Optimal Control of (Q, r) Inventory System with Service Level Constraint
After putting forward a lead-time reduction cost function with characteristics of subsection linear, which bases on the fact that additional investment is not necessary to reduce lead-time, this paper studied a two-stage (Q, r) policy coordination problem with service level constraint. By applying some means of optimization theory, the problem was decomposed into two problems: one problem without constraint and the other with equation constraint. Theoretic analysis and numerical study show that, service level can be improved prominently and the total cost can be minimized. The order quantity, reorder point and lead-time expediting factor were obtained at the same time.
ABSTRACT : To perform a production process in producing a product, then the most important things that must exist in the production of factors of production or resources resources, such as raw materials, labor, equipment, and so forth. In this case the author has the objective of scientific writing: how to use the factors of production are limited in producing the maximum profit. To achieve this goal, we need a tool or method. The author uses a method in Linear Programming, the Simplex method. Simplex method can be used to solve the problem of minimizing or maximizing combination of products that can accommodate two or more variables.. When calculated using the simplex method known maximum benefits Rp.650.400, - with a combination of products, chocolate shell as many as 24 jars of cookies and real chocolate cookies as much as 30 jars.