There is a trend toward the world's manufacturing sites moving to East Asia. After manufacture, these products are transported to the advanced nations for their consumption demands. Among such advanced nations, the U.S.A. has the largest demand, and then Japan and European countries follow. It should be noted that the infrastructures of the Asian districts used for the production sites are rather limited, and the volume of products transported from these districts of Asia to the U.S.A is becoming tremendously large. This situation is causing very serious traffic problems. New products are required to be transported swiftly by air. Once the consumption and market demands are stable however, the products should be sent rather slowly, but in larger amounts. However, the airports of China are quite restricted in capacity, while the transportation volume is becoming large. As a result, transportation cost and the time required for transportation are increasing. Now, a third method is appearing. This is the so-called Sea and Air transportation. The cost and time in transit of this mode take mean positions between Air and Ocean services. At present there exists no well-thought-out strategy for how to allocate these three methods of transportation. This paper is an attempt to theoretically describe this mechanism and to discover the optimal way to allocate the three modes. For this purpose, several mathematical properties of value and cost of the products are defined, and on this basis a simulation of the transportation is established.

In the last few years growing interest has been dedicated to supply chain management. Modeling complexity is added to supply chain coordination problem by accounting for reverse logistics activities. The objective of this paper is to extend inventory model of manufacturing factory with respect to the production of raw material of forward logistics and recycling material of reverse logistics. The proposed model is applied to a plastic recycling process plant located in Taiwan. The case study improvement scheme shows when the recycling rate of recycling material increases from 15% to 50%, the total inventory cost of manufacturing factory decreases by 12.82%, safety stock volume decreases by 41.19% and the reorder quantity is down by 50.96%. This paper finds whether the results of the model can reach the economic profit through quantitative analysis and encourages companies integrate reverse logistics into the supply chain system.

An enterprise must achieve both a sound organizational management and effective development of individual members while maintaining a balanced approach. Relative to this, there is a research field dubbed as Organizational Activation. However, there is a necessity to clarify various factors required for organizational activation and to propose a methodology for organization management. This study is an attempt to create a model from an organization-a University Seminar Class-and agents therein-the Students and the Teacher-with an assumed goal of advancing together toward the students' self-growth. The model is expressed on two dimensional planes with vectors through a computer. Vectors are composed of the growth, demand, member, hindrance and student vectors. These vectors provide data to the mathematical model for a simulation. Each agent provided the individual information from the questionnaire-conducted to 169 university students. From the analysis data and extrapolations, this study was able to craft a guideline for future seminar activity. It also examines the possibility of assimilation of the Questionnaire Approach and that of the Computational Organization Theory approach. Finally, this study discusses the future possibility of application of the Assimilated Method for research and development, and for project management.

In this paper, we introduce the implied volatility from Black-Scholes model and suggest a model for constructing implied volatility surfaces by using the two-dimensional cubic (bi-cubic) spline. In order to utilize a spline method, we acquire grid (knot) points. To this end, we first extract implied volatility curves weighted by trading contracts from market option data and calculate grid points from the extracted curves. At this time, we consider several conditions to avoid arbitrage opportunity. Then, we establish an implied volatility surface, making use of the two-dimensional cubic spline method with previously estimated grid points. The method is shown to satisfy several properties of the implied volatility surface (smile, skew, and flattening) as well as avoid the arbitrage opportunity caused by simple match with market data. To show the merits of our proposed method, we conduct simulations on market data of S&P500 index European options with reasonable and acceptable results.

Simple-closed expressions for approximate calculation of quality of service (QoS) metrics of isolated cell of wireless networks with either finite or infinite queues of both new and handover calls are developed. It is assumed that both kinds of calls might leave the system without receiving service if their waiting times exceed some threshold value. For the models with infinite queues of heterogeneous calls easily checkable ergodicity conditions are proposed. The high accuracy of the developed approximation formulas is shown. Results of numerical experiments are given.