We consider a contract manufacturer who procures multiple components from independent suppliers to produce an assemble-to-order customized product for a client. The unit price of the product depends on the manufacturer's delivery lead time. We explore how the manufacturer can use a...

We investigate a production planning problem in a periodic review environment with variable production capacity, random yields, and uncertain demand. The implications of random yields and variable capacity for lot sizing previously have been explored separately, but not jointly. Many production...

Under a consignment contract with revenue sharing, a supplier decides on the retail price and delivery quantity for his product, and retains ownership of the goods; for each item sold, the retailer deducts a percentage from the selling price and remits the balance to the supplier. In this paper...

Consider a two-echelon repairable inventory system consisting of a central depot and multiple stocking centers. The centers provide parts replacement service to customers and replenish their inventory from the depot, following a one-for-one policy. The depot fills center replenishment orders on...

This paper presents a model of a bottleneck facility that performs two distinct types of operations: "regular" and "rework." Each job is subjected to a test after completing the regular operation at the bottleneck. If the job passes the test, then it continues its process downstream. Otherwise,...

Many companies have embarked on initiatives that enable more demand information sharing between retailers and their upstream suppliers. While the literature on such initiatives in the business press is proliferating, it is not clear how one can quantify the benefits of these initiatives and how...

Short delivery time and the efficient management of component inventories are two crucial elements that determine the competitiveness of many contract assembly manufacturers, especially in the electronics industry. In this paper, we develop and analyze an optimization model to determine the...

This paper presents a model of a bottleneck facility that performs two distinct types of operations: "regular" and "repair." Both switch-over time and cost are incurred when the facility switches from performing one type of operation to a different type. Upon the completion of a batch of jobs in...

This paper studies the problem of scheduling jobs on parallel machines with setup times. When a machine switches from processing one type of job to another type, setup times are incurred. The problem is to find a feasible schedule for each machine which maximizes the total reward. We study three...

This investigation considers certain issues regarding the optimal design of unpaced production lines with variable processing times. Under certain assumptions, including an equal allocation of buffer storage space between the respective pairs of stations, it is known that the optimal allocation...