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The effects of inspection delay and restoration cost on the optimal inspection and production policy

Author

Listed:
  • W. C. Tsai

    (I-Shou University)

  • Neng-Hui Shih

    (National Pingtung University)

  • Chih-Hsiung Wang

    (National Pingtung University)

Abstract

Economic production lot size models with a process inspection delay have been studied over several decades in the literature. When an imperfect process is assumed to have a given probability to run from an in-control state to an out-of-control state each time an item is produced, an inspection schedule is arranged to monitor the process reliability; however, a time delay to obtain the inspection results exists. This study further includes process restoration cost in the inspection/production model to study its effects on the optimal production lot size and the economic inspection lot under the consideration of minimizing the approximated total cost per week. For the case of multiple inspections, when the restoration cost is considered, the resulting the economic inspection lot may depend on the production lot size, especially when the fixed part of the restoration cost is large.

Suggested Citation

  • W. C. Tsai & Neng-Hui Shih & Chih-Hsiung Wang, 2018. "The effects of inspection delay and restoration cost on the optimal inspection and production policy," OPSEARCH, Springer;Operational Research Society of India, vol. 55(1), pages 187-195, March.
    • Handle: RePEc:spr:opsear:v:55:y:2018:i:1:d:10.1007_s12597-017-0313-x
    DOI: 10.1007/s12597-017-0313-x
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    References listed on IDEAS

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    1. Evan L. Porteus, 1990. "Note---The Impact of Inspection Delay on Process and Inspection Lot Sizing," Management Science, INFORMS, vol. 36(8), pages 999-1007, August.
    2. Hau L. Lee & Meir J. Rosenblatt, 1987. "Simultaneous Determination of Production Cycle and Inspection Schedules in a Production System," Management Science, INFORMS, vol. 33(9), pages 1125-1136, September.
    3. Evan L. Porteus, 1986. "Optimal Lot Sizing, Process Quality Improvement and Setup Cost Reduction," Operations Research, INFORMS, vol. 34(1), pages 137-144, February.
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    Cited by:

    1. Harun Öztürk, 2019. "Modeling an inventory problem with random supply, inspection and machine breakdown," OPSEARCH, Springer;Operational Research Society of India, vol. 56(2), pages 497-527, June.

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