Model of an Integrated Procurement-Production System for Food Products Incorporating Quality Loss during Storage Time

Fauza, Gusti; Amer, Yousef; Lee, Sang‐Heon

doi:10.7763/ijmmm.2013.v1.4

Cited by 6 publications

(3 citation statements)

References 21 publications

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“…Based on the available literature, it can be seen that time-dependent decay rate for exponential decay time is generally used to describe a fall in quantity or quality of the product (Goyal and Giri, 2001). The fresh products item such as fruits spoilage condition varies under different environmental conditions (Blackburn and Scudder, 2009; Rong et al , 2011; Zanoni and Zavanella, 2012; Fauza et al , 2013). In recent research, more and more studies have begun to consider the relationship between time and deteriorating rate.…”

Section: Classification Of Perishable Inventory Modelsmentioning

confidence: 99%

State-of-the-art literature review on inventory models for perishable products

Chaudhary

Kulshrestha

Routroy

2018

JAMR

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Purpose The purpose of this paper is to review and analyze the perishable inventory models along various dimensions such as its evolution, scope, demand, shelf life, replenishment policy, modeling techniques and research gaps. Design/methodology/approach In total, 418 relevant and scholarly articles of various researchers and practitioners during 1990-2016 were reviewed. They were critically analyzed along author profile, nature of perishability, research contributions of different countries, publication along time, research methodologies adopted, etc. to draw fruitful conclusions. The future research for perishable inventory modeling was also discussed and suggested. Findings There are plethora of perishable inventory studies with divergent objectives and scope. Besides demand and perishable rate in perishable inventory models, other factors such as price discount, allow shortage or not, inflation, time value of money and so on were found to be combined to make it more realistic. The modeling of inventory systems with two or more perishable items is limited. The multi-echelon inventory with centralized decision and information sharing is acquiring lot of importance because of supply chain integration in the competitive market. Research limitations/implications Only peer-reviewed journals and conference papers were analyzed, whereas the manuals, reports, white papers and blood-related articles were excluded. Clustering of literature revealed that future studies should focus on stochastic modeling. Practical implications Stress had been laid to identify future research gaps that will help in developing realistic models. The present work will form a guideline to choose the appropriate methodology(s) and mathematical technique(s) in different situations with perishable inventory. Originality/value The current review analyzed 419 research papers available in the literature on perishable inventory modeling to summarize its current status and identify its potential future directions. Also the future research gaps were uncovered. This systemic review is strongly felt to fill the gap in the perishable inventory literature and help in formulating effective strategies to design of an effective and efficient inventory management system for perishable items.

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Section: Classification Of Perishable Inventory Modelsmentioning

confidence: 99%

State-of-the-art literature review on inventory models for perishable products

Chaudhary

Kulshrestha

Routroy

2018

JAMR

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“…Various problems can be experienced by retailers in managing the inventory of perishable products. An example of a problem is the decreased quality of food products in the warehouse (Fauza, 2013). This decrease in quality will cause food waste because food products are considered unfit for sale.…”

Section: Introductionmentioning

confidence: 99%

Development of Inventory Model for Perishable Product with Dynamic Pricing

ANANTO,

SISWANTO

2023

EPSTEM

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: Perishable products are products whose value decreases over time. Inventory management for perishable products is a challenge experienced by retailers. Problems arise when inventory costs increase due to a large amount of wasted or waste products. This research aims to maximize profit by providing policy recommendations for inventory procurement under dynamic pricing. This research optimization focuses on determining the optimal order size and reorder level. To solve this problem, a simulation model is created by considering changes in product prices as product quality decreases. The simulation method in this study is a discrete event simulation using simulation software. Events in this inventory simulation include the arrival of customers and the addition or reduction of inventory levels. The replenishment policy in this study is continuous reviews. Simulation scenarios were generated to obtain an optimum order size and reorder level. The best scenario is obtained from a combination of optimum order size and reorder level. An inventory simulation model was generated based on fruit inventory data at one of the major retailers in Indonesia.

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“…Conventionally, the economic lot size of the raw material is determined separately from the finished product. This decision leads to the resulting sub-optimization solution [6]. The demand for raw materials depends on the production plan for the finished product [7].…”

Section: Introductionmentioning

confidence: 99%

Integrated Procurement-Production Inventory Model with Two-Stage Production

Utama

Kholik

Mulya

2020

JTI

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The inventory-production system concerns the effective management of the goods flows from raw materials to finished products. The Integrated Procurement-Production (IPP) system consists of many elements that must be managed effectively. The problem will be more complex if it involves deciding on the number of delivery frequencies at the retailer level. In this case, the Integrated Procurement-Production's objective function depends on the frequency of raw material shipments, the frequency of delivery of finished products, and the time of the production cycle. This study aims to develop an IPP system to maximize total profit. The decision variables used are the frequency of raw material delivery, the frequency of delivery of finished products, and the production cycle time. This study proposes the Dragonfly Algorithm (DA) as an algorithm for problem-solving. Dragonfly Algorithm is used to find the best inventory decision variables. This study conducted experiments with various iteration parameters and DA population. The results showed that the greater the iteration and the population used, the greater the profit. A sensitivity analysis of decision variables is also presented in this investigation.

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Model of an Integrated Procurement-Production System for Food Products Incorporating Quality Loss during Storage Time

Cited by 6 publications

References 21 publications

State-of-the-art literature review on inventory models for perishable products

State-of-the-art literature review on inventory models for perishable products

Development of Inventory Model for Perishable Product with Dynamic Pricing

Integrated Procurement-Production Inventory Model with Two-Stage Production

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