Nasri, Farrokh, Paknejad, Javad, and Affisco, John F.
Proceedings for the Northeast Region Decision Sciences Institute (NEDSI). 2009, p403-408. 6p.
MANUFACTURES, RAPID prototyping, MANUFACTURING execution systems, PRODUCTION engineering, and INDUSTRIAL engineering
This paper considers the basic Economic Order Quantity model that allows stockouts and backordering. It assumes that the number of defectives produced by the manufacturing process is random rather than constant. Specifically, we assume that each lot contains a random proportion of defective units. Based on this scenario, we adjust the EOQ with planned shortages model for the quality factor. In addition to the general relationships obtained, closed form relationships are also given for the two special cases where the proportion of defectives follow uniform and exponential distributions. [ABSTRACT FROM AUTHOR]