ID : 1024
Studies ; Production planning ; Models ; Management science
An analysis addresses N-stage serial production systems, through which orders need to be processed.  The processing time of the order at each stage is assumed random.  Planned leadtimes need to be specified at the time of an order arrival so as to minimize total expected holding costs at all N stages and expected penalty costs for exceeding the quoted due date.  It is shown that the optimal vector of planned leadtimes may be obtained efficiently by solving an equivalent serial inventory model of the type considered by Clark and Scarf (1960).
Optimal leadtimes planning in a serial production system, Gong, Linguo; de Kok, Ton; Ding, Jie, Management Science, 40:5, May 1994
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