Citations


Contact Us

For Marketing, Sales and Subscriptions Inquiries
2637 E Atlantic Blvd #43110
Pompano Beach, FL 33062
USA

Conference List

The Economics and Finance Letters

April 2014, Volume 1, 4, pp 39-48

An Inventory Model with Lost Sale is Time Dependent

Ying-Chieh Chen

,

Po-Yu Chen

Ying-Chieh Chen 1
Po-Yu Chen 2

  1. Department of Accounting, Ming Chuan University, Taipei, Taiwan 1

  2. Department of Advertising, Ming Chuan University, Taipei, Taiwan 2

Pages: 39-48

DOI: 10.18488/journal.29/2014.1.4/29.4.39.48

Share :


Abstract:

In this paper, we shall construct an inventory model with partially backlogged shortage and Poisson demand. In the shortage period, we assume that lost sale is dependent on the length of waiting time. Under these assumptions, we find the optimal planning and shortage periods such that the expected profit per unit time is maximized. Also, we can estimate the optimal expected backordered quantity and the expected order quantity.
Contribution/ Originality

Keywords:


Reference:

  1. Axsäter, S., 2007. A heuristic for triggering emergency orders in an inventory system. European Journal of Operational Research, 176(2): 880-891.
  2. Bijvank, M. and S.G. Johansen, 2012. Periodic review lost-sales inventory models with compound poisson demand and constant lead times of any length. European Journal of Operational Research, 220(1): 106-114.
  3. Bijvank, M. and I.F.A. Vis, 2011. Lost-sales inventory theory: A review. European Journal of Operational Research, 215(1): 1-13.
  4. Chen, M.S. and Y.C. Chen, 2010. A note on the optimal supply cycle when the whole period is stockout. Asia-Pacific Journal of Operational Research, 27(5): 611-616.
  5. Chen, Y.C., 2003. A probabilistic approach for traditional EOQ model. Journal of Information & Optimization Sciences, 24(2): 249-253.
  6. Chiang, C., 2006. Optimal ordering policed for periodic-review systems with replenishment cycles. European Journal of Operational Research, 170(1): 44-56.
  7. Hogg, R.V. and E.A. Tanis, 1993. Probability and statistical inference. 4th Edn., New York: Macmillan Publishing Company.
  8. Ouyang, L.Y., B.R. Chuang and Y.J. Lin, 2007. Effective investment to reduce lost-sales rate in a periodic review inventory model. OR Spectrum, 29(4): 681-697.
  9. Park, K.S., 1983. Another inventory model with a mixture of backorders and lost sales. Naval Research Logistics Quarterly, 30(3): 397-400.
  10. Rosenberg, D., 1979. A new analysis of a lot-size model with partial backlogging. Naval Research Logistics Quarterly, 26(2): 349-353.
  11. Thangam, A. and R. Uthayakumar, 2008. A two-level supply chain with partial backordering and approximated poisson demand. European Journal of Operational Research, 187(1): 228-242.

Statistics:

Google Scholor ideas Microsoft Academic Search bing Google Scholor

Funding:

Competing Interests:

Acknowledgement:


