Management Science and Financial Engineering

The Korean Operations Research and Management Science Society (한국경영과학회)
권호 표지
DOI QR코드

DOI QR Code

Analysis of Two-tier Supply Chains with Multiplicative Random Yields

  • Received : 2016.02.15
  • Accepted : 2016.05.11
  • Published : 2016.05.31
Download PDF
⟨ Previous Next ⟩

Abstract

We consider a two-tier supply chain with multiplicative random yield. We focus on the supply chain performance with respect to the control scheme of determining the production lot size. The profit loss due to distributed control is analyzed to give an insight for devising efficient supply contracts.

Keywords

References

  1. Anupindi, R. and R. Akella, "Diversification under supply uncertainty," Management Science 39 (1993), 944-963. https://doi.org/10.1287/mnsc.39.8.944
  2. Cachon, G. P., "Supply chain coordination with contracts," In: Graves S, de Kok T, editors, Handbook in operations research and management science, Amsterdam: Elsevier BV, 11 (2003), 229-239.
  3. Erdem, A. S. and S. Ozekici, "Inventory models with random yield in a random environment," International Journal of Production Economics 78 (2002), 239-253. https://doi.org/10.1016/S0925-5273(01)00165-7
  4. Ehrhardt, R. and L. Taube, "An inventory model with random replenishment quantity," International Journal of Production Research 25, 12 (1987), 1795-803.
  5. Gerchak, Y., R. G. Vickson, and M. Parlar, "Periodic review production models with variable yield and uncertain demand," IIE Transactions 20 (1988), 144-150. https://doi.org/10.1080/07408178808966163
  6. Gupta, D. and W. L. Cooper, "Stochastic comparisons in production yield management," Operations Research 53 (2005), 377-384. https://doi.org/10.1287/opre.1040.0174
  7. Henig, M. and Y. Gerchak, "The structure of periodic review policies in the presence of random yield," Operations Research 38 (1990) 634-643. https://doi.org/10.1287/opre.38.4.634
  8. Inderfurth, K., "Analytical solution for a single-period production-inventory problem with uniformly distributed yield and demand," Central European Journal of Operations Research 12 (2004), 117-127.
  9. Keren, B., "The single-period inventory problem: extension to random yield from the perspective of the supply chain," Omega 37 (2009), 801-810. https://doi.org/10.1016/j.omega.2008.07.006
  10. Khouja, M., "The single-period newsvendor problem: literature review and suggestions for further research," Omega 27 (1999), 537-253. https://doi.org/10.1016/S0305-0483(99)00017-1
  11. Li, X., Y. Li, and X. Cai, "A note on the random yield from the perspective of the supply chain," Omega 40 (2012), 601-610. https://doi.org/10.1016/j.omega.2011.12.003
  12. Newbery, D. and J. E. Stiglitz, The theory of commodity price stabilization, New York, Oxford University Press, 1981.
  13. Noori, A. H. and G. Keller, "One-period order quantity strategy with uncertain match between the amount received and quantity requisitioned," INFOR 24, 1 (1986), 1-11.
  14. Parlar, M. and D. Wang, "Diversification under yield randomness in inventory models," European Journal of Operational Research 66 (1993), 52-64. https://doi.org/10.1016/0377-2217(93)90205-2
  15. Rekik, Y., Y. E. Sahin, and Y. Dallery, "A comprehensive analysis of the Newsvendor model with unreliable supply," OR Spectrum 29 (2007), 207-233. https://doi.org/10.1007/s00291-005-0025-0
  16. Shih, W., "Optimal inventory policies when stockouts result from defective products," International Journal of Production Research 18 (1980), 677-685. https://doi.org/10.1080/00207548008919699
  17. Yano, C. and H. L. Lee, "Lot sizing with random yields: a review," Operations Research 43 (1995), 311-334. https://doi.org/10.1287/opre.43.2.311