• Journal of Korean Institute of Industrial Engineers
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• v.24 no.1
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• pp.105-113
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• 1998

This paper deals with a production line which consists of two production stages that are separated by a finite storage buffer. The inventory level in the storage buffer controls the production rate of the preceding stage. That is, the production rate becomes high (low) when the buffer inventory is low (high). We analyze the system characteristics utilizing the Markov process theory and then find an optimal control policy which maximizes a given system profit function. Also, a sensitivity analysis is made to examine the effects of various system parameters on the system performances.

• Journal of Korean Institute of Industrial Engineers
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• v.30 no.3
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• pp.241-249
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• 2004

By committing to a long-term replenishment contract, suppliers can mitigate the pressure to find new customers and afford to charge a discounted price to buyers seeking to lower their purchasing costs. In this paper, we develop an analytical model from buyer's perspective for the contracting process to investigate the buyer-supplier interactions. Based on the developed model, we propose an algorithm to derive optimal strategy for the contract. We consider a system with a single buyer and a supplier in a situation where the buyer's inventory is controlled by (R, S) policy under VMI setting. According to the contract, the supplier should replenish the buyer's inventory up to a fixed level every R times during a specified period. The buyer purchases any deficient amount from a spot market at a higher price. We show by computational experiment that our proposed algorithm finds the global optimum solution.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.10 no.16
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• pp.129-132
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• 1987

Multi-item inventory problems can be well characterized by the nature of interaction of the quantities and timing. This interaction may be due to the effect of certain combination of orders. It is that the set-up cost of ordering individual items can be saved by jointly ordering at a time. This study finds a decision criteria of optimum inventory policy through the comparisons of individual multi-item order policy(IMP), joint multi-item order policy(JMP), augmented multi-item order policy(AMP) in cost ratio. Subsequently we assume that there exists a unique optimum order level corresponding to an optimum reorder range for the augmented multi-item order, at which a cost saying is maximum.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.46 no.4
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• pp.116-123
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• 2023

In supply chain, most partners except the top level suppliers have inbound and outbound logistics. For example, toll manufacturing companies get unprocessed materials from a requesting company and send the processed materials back to the company after toll processing. Accordingly, those companies have inbound and outbound transportation costs in their total logistics costs. For many cases, the company may make the schedule of distributions by considering only the due delivery dates. However, the inbound and outbound transportation costs could significantly affect the total logistics costs. Thus, this paper considers the inbound and outbound transportation costs to find the optimal distribution plans. In addition, we have considered the inventory holding costs as well with transportation costs. From the experimental results, we have provided the optimal strategies for the distributions of replenishment as well as deliveries.

• Journal of the Korea Safety Management & Science
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• v.14 no.1
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• pp.129-136
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• 2012

This study proposes a collaboration system framework on the web service in a supply chain to implement an efficient virtual supply chain and improve an ability to fulfill received orders over a supply chain. The system based on the framework proposed in this paper plays an important role for automatic order negotiation and placing/receiving an order noticed in web service by the main system. Furthermore, it can evaluate the fulfillment of received orders over a supply chain by using the transaction results from hierarchically related vendors and establish efficient manufacturing plans. In a word, this system is the automated system for creating manufacturing plans, placing and receiving orders. A little more important main function of this system is that it has a dynamic evaluation capability about fulfillment with received orders over a supply chain, and improves the evaluation method of fulfillment ability with received orders with related to direct dealing vendors, which is a main problem in existing system. As a result, this system is able to reduce the work load of the sales and purchasing materials, production control division, to manage accurate inventory promptly, to maintain the optimal inventory level by analyzing the information of fulfillment ability with received orders, and to enhance the level of service for customers.

• Journal of the Korean Society of Safety
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• v.18 no.1
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• pp.108-115
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• 2003

Bridges are rated at two levels by either Load Factor Design (LFD) or Allowable Stress Design (ASD). The lower level rating is called Inventory Rating and the upper level rating is called Operating Rating. To maintain bridges effectively, there is an urgent need to assess actual bridge loading carrying capacity and to predict their remaining life from a system reliability viewpoint. The lifetime functions are introduced and explained to predict the time-dependent failure probability. The bridge studied in this paper was built 30 years ago in rural area. For this bridge, the load test and rehabilitation were conducted. The time-dependent system failure probability is predicted with or without rehabilitation. As a case study, an optional rehabilitation is suggested, and fir this rehabilitation, load rating is computed and the time-dependent system failure probability is predicted. Based on rehabilitation costs and extended service lifes, the optimal rehabilitation is suggested.

• Journal of the Semiconductor & Display Technology
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• v.20 no.3
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• pp.57-64
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• 2021

The domestic semiconductor industry can produce various products that will satisfy customer needs by diversifying assembly parts and increasing compatibility between them. It is necessary to improve the production line as a method to reduce the work-in-process inventory (WIP) in the assembly line, the idle time of the worker, and the idle time of the process. The improvement of the production line is to balance the capabilities of each process as a whole, and to determine the timing of product input or the order of the work process so that the time required between each process is balanced. The purpose of this study is to find the optimal WIP and buffer size through SA (Simulated Annealing) that minimizes lead time while matching the number of two parts in a parallel assembly line with bottleneck process. The WIP level and buffer size obtained by the SA algorithm were applied to the CONWIP and DBR systems, which are the existing production systems, and the simulation was performed by applying them to the new hybrid production system. Here, the Hybrid method is a combination of CONWIP and DBR methods, and it is a production system created by setting new rules. As a result of the Simulation, the result values were derived based on three criteria: lead time, production volume, and work-in-process inventory. Finally, the effect of the hybrid production method was verified through comparative analysis of the result values.

• Proceedings of the Korean Operations and Management Science Society Conference
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• 1996.04a
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• pp.477-480
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• 1996

The main objective of this research is to develop the optimal control method for a Distribution Center - multi Branch inventory distribution system. With the continuous review policy, the distribution center places an order for specific order quantity to an outside supplier, and the order quantity is replenished after a certain lead time. Also, each branch places an order for particular order quantity to the distribution center to satisfy the customer demands, and receives the replenishment after a lead time. When an out of stock condition occurs during an order cycle, a backorder is placed to the upper level to fill the unfilled demands. With these situation, variable demand and variable lead time are used for better industrial practice. Futher, actual lead times with a generic lead time distribution are used in developing the control model. Under the actual lead time model, the customer service measures actually attained for the distribution center and each branch are explained as the effective customer service measures. Thus, throughout the optimal control (using computer search procedures), we can set the desired service levels for the distribution center and each branch to produce the effective service level for each branch which is consistent with the goal level of service for each branch. At the same time, the entire distribution system keeps minimum inventories.

• Journal of the Korea Safety Management & Science
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• v.2 no.3
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• pp.81-88
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• 2000

In this research, the system is assumed to carry a single item of which the demand types vary. Demand type is defined as a management's classification of the item according to the demand source or to the service purpose. The purpose of this research is to find the optimal inventory control policy when the system carries a single item which consists of multiple demand types. In this research, the optimizing algorithm contains a heuristic, therefore, the optimal is not guaranteed by the algorithm. At least, this research provides the solution to the problems that have not been solved by the existing algorithms.

• Proceedings of the Safety Management and Science Conference
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• 2000.11a
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• pp.127-130
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• 2000

In this research, the system is assumed to carry a single item of which the demand types vary. Demand type is defined as a management's classification of the item according to the demand source or to the service purpose. The purpose of this research is to find the optimal inventory control policy when the system carries a single item which consists of multiple demand types. In this research, the optimizing algorithm contains a heuristic, therefore, the optimal Is not guaranteed by the algorithm. At least, this research provides the solution to the problems that have not been solved by the existing algorithms.