• Journal of the Korea Safety Management & Science
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• v.21 no.4
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• pp.75-80
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• 2019

Sales of the Korean clothing industry grew to 16.9 percent on-year in 2010, but the growth rate dropped to 3 percent from 2011 to 2016 and the overall market began to slump to 1.1.6 percent in 2017. The competitiveness of clothing companies is also a major sector in logistics capability, and the average logistics cost of domestic clothing companies is 8.3 percent of sales in 2011, higher than the average 8 percent of domestic industries, and 36.4 percent of the total storage cost in 2011, higher than the 28.8 percent share of the total storage cost of domestic companies. As domestic production conditions such as wage hikes and labor disputes worsened in the 1990s, production facilities were rapidly moved overseas, which led many clothing companies to have no production facilities or a minimal production base in Korea and focus on marketing and design capabilities. The total storage capacity and storage efficiency of the logistics center became very important as the products were changed to the form of mass warehousing and small-volume forwarding. Research shows that building column spacing, a model of this research, can affect the amount of hanger rack storage empirically, so for sustainable growth of clothing companies, it is necessary to improve competitiveness in the logistics market by reducing costs and improving efficiency to overcome difficulties in corporate management. Because logistics costs are 8.3 percent and operating profit to sales ratio is 2 percent, it is expected that operating profit will increase by 41.5 percent if logistics costs are reduced by 10 percent. If 10% of storage cost is saved based on storage cost, operating profit is expected to increase by 15% To strengthen the competitiveness of the clothing industry, a reduction in logistics costs is essential. Therefore, the purpose of this study is to provide hints that logistics experts can have empirically small amounts in reducing storage costs through column spacing adjustment of logistics centers that have not been dealt with statistically until now, and to contribute to the continued growth of clothing companies and the development of the domestic logistics industry.

• Journal of Korean Society for Quality Management
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• v.23 no.2
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• pp.10-27
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• 1995

This paper illustrates a method of developing a function of quality costs in manufacturing systems. It begins with a discussion of the problem statement of this research. A review of existing literatures related to quality costs and economic design of quality inspection methods are discussed. Next mathematical models that quantify the production cycle time and quality costs are formulated. This paper ends with an example that demonstrates the usefulness of the model and highlights the importance of using a system approach. The main contribution of this work is the more realistic considerations of the four types of quality costs (prevention cost, appraisal cost, internal failure cost, external failure cost) in manufacturing systems.

• Proceedings of the Korean Institute of Building Construction Conference
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• 2020.06a
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• pp.169-170
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• 2020

Occupational Safety and Health Management Cost, used to protect workers in Korean construction worksites and to create safe working environments, is a legally managed expense item. As this cost item is grounded on the Occupational Safety and Health Act, it is always implemented. However, because there is a ceiling on its rates, insufficient amounts of Safety Management Costs are often allocated to worksites, with the money not being used to areas essential to worker safety. As such, the current study raises the need to develop a set of standards to enable some items under the Occupational Safety and Health Management Costs-appropriated under the rate of indirect costs-to be appropriated as direct construction costs. As a preliminary step in this effort, the current study will provide basic data that can be used to create construction cost calculation standards for items that can be calculated as direct construction costs.

• Journal of applied mathematics & informatics
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• v.42 no.2
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• pp.379-390
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• 2024

This study proposes a fuzzy inventory model for managing large-scale production, incorporating cost considerations. The model accounts for two types of expenditure scenarios-parametric and exponential. Uncertainty surrounds holding costs, setup costs, and demand rates. The approach considers a supply chain system with a complex manufacturing process, factoring in transportation costs based on the quantity of goods and distance between the supplier and retailer. The initial crisp model is then transformed into a fuzzy simulation, incorporating specific fuzzy variables affecting inventory costs. The proposed method significantly reduces overall inventory costs for the entire supply chain. Retailer demand is linked to inventory levels, and vendor/distributor storage deteriorates over time. The fuzzy condition assumes hexagonal variables for all associated factors. The study employs the signed distance method for defuzzification to determine the optimal order quantity with hexagonal fuzzy numbers. Mathematical examples are provided to illustrate the practicality of the proposed approach.

• Environmental and Resource Economics Review
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• v.23 no.3
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• pp.453-472
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• 2014

Analyzing the effects of carbon emissions trading, which is scheduled to be introduced in Korea in 2015, requires an accurate assessment of $CO_2$ abatement costs by both industries and firms. Firms faced with regulatory constraints are unlikely to minimize their production costs due to rising production costs caused by allocative inefficiency of inputs. The use of a distance function would results in underestimation of $CO_2$ abatement costs, because it fails to capture the allocative distortion costs. Recognizing the disadvantage of the previous approach, first, this paper tests for allocative efficiency of input for the Korean steel industry over the period 1990-2010, then derives the marginal $CO_2$ abatement costs by applying a cost function approach. The hypothesis of allocative efficiency in inputs is rejected and the steel industry pays an annual average cost of 92,000 won in removing an additional ton of $CO_2$ over the sample period.

• Journal of the Korean Society of Clothing and Textiles
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• v.23 no.1
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• pp.42-53
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• 1999

Global sourcing strategy is the one that apparel firms adopt in order to improve efficiency. Souring statesgies are not limited to the decision of sourcing country or vertical integration of sewing process Sourcing strategies include all the ecision of marketing process from the acquisition of fabric to distribution of products. The present study aims to analyze the soucing strategies of Korea apparel industry in global perspectives by applying transaction cost approach and aims to provide the implications for the future. The results are as follows ; (1) sourcing strategies in the dimension of domestic versus offshore soucing are determined by the experience in foreign business and the degree of fashionability of the product. (2) Firms tend to increase affshore soucing as they accumulate the experience in foreign business because they can decrease transaction costs as the perceived risks decrease (3) Also firms tend to source their products in foreign countries when the products are more fashionable. Brand loyalty of the product is a additional factor that increases the proportion of domestic sourcing. (4) Degree of vertical integration of sourcing is determined by the fashionability brand loyalty and the experience in foreign business. That is firms decrease the transaction costs by avoiding the investment to short life fashion products. However firms increase the control over the high reputation product by in house production. As the apparel firms tend to more marketing oriented and the national boundaries of business envrionment becomes permeable more efficient global sourcing strategies should be stablished, Besides the production costs nonproduction costs should be equallly considered in order to analyze the total costs.

• Journal of Korea Society of Industrial Information Systems
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• v.20 no.4
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• pp.55-65
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• 2015

An increase in patients' medical expenses for their injury. accident and intoxication is a major challenge to improve the sustain-ability of a national health security system, and increasing medical expenses need be suppressed through improving relevant systems and/or efficiently operating and managing the health insurance. At this juncture, in Korea which has a high rate of injury incidence and mortality, it is necessary to estimate social and/or economic costs for injuries with a focus on their social effects. This research has examined the results of a Korea medical panel investigation conducted in 2008, which largely surveyed of the actual conditions of outpatients' medical use for their injury, accident and/or intoxication and investigated relevant medical expenses, with a view to estimating the directly incurred costs when the patients use medical services and the production loss costs caused by an production decline and others, so that social and/or economic costs for injuries may be ultimately aggregated.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.37 no.3
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• pp.129-138
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• 2014

This paper is to analyze the cycle time of the vendor in a single-vendor multi-buyers supply chain. The vendor is the manufacturer and the buyers are the retailers. The cycle time of the vendor is the elapse time from the beginning time of the production to the beginning time of the next production. The cycle time of the vendor that minimizes the total cost in a supply chain is analyzed. The cost factors are the production setup cost and the inventory holding cost of the vendor, the ordering cost and the inventory holding cost of the retailers. The cycle times of the vendor obtained with the costs of the vendor is compared with those obtained with the costs of the vendor and the retailers. Various numerical examples are tested if the cycle times of the vendor for both methods are the same.

• 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 Korea Safety Management & Science
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• v.18 no.4
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• pp.171-177
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• 2016

The goals of enterprises are to use resources efficiently, minimize the costs or reduce unsuitable products with efficient process or production environment and take competitive advantages through efforts such as proper supply of good products, etc. so as to satisfy diversified customers and survive in rough competition. To reduce production costs, it's inevitable to make unsuitable products during the production in manufacturing process. Therefore, this researcher grasped LED assembly process and drew the results of productivity improvement through process analysis so as to improve productivity by process anlaysis.