A note on “The EPQ with partial backordering and phase-dependent backordering rate” |
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| Authors: | Tsu-Pang Hsieh Chung-Yuan Dye |
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| Affiliation: | a Department of Business Administration, Aletheia University, Tamsui, Taipei 251, Taiwan, ROC
b Graduate School of Business and Administration, Shu-Te University, Yen-Chao, Kaohsiung 824, Taiwan, ROC |
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| Abstract: | