In this study one obtained the optimal decision of a retailer for the replenishment rate with selling-price and credit-period dependent demand to maximize the profit. A time-varying deterioration rate was considered for those products. A credit-period was offered by the retailer to the end customer to settle the whole payments. The aim of the model was to obtain the maximum profit for the retailer based model. A solution methodology with an algorithm was used to obtain the global optimum profit. An illustrative numerical example was given to test the practical applicability of the model. Numerical study indicated that the profit was at a maximum when the permissible delay-period for payment offered by the suppliers was lies between the permissible delay-time, and the cycle time, offered by the retailer.
Mots-clés : Retailing, trade credit, deterioration, selling-price depended demand
@article{RO_2020__54_6_1685_0,
author = {Sarkar, Biswajit and Dey, Bikash Koli and Sarkar, Mitali and Hur, Sun and Mandal, Buddhadev and Dhaka, Vinti},
title = {Optimal replenishment decision for retailers with variable demand for deteriorating products under a trade-credit policy},
journal = {RAIRO - Operations Research - Recherche Op\'erationnelle},
pages = {1685--1701},
publisher = {EDP-Sciences},
volume = {54},
number = {6},
year = {2020},
doi = {10.1051/ro/2019100},
mrnumber = {4150241},
language = {en},
url = {http://archive.numdam.org/articles/10.1051/ro/2019100/}
}
TY - JOUR AU - Sarkar, Biswajit AU - Dey, Bikash Koli AU - Sarkar, Mitali AU - Hur, Sun AU - Mandal, Buddhadev AU - Dhaka, Vinti TI - Optimal replenishment decision for retailers with variable demand for deteriorating products under a trade-credit policy JO - RAIRO - Operations Research - Recherche Opérationnelle PY - 2020 SP - 1685 EP - 1701 VL - 54 IS - 6 PB - EDP-Sciences UR - http://archive.numdam.org/articles/10.1051/ro/2019100/ DO - 10.1051/ro/2019100 LA - en ID - RO_2020__54_6_1685_0 ER -
%0 Journal Article %A Sarkar, Biswajit %A Dey, Bikash Koli %A Sarkar, Mitali %A Hur, Sun %A Mandal, Buddhadev %A Dhaka, Vinti %T Optimal replenishment decision for retailers with variable demand for deteriorating products under a trade-credit policy %J RAIRO - Operations Research - Recherche Opérationnelle %D 2020 %P 1685-1701 %V 54 %N 6 %I EDP-Sciences %U http://archive.numdam.org/articles/10.1051/ro/2019100/ %R 10.1051/ro/2019100 %G en %F RO_2020__54_6_1685_0
Sarkar, Biswajit; Dey, Bikash Koli; Sarkar, Mitali; Hur, Sun; Mandal, Buddhadev; Dhaka, Vinti. Optimal replenishment decision for retailers with variable demand for deteriorating products under a trade-credit policy. RAIRO - Operations Research - Recherche Opérationnelle, Tome 54 (2020) no. 6, pp. 1685-1701. doi : 10.1051/ro/2019100. http://archive.numdam.org/articles/10.1051/ro/2019100/
[1] and , A joint approach for setting unit price and the length of the credit period for seller when end demand is price sensitive. Int. J. Prod. Econ. 83 (2003) 115–122. | DOI
[2] and , Ordering policies of deteriorating items under permissible delay-in-payments. J. Oper. Res. Soc. 46 (1995) 658–662. | DOI | Zbl
[3] and , Impact of carbon emissions in a sustainable supply chain design for a second generation biofuel. J. Cleaner Prod. 186 (2018) 807–820. | DOI
[4] , and , Retailers pricing, credit and inventory policies for deteriorating items in response to temporary price/credit incentives. Int. J. Prod. Econ. 81 (2003) 153–162. | DOI
[5] , A joint economic-lot-size model for purchaser and vendor. Decis. Sci. 17 (1986) 292–311. | DOI
[6] and , A note on economic order quantity under conditions of permissible delay-in-payments. J. Oper. Res. Soc. 38 (1987) 83–84. | Zbl
[7] , An EOQ model with deteriorating items under inflation when supplier credits linked to order quantity. Int. J. Prod. Econ. 88 (2004) 307–316. | DOI
[8] and , An inventory model for deteriorating items with partial backlogging and permissible delay-in-payments. Int. J. Syst. Sci. 32 (2001) 345–352. | DOI | MR | Zbl
[9] , and , Economic order quantity of deteriorating items under permissible delay-in-payments. Comput. Oper. Res. 25 (1998) 817–824. | DOI | Zbl
[10] , A theorem on the determination of economic order quantity under conditions of permissible delay-in-payments. Comput. Oper. Res. 25 (1998) 49–52. | DOI | Zbl
[11] and , The optimal ordering policy in a DCF analysis for deteriorating items when trade credit depends on the order quantity. Int. J. Prod. Econ. 100 (2006) 116–130. | DOI
[12] , and , The optimal inventory policies under permissible delay-in-payments depending on the ordering quantity. Int. J. Prod. Econ. 95 (2005) 203–213. | DOI
[13] , and , A two-echelon supply chain management with setup time and cost reduction, quality improvement and variable production rate. Mathematics 7 (2019) 328. | DOI
[14] , , and , An integrated inventory model involving discrete setup cost reduction, variable safety factor, selling price dependent demand, and investment. RAIRO: OR 53 (2019) 39–57. | DOI | Numdam | MR | Zbl
[15] , An integrated inventory model for a single supplier-single customer problem. Int. J. Prod. Res. 15 (1976) 107–111. | DOI
[16] , Economic order quantity under conditions of permissible delay-in-payments. J. Oper. Res. Soc. 36 (1985) 335–338. | DOI | Zbl
[17] , Economic ordering policy for deteriorating items over an infinite time horizon. Eur. J. Oper. Res. 28 (1987) 298–301. | DOI | Zbl
[18] , , , , , , , and , Investment for process quality improvement and setup cost reduction in an imperfect production process with warranty policy and shortages. RAIRO: OR 54 (2020) 251–266. | DOI | Numdam | MR
[19] , and , Optimal pricing, shipment and payment policy for an integrated supplier–buyer inventory model with two-part trade credit. Eur. J. Oper. Res. 187 (2008) 496–510. | DOI | MR | Zbl
[20] , An inventory model under two-levels of trade credit and limited storage space derived without derivatives. Appl. Math. Modell. 30 (2006) 418–436. | DOI | Zbl
[21] , Economic order quantity under conditionally permissible delay-in-payments. Eur. J. Oper. Res. 176 (2007) 911–924. | DOI | Zbl
[22] and , Retailers pricing and lot sizing policy for exponentially deteriorating products under the condition of permissible delay-in-payments. Comput. Oper. Res. 24 (1997) 539–547. | DOI | Zbl
[23] , and , Retailer’s optimal replenishment decisions with credit linked demand under permissible delay-in-payments. Eur. J. Oper. Res. 190 (2008) 130–135. | DOI | Zbl
[24] , and , An ordering policy for deteriorating items with allowable shortages and permissible delay in payment. J. Oper. Res. Soc. 48 (1997) 826–833. | DOI | Zbl
[25] , and , Optimal payment time for a retailer under permitted delay of payment by the wholesaler. Int. J. Prod. Econ. 66 (2000) 59–66. | DOI
[26] , An EOQ model with non-instantaneous receipt and exponentially deteriorating items under two-level trade credit policy. Int. J. Prod. Econ. 113 (2008) 852–861. | DOI
[27] , and , Two-echelon manufacturer–retailer supply chain strategies with price, quality, and promotional effort sensitive demand. Int. Tran. Oper. Res. 22 (2015) 1071–1095. | DOI | MR | Zbl
[28] , An EOQ model with delay-in-payments and stock dependent demand in the presence of imperfect production. Appl. Math. Comput. 218 (2012) 8295–8308. | MR | Zbl
[29] , An EOQ model with delay-in-payments and time varying deterioration. Math. Comput. Modell. 55 (2012) 367–377. | DOI | MR | Zbl
[30] , A production-inventory model with probabilistic deterioration in two-echelon supply chain management. Appl. Math. Modell. 37 (2013) 3138–3151. | DOI | MR | Zbl
[31] , Mathematical and analytical approach for the management of defective items in a multi-stage production system. J. Cleaner Prod. 218 (2019) 896–918. | DOI
[32] and , Variable deterioration and demand – an inventory model. Econ. Modell. 31 (2013) 548–556. | DOI
[33] and , An economic manufacturing quantity model with probabilistic deterioration in a production system. Econ. Modell. 31 (2013) 245–252. | DOI
[34] , and , An inventory model with variable demand, component cost and selling price for deteriorating items. Econ. Model. 30 (2013) 306–310. | DOI
[35] , , and , An integrated inventory model with variable lead time, defective units and delay-in-payments. Appl. Math. Comput. 237 (2014) 650–658. | MR
[36] , and , An inventory model with trade-credit policy and variable deterioration for fixed lifetime products. Ann. Oper. Res. 229 (2015) 677–702. | DOI | MR | Zbl
[37] , , , and , Two-echelon supply chain model with manufacturing quality improvement and setup cost reduction. J. Ind. Manage. Optim. 13 (2017) 1085–1104. | DOI | MR | Zbl
[38] , On the economic order quantity under conditions of permissible delay-in-payments. J. Oper. Res. Soc. 53 (2002) 915–918. | DOI | Zbl
[39] and , Optimal manufacturer’s replenishment policies in the EPQ model under two-levels of trade credit policy. Eur. J. Oper. Res. 195 (2009) 358–363. | DOI | MR | Zbl
[40] , and , Optimal pricing and ordering policy under permissible delay-in-payments. Int. J. Prod. Econ. 97 (2005) 121–129. | DOI
[41] and , Two-echelon trade credit financing for perishable items in a supply chain when demand depends on both selling price and credit period. Comput. Ind. Eng. 57 (2009) 773–786. | DOI
[42] , and , Multi-item sustainable green production system under trade-credit and partial backordering. J. Cleaner Prod. 204 (2018) 82–95. | DOI
[43] , Retailer’s optimal ordering and discounting policies under advance sales discount and trade credits. Comput. Ind. Eng. 56 (2009) 208–215. | DOI
Cité par Sources :