Related Article

( 1 ) An Inventory Model with Lost Sale is Time Dependent
( 2 ) The Effect of Disruptive Factors on Inventory Control as a Mediator and Organizational Performance in Health Department of Punjab, Pakistan
( 3 ) Exploring the Dimensions Using Exploratory Factor Analysis of Disruptive Factors and Inventory Control
( 4 ) The Development of Participated Environmental Education Model for Sustainable Mangrove Forest Management on Eastern Part of Thailand
( 5 ) The Impact of Human Capital on Economic Growth: Evidence from Tunisia Using Star and Stecm Models
( 7 ) A Model of Strategic Thinking: Islamic and Iranian Perspective
( 8 ) Stock Market Performance and Economic Growth: Evidence from Nigeria Employing Vector Error Correction Model Framework
( 9 ) Workplace Bullying: Modelling Construct Validity in an Australian Public Sector Workforce
( 10 ) Estimating Value at Risk for Sukuk Market Using Generalized Auto Regressive Conditional Heteroskedasticity Models
( 11 ) Dynamic Analysis of Competitive Technology Innovation Diffusion Model
( 12 ) A Review upon the Changes Which Come With the Model upon Turkish Metropolitan Municipality within the Provincial Administrative Boundaries
( 13 ) Confirming the Mediation Effect of A Structural Model By Using Bootstrap Approach: A Case Study of Malaysian 8th Grade Students’ Mathematics Achievement
( 14 ) The Effect of Exchange Rate Changes on Consumer Prices in Nigeria: Evidence from VECM Model
( 15 ) Examining Long Run Relationship between Household Debt and Household Savings in South Africa – An Error Correction Model and Granger Causality
( 16 ) Comparative Analysis of the Effectiveness of Coub-Douglas, Real Business Cycle, and Keynsian Growth Models in Determining Economic Growth in Nigeria
( 17 ) An Econometric Planning Model of Urban Forestry as a Measure of Sustainability: A Matrix of Action and Change
( 18 ) On the Prediction of the Inflation Crises of South Africa Using Markov-Switching Bayesian Vector Autoregressive and Logistic Regression Models
( 19 ) Triple Hurdle Model with Zero Expenditures
( 20 ) Dutch Disease: Myth or Reality? An Analysis of the ARDL Model
( 21 ) Consumers’ Behavioural Intention to Adopt Mobile Banking in Rural Sub-Saharan Africa Using an Extension of Technology Acceptance Model: Lessons from Zimbabwe
( 22 ) Evaluating the Model of Demand for Money in Nigeria
( 23 ) Developing a Conceptual Model for Antecedents of Resistance to Change towards Sustainable Construction Practices
( 24 ) Towards a Proposal of a Local Authority Model Based on the Systemic Approach
( 25 ) A Process Model for Conformance of Health Information Systems: Towards National Interoperability
( 26 ) Can the Interdependence Effect and the Contagion Phenomena be Related with One Another?
( 28 ) Ensuring Quality Provision of Education for All: Discovering Challenges Faced by Teachers of Students with Learning Disabilities in Regular Primary Schools in Masvingo District
( 29 ) Stock Market Index Prediction with Neural Network during Financial Crises: A Review on Bist-100
( 31 ) Milk or Wine: Are Critical Infrastructure Protection Architectures Improving with Age?
( 32 ) The Correlation Between the Palestinian Civil Society Institutions and the Universities (Status: The Palestine Technical University Kadourie with Tulkarm Institutions)
( 33 ) Rural - Urban Balance as a Measure of Socio-Economic Development with Special Reference to Iran
( 34 ) A Review on EU Transportation Projects within the Case of Turkey for European Union Regional Development Policy
( 35 ) Studying the Integration of Damascus Securities Exchange with Selected Stock Markets
( 36 ) Testing the PPP Using Unit Root Tests with Structural Breaks: Evidence from Politically Unstable Arab Countries
( 37 ) Specifying Quality of Governance in Transition Economies with Cluster Analysis
( 38 ) Financial Market Predictions with Factorization Machines: Trading the Opening Hour Based on Overnight Social Media Data
( 40 ) Satisfaction with Applications Fuels the Growth of Mobile Wallet Use in Thailand
( 41 ) Analysis of Effect of Profitability, Capital, Risk Financing, the Sharia Supervisory Board and Capabilities Zakat in Islamic Perspective with Circular Approach Causastion on Islamic Banks in Indonesia
( 42 ) The Effectiveness of the Production of Healthy Rice in Comparison with other Rice Varieties in the Upper Northern Region of Thailand
( 43 ) Panel Data Estimators in the Presence of Serial and Spatial Correlation with Panel Heteroscedasticity: A Simulation Study