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Production and Shipment Lot Sizing in a Vendor-Buyer Supply Chain with Freight Cost Discounts  

Kim, Chang-Hyun (전남대학교 문화사회과학대학 경상학부)
Publication Information
Journal of the Korean Operations Research and Management Science Society / v.34, no.4, 2009 , pp. 139-151 More about this Journal
Abstract
Based on single-vendor single-buyer integrated production-inventory problem, a model considering freight costs discounts is suggested when the cargo capacity is constrained. With the cost function formulated, several properties of the model are derived and analyzed. An efficient algorithm to find solutions such as shipment lot size, number of shipments and number of full truckloads using properties derived is suggested. Numerical results are provided to illustrate the proposed solution procedures and to provide additional insights.
Keywords
Transportation; LTL shipments; Freight Discounts; Inventory;
Citations & Related Records
Times Cited By KSCI : 1  (Citation Analysis)
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