu, Hong-Fwu, 2009. "EOQ model for imperfective items under a one-time-only discount," Omega, Elsevier, vol. 37(5), pages 1018-1026, October.
    10. Steven Nahmias & Stephen A. Smith, 1994. "Optimizing Inventory Levels in a Two-Echelon Retailer System with Partial Lost Sales," Management Science, INFORMS, vol. 40(5), pages 582-596, May.
    11. Hill, R.M. & Seifbarghy, M. & Smith, D.K., 2007. "A two-echelon inventory model with lost sales," European Journal of Operational Research, Elsevier, vol. 181(2), pages 753-766, September.
    12. Jaber, M.Y. & Goyal, S.K. & Imran, M., 2008. "Economic production quantity model for items with imperfect quality subject to learning effects," International Journal of Production Economics, Elsevier, vol. 115(1), pages 143-150, September.
    13. Goyal, Suresh Kumar & Cardenas-Barron, Leopoldo Eduardo, 2002. "Note on: Economic production quantity model for items with imperfect quality - a practical approach," International Journal of Production Economics, Elsevier, vol. 77(1), pages 85-87, May.
    14. Argote, L. & Epple, D., 1990. "Learning Curves In Manufacturing," GSIA Working Papers 89-90-02, Carnegie Mellon University, Tepper School of Business.
    15. Evan L. Porteus, 1986. "Optimal Lot Sizing, Process Quality Improvement and Setup Cost Reduction," Operations Research, INFORMS, vol. 34(1), pages 137-144, February.
    16. S K Goyal & B C Giri, 2001. "A comment on Chang and Dye (1999): EOQ model for deteriorating items with time-varying demand and partial backlogging," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 52(2), pages 238-239, February.
    17. Jaber, Mohamad Y. & Bonney, Maurice, 2003. "Lot sizing with learning and forgetting in set-ups and in product quality," International Journal of Production Economics, Elsevier, vol. 83(1), pages 95-111, January.
    18. Jaber, Mohamad Y. & Bonney, Maurice, 1999. "The economic manufacture/order quantity (EMQ/EOQ) and the learning curve: Past, present, and future," International Journal of Production Economics, Elsevier, vol. 59(1-3), pages 93-102, March.
    19. Alamri, Adel. A. & Balkhi, Zaid T., 2007. "The effects of learning and forgetting on the optimal production lot size for deteriorating items with time varying demand and deterioration rates," International Journal of Production Economics, Elsevier, vol. 107(1), pages 125-138, May.
    20. Wee, H.M. & Yu, Jonas & Chen, M.C., 2007. "Optimal inventory model for items with imperfect quality and shortage backordering," Omega, Elsevier, vol. 35(1), pages 7-11, February.
    21. Jaber, M.Y. & Bonney, M. & Moualek, I., 2009. "Lot sizing with learning, forgetting and entropy cost," International Journal of Production Economics, Elsevier, vol. 118(1), pages 19-25, March.
    22. Jaber, Mohamad Y. & Bonney, Maurice, 2007. "Economic manufacture quantity (EMQ) model with lot-size dependent learning and forgetting rates," International Journal of Production Economics, Elsevier, vol. 108(1-2), pages 359-367, July.
    23. Kun-Jen Chung & Yung-Fu Huang, 2006. "Retailer’s Optimal Cycle Times in the EOQ Model with Imperfect Quality and a Permissible Credit Period," Quality & Quantity: International Journal of Methodology, Springer, vol. 40(1), pages 59-77, February.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Khan, M. & Jaber, M.Y. & Guiffrida, A.L. & Zolfaghari, S., 2011. "A review of the extensions of a modified EOQ model for imperfect quality items," International Journal of Production Economics, Elsevier, vol. 132(1), pages 1-12, July.
    2. Tien-Yu Lin & Kuo-Lung Hou, 2015. "An imperfect quality economic order quantity with advanced receiving," TOP: An Official Journal of the Spanish Society of Statistics and Operations Research, Springer;Sociedad de Estadística e Investigación Operativa, vol. 23(2), pages 535-551, July.
    3. Rezaei, Jafar & Salimi, Negin, 2012. "Economic order quantity and purchasing price for items with imperfect quality when inspection shifts from buyer to supplier," International Journal of Production Economics, Elsevier, vol. 137(1), pages 11-18.
    4. 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.
    5. Hsu, Jia-Tzer & Hsu, Lie-Fern, 2013. "An EOQ model with imperfect quality items, inspection errors, shortage backordering, and sales returns," International Journal of Production Economics, Elsevier, vol. 143(1), pages 162-170.
    6. Ivan Darma Wangsa & Hui Ming Wee & Shih-Hsien Tseng, 2019. "A coordinated vendor–buyer system considering loss and damage claims, insurance cost and stochastic lead time," International Journal of System Assurance Engineering and Management, Springer;The Society for Reliability, Engineering Quality and Operations Management (SREQOM),India, and Division of Operation and Maintenance, Lulea University of Technology, Sweden, vol. 10(3), pages 384-398, June.
    7. Jaber, Mohamad Y. & Bonney, Maurice & Guiffrida, Alfred L., 2010. "Coordinating a three-level supply chain with learning-based continuous improvement," International Journal of Production Economics, Elsevier, vol. 127(1), pages 27-38, September.
    8. Taleizadeh, Ata Allah & Khanbaglo, Mahboobeh Perak Sari & Cárdenas-Barrón, Leopoldo Eduardo, 2016. "An EOQ inventory model with partial backordering and reparation of imperfect products," International Journal of Production Economics, Elsevier, vol. 182(C), pages 418-434.
    9. Lie-Fern Hsu & Jia-Tzer Hsu, 2016. "Economic production quantity (EPQ) models under an imperfect production process with shortages backordered," International Journal of Systems Science, Taylor & Francis Journals, vol. 47(4), pages 852-867, March.
    10. Sher, Mikhail M. & Kim, Seung-Lae & Banerjee, Avijit & Paz, Michael T., 2018. "A supply chain coordination mechanism for common items subject to failure in the electronics, defense, and medical industries," International Journal of Production Economics, Elsevier, vol. 203(C), pages 164-173.
    11. Kevin Hsu, Wen-Kai & Yu, Hong-Fwu, 2009. "EOQ model for imperfective items under a one-time-only discount," Omega, Elsevier, vol. 37(5), pages 1018-1026, October.
    12. Maddah, Bacel & Moussawi, Lama & Jaber, Mohamad Y., 2010. "Lot sizing with a Markov production process and imperfect items scrapped," International Journal of Production Economics, Elsevier, vol. 124(2), pages 340-347, April.
    13. Yassine, Ali & Maddah, Bacel & Salameh, Moueen, 2012. "Disaggregation and consolidation of imperfect quality shipments in an extended EPQ model," International Journal of Production Economics, Elsevier, vol. 135(1), pages 345-352.
    14. Jaber, M.Y. & Goyal, S.K. & Imran, M., 2008. "Economic production quantity model for items with imperfect quality subject to learning effects," International Journal of Production Economics, Elsevier, vol. 115(1), pages 143-150, September.
    15. Skouri, K. & Konstantaras, I. & Lagodimos, A.G. & Papachristos, S., 2014. "An EOQ model with backorders and rejection of defective supply batches," International Journal of Production Economics, Elsevier, vol. 155(C), pages 148-154.
    16. Chen, Liang-Hsuan & Kang, Fu-Sen, 2010. "Coordination between vendor and buyer considering trade credit and items of imperfect quality," International Journal of Production Economics, Elsevier, vol. 123(1), pages 52-61, January.
    17. Sudipta Sinha & Nikunja Mohan Modak & Shib Sankar Sana, 2020. "An entropic order quantity inventory model for quality assessment considering price sensitive demand," OPSEARCH, Springer;Operational Research Society of India, vol. 57(1), pages 88-103, March.
    18. Wahab, M.I.M. & Mamun, S.M.H. & Ongkunaruk, P., 2011. "EOQ models for a coordinated two-level international supply chain considering imperfect items and environmental impact," International Journal of Production Economics, Elsevier, vol. 134(1), pages 151-158, November.
    19. Yoo, Seung Ho & Kim, DaeSoo & Park, Myung-Sub, 2009. "Economic production quantity model with imperfect-quality items, two-way imperfect inspection and sales return," International Journal of Production Economics, Elsevier, vol. 121(1), pages 255-265, September.
    20. Nasr, Walid W. & Maddah, Bacel & Salameh, Moueen K., 2013. "EOQ with a correlated binomial supply," International Journal of Production Economics, Elsevier, vol. 144(1), pages 248-255.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:proeco:v:124:y:2010:i:1:p:87-96. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/ijpe .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.