IDEAS home Printed from https://ideas.repec.org/h/spr/isochp/978-1-4419-5837-2_3.html
   My bibliography  Save this book chapter

Analysis of Postponement Strategy by EPQ-based Models

In: Postponement Strategies in Supply Chain Management

Author

Listed:
  • T.C. Edwin Cheng

    (The Hong Kong Polytechnic University)

  • Jian Li

    (School of Economics & Management Beijing University of Chemical Technology (BUCT))

  • C.L. Johnny Wan

    (The Hong Kong Polytechnic University)

  • Shouyang Wang

    (Chinese Academy of Sciences Academy of Mathematics & Systems Science)

Abstract

In this chapter we develop EPQ-based models with and without stockout stockout to examine the impact of postponement. We formulate the total average cost functions of the two scenarios for producing and keeping n end-products in a supply chain, in which their demands are known and deterministic. Using standard optimization techniques optimization technique , we show that postponed customization of end-products results in a lower total average cost in certain circumstances. We also find that two key factors that influence postponement decisions are variance of the machine utilization rates and variance of the backorder costs.

Suggested Citation

  • T.C. Edwin Cheng & Jian Li & C.L. Johnny Wan & Shouyang Wang, 2010. "Analysis of Postponement Strategy by EPQ-based Models," International Series in Operations Research & Management Science, in: Postponement Strategies in Supply Chain Management, edition 0, chapter 0, pages 43-79, Springer.
    • Handle: RePEc:spr:isochp:978-1-4419-5837-2_3
    DOI: 10.1007/978-1-4419-5837-2_3
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    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:spr:isochp:978-1-4419-5837-2_3. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    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.