This paper discusses why the selection of a finite planning horizon is preferable to an infinite one for a replenishment policy of production inventory models. In a production inventory model, the production rate is dependent on both the demand rate and the inventory level. When there is an exponentially decreasing demand, the application of an infinite planning horizon model is not suitable. T...

In production planning (PP) periods with excess capacity and growing demand, the manufacturers have two options to use the excess capacity. First, it could do more changeovers and thus reduce lot sizes, inventories, and inventory costs. Second, it could produce in excess of demand in the period and build additional inventory that can be used to satisfy future demand increments, thus delaying th...

A modern distribution network design model needs to deal with the trade-offs between a variety of factors, including 1) location and associated (fixed) operating cost of Distribution Centers (DCs) as well as their contribution to total transportation cost; and 2) holding and fixed ordering costs at DCs and retail outlets, in order to minimize the costs of managing the cycle stocks. In addition,...

The supply chain is a system comprising organizations, decision makers, and technology decision policies that is responsible for transforming raw materials into finished products that are delivered to end customers. As expanded upon later in the paper, the supply chain is traditionally characterized by counter-current flows of information and material. Material flows from the raw material suppl...