Inventory models with a negative exponental crashing cost taking time value into account

Peter Shaohua Deng, Robert Huang Jing Lin*, Chih-Young Hung, Jason Chang, Henry Chao, Sung Te Jung, Jennifer Shu Jen Lin, Peter Chu

*Corresponding author for this work

Research output: Contribution to journalArticle

1 Scopus citations

Abstract

This paper discusses the inventory replenishment policy over an infinite planning horizon with a negative exponential lead time crashing cost, taking time value into account. Our work is based on the paper of Ben-Daya and Raouf that has been cited 65 times. We extend their model to incorporate the time value of money and then find the criterion to decide the optimal solution. Numerical examples illustrate our findings to demonstrate that we provide an easy and efficient procedure to find the optimal solution.

Original languageEnglish
Pages (from-to)213-224
Number of pages12
JournalJournal of the Operations Research Society of Japan
Volume51
Issue number3
DOIs
StatePublished - 1 Jan 2008

Keywords

  • Inventory
  • Lead time
  • Present value

Fingerprint Dive into the research topics of 'Inventory models with a negative exponental crashing cost taking time value into account'. Together they form a unique fingerprint.

  • Cite this