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Optimal transportation and business cycles in an integrated production-inventory model with a discrete credit period
Affiliation:1. Department of Applied Mathematics with Oceanology and Computer Programming, Vidyasagar University, Midnapore 721102, India;2. Department of Mathematics, Jhargram Raj College, Midnapore 721507, India;1. Beijing Institute of Electronic System Engineering, Beijing, PR China;2. Institute of Space System Engineering, China Aerospace Science and Industry Corporation, Beijing, PR China;3. School of Aerospace Engineering, Beijing Institute of Technology, Beijing, PR China;4. Tsinghua Space Center, Beijing, PR China;1. Institute of Metallurgy and Materials Science, Polish Academy of Sciences, 25 Reymonta Str, 30-059 Krakow, Poland;2. AGH University Science and Technology, Faculty of Physics and Applied Computer Science, Department of Solid State Physics, Al. Mickiewicza 30, 30-059 Krakow, Poland;3. Department de Fisica, Universitat de les Illes Balears, Ctra. de Valldemossa, km 7.5, Palma de Mallorca E-07122, Spain;1. College of Aerospace Science and Engineering, National University of Defense Technology, Changsha 410073, China;2. Luoyang Electronic Equipment Test Center, Luoyang 471003, China;1. Department of Cardiovascular Surgery, Mayo Clinic, Rochester, Minnesota;2. Department of Cardiovascular Medicine, Mayo Clinic, Rochester, Minnesota
Abstract:This paper considers the impact of discrete trade-credit policy depending on the purchased quantity of raw-materials on an integrated multi-cycle production inventory system of a raw-material supplier and a manufacturer in some business cycles during finite time horizon. The manufacturer collects raw-materials with offer of free transportation cost in some transportation cycles. Our objective is to get the optimal number of transportation and business cycles in two models with three cases depending on different position of the credit period with respect to production period and cycle length. Some numerical examples have been illustrated along with sensitivity analysis and managerial insights.
Keywords:Integrated production inventory  Optimal transportation cycles  Optimal business cycles  Discrete credit period
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