Technical note: production allocation, lot-sizing, and shipment policies for multiple items in multiple production lines

Abstract

Kim, T., Hong, Y. and Lee, J., Joint economic production allocation and ordering policies in a supply chain consisting of multiple plants and a single retailer. International Journal of Production Research, 2005, 43, 3619–3632, discuss the joint production allocation and ordering policies of a single item in a supply chain consisting of multiple production lines in parallel. In this note, we extend their paper and develop joint economic production allocation, lot-sizing, and shipment policies in a supply chain where a manufacturer produces multiple items in multiple production lines and ships the items to the respective retailers.

Keywords:

• Multiple production lines
• Production allocation
• Common rotation cycle
• Shipment quantity and frequency