• Journal of Korean Institute of Industrial Engineers
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• v.24 no.1
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• pp.157-165
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• 1998

This paper considers the single-product production and transportation problem with discrete time, dynamic demand and finite time horizon, an extension of classical dynamic lot-sizing model. In the model, multiple freight container types are allowed as the transportation mode and each order (product) placed in a period is shipped immediately by containers in the period. Moreover, each container has type-dependent carrying capacity restriction and at most one container type is allowed in each shipping period. The unit freight cost for each container type depends on the size of its carrying capacity. The total freight cost is proportional to the number of each container type employed. Such a freight cost is considered as another set-up cost. Also, it is assumed in the model that production and inventory cost functions are dynamically concave and backlogging is not allowed. The objective of this study is to determine the optimal production policy and the optimal transportation policy simultaneously that minimizes the total system cost (including production cost, inventory holding cost, and freight cost) to satisfy dynamic demands over a finite time horizon. In the analysis, the optimal solution properties are characterized, based on which a dynamic programming algorithm is derived. The solution algorithm is then illustrated with a numerical example.

• Journal of The Korean Society of Agricultural Engineers
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• v.57 no.5
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• pp.29-35
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• 2015

The optimal greenhouse scales for controlled tomato should be studied because the increase of oil price and labor costs following the shortage of workforce makes greenhouse cultivation hard to gain profits. The purpose of this study is to estimate optimal production scales by greenhouse types for controlled tomato. The translog cost function is estimated based on the production cost survey data. The results can be summarized as follows: First, the average production cost of controlled tomato per kg decreases as the production scale increases. Second, according to the tomatoes farm of standard farming income data of RDA, the minimum production scale is 23 ton. Third, the estimated output of single-span greenhouse considering production scale with minimum average cost is 345 ton and production cost per kg is 1,476 won. The corresponding figures of multi-span greenhouse are 415 ton and 936 won, respectively. The study results can be used as basic materials for efficient decision making of tomato farmhouses and novice farmers. Also, the study shows that multi-span greenhouse should be encouraged to be built, since it requires lower marginal cost than single greenhouse. The results of this paper will help increase the income of farmhouses and cut expenses for the coming years.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.42 no.4
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• pp.145-152
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• 2019

All machines deteriorate in performance over time. The phenomenon that causes such performance degradation is called deterioration. Due to the deterioration, the process mean of the machine shifts, process variance increases due to the expansion of separate interval, and the failure rate of the machine increases. The maintenance model is a matter of determining the timing of preventive maintenance that minimizes the total cost per wear between the relation to the increasing production cost and the decreasing maintenance cost. The essential requirement of this model is that the preventive maintenance cost is less than the failure maintenance cost. In the process mean shift model, determining the resetting timing due to increasing production costs is the same as the maintenance model. In determining the timing of machine adjustments, there are two differences between the models. First, the process mean shift model excludes failure from the model. This model is limited to the period during the operation of the machine. Second, in the maintenance model, the production cost is set as a general function of the operating time. But in the process mean shift model, the production cost is set as a probability functions associated with the product. In the production system, the maintenance cost of the equipment and the production cost due to the non-confirming items and the quality loss cost are always occurring simultaneously. So it is reasonable that the failure and process mean shift should be dealt with at the same time in determining the maintenance time. This study proposes a model that integrates both of them. In order to reflect the actual production system more accurately, this integrated model includes the items of process variance function and the loss function according to wear level.

• Proceedings of the Korean Society of Precision Engineering Conference
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• 2000.11a
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• pp.281-284
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• 2000

For estimation manufacturing cost during the early design stage, desingers have to know compositon of manufacturmg cost. Manufacturing cost is summalion of material cost and processmg cost. To be able to control the manufacturmg cost, it is necessary to estimate the costs adequately and to store the cost data in a generic way. a generic system, which is the basis for the control of the production costs, takes into account geometric information, material information, process information and production planning information Manufacturing cost is summation of material cost and processing cost.

• Journal of The Korean Society of Agricultural Engineers
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• v.50 no.4
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• pp.51-58
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• 2008

Unit costs for energy production in bioenergy facilities are dependent upon both fixed cost for facility construction and operational costs including biomass feedstock supply. With the increase of capacity, unit fixed cost could be decreased while supply cost tends to increase due to the longer transportation distance. It is desirable to take into account biomass availability in planning bioenergy facilities. A cumulative curve relationship was proposed to relate biomass availability and cumulative products of biomass amount and transportation distance. Optimum size of gasification facilities was affected by collection cost, biomass cumulative relationship. Based on biomass availability of Icheon-City, optimum sizes were about $400kW_{th}$ for gas production, and about $200kW_{el}$ for power generation. Unit cost of bioenergy production could be substantially reduced by reducing collection cost through supplying biomass from diverse sources including land development areas where significant amount of waste wood is generated. When planning bioenergy facilities, however, biomass availability and spatial distribution are key factors in determining the size of capacity.

• Journal of the military operations research society of Korea
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• v.27 no.1
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• pp.10-27
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• 2001

This paper deals with the application of PRICE model in estimating the proper acquisition cost for weapon budgeting phase. The PRICE(Parametric Review of Information for Costing and Evaluation) Hardware model is a computerized method for deriving cost estimates of electronic and mechanical hardware assemblies and systems. The model can be used in obtaining not only initial cost estimates in conceptual phase, but also detailed cost estimates in budgeting phase depending on available historical and empirical data. We analyzed first step cost estimate parameters and derived cost equations using PRICe output dta. Using weight and complexity, We can find cost variation. Sensitivity analysis shows that cost increases exponentially as complexity increases exponentially as complexity increases. We estimated KAAV\`s (Korea Amphibious Assault Vehicle) production cost using the PRICE model and compare with engineering cost estimates which is based on actual production data submitted by the production company. The result shows that tow estimates are close within $\pm2%$ differences.

• Korean Journal of Agricultural Science
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• v.42 no.3
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• pp.285-291
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• 2015

Many Koreans have the question about the price of food: whether the price of Korean food is reasonable or not? Even though some previous studies tried to discuss and analyze the price system of Korean food, few papers clearly present the implication about production cost or marketing margin of processing food. The purpose of this paper is to measure and analyze the production cost and marketing margin of tofu and kimchi, which are one of the main food in Korea, through the raw-data of FIS, KAMIS, and other data from Korean business area. The results of studies present a few findings as follows: First, the proportion of labor cost in the production cost is very important factor and need to be decreased for the lower consumer price. Especially, the lower proportion of labor cost in kimchi industry should be important issue, even though the reduction of proportion of labor cost in kimchi industry is not easy in the real world. Second, each marketing channel of processed food shows different marketing margin. Therefore, Korean government need to increase the level of competition of marketing channels, which makes each business is forced to decrease the marketing margin to survive the market competition in Korea.

• Journal of Forest and Environmental Science
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• v.34 no.4
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• pp.304-312
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• 2018

This study investigates to identify the impact factors of timber production cost on the relationship between production cost components and revenues generated by evaluating the entire timber supply chain. In this research, selected 13 logging zones as target areas and classified 14 forest production cost factors, six groups. Additionally, established 13 externalenvironmental factors with related stakeholders and forestry experts. And the BCR (Benefit Cost Ratio) method was then used to analyze the economics of each zone. Filled up a checklist and rated using 5 point scale for each target region, and extracted major cost factors for the production economy of the item. The analysis of major cost factors in the timber production revealed that wood grab equipment usage fee was the first ranked and forest trees purchase cost was ranked in the $2^{nd}$Also, the $3^{rd}$ranking was logging expenses, and transport cost, which accounted for 84% of the total cost, was ranked in the $4^{th}$. In addition, the rock land ratio, slope, timber payment (forest trees purchase cost), special timber, ratio of timber, DBH (Diameter at Breast Height), and mixed forest ratio were the factors that most affected the timber supply chain cost.

• The Journal of Fisheries Business Administration
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• v.8 no.2
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• pp.1-19
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• 1977

The results analyzed of the actual state of medium size two-boat trawler fishery based on the cost expended in 1975 are as follows: According to the calculation of interest, the total cost of this fishery comes to ￦ 55,353,807, and in this account, the production cost comes to ￦ 49,747,383 (89.9%) and the material cost comes to ￦ 27,027,662(48.8%), the labour cost comes to ￦ 10,381,013 (18.8%) the expenses, ￦12,338,708(22.3%) and commision and interest comes to ￦ 5,606,424 (10.1%). As above the fishery comes is 90% of production cost for the expense of production. The ratio of cost element to the total cost 100 is as follow: Fuel: 23.6%, allocation: 14.3%, fishing gear: 14.1%, boat repair: 13.0%, fish box: 8.5%, ice: 14.1%, commission: 6.9%, food cost: 4.5%, interest: 3.2%, transportation fee: 2.8%, consumption: 2.6%, tax: 2.5%, depreciation: 2.4%, administrative expense: 1.6%. The unit cost of catches to each box, including the interest, cames to ￦ 2,167 and not calculating the interest it comes to ￦ 2,098. The cost production to each kg comes to ￦ 114 including interest, without interest, it comes ￦110. When the production cost comes to 90.6%, it comes to 9.4% of total revenue. The reason which this fishery brings low income is that the boats are almost old and semi-diesel engine is used. So, fuel expense and repaire expenses needs too much. Acconding to above this fishery needs to replace new boat and new engine. And new are for this fishery needs to bring under cultivation in order to bring good income with the new method for this fishery. Specially, this fishery brings low income from July to September because of its rest from labour. And so, the expenses, item, and account of money, and the trust money the cost element are not showed in August.

• 한국신재생에너지학회:학술대회논문집
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• 2010.06a
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• pp.228.2-228.2
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• 2010

In this work, the hydrogen production costs of the nuclear energy sources are estimated in the necessary input data on a Korean specific basis. G4-ECONS was appropriately modified to calculate the cost for hydrogen production of HTE process with Very High Temperature nuclear Reactor (VHTR) as a thermal energy source rather than the LUEC (Levelized Unit Electricity Cost). The general ground rules and assumptions follow G4-ECONS. Through a preliminary study of cost estimates, we wished to evaluate the economic potential for hydrogen produced from nuclear energy, and, in addition, to promptly estimate the hydrogen production costs for an updated input data for capital costs. The estimated costs presented in this paper show that hydrogen production by the VHTR could be competitive with current techniques of hydrogen production from fossil fuels if $CO_2$ capture and sequestration is required. Nuclear production of hydrogen would allow large-scale production of hydrogen at economic prices while avoiding the release of $CO_2$. Nuclear production of hydrogen could thus become the enabling technology for the hydrogen economy. The major factors that would affect the cost of hydrogen were also discussed.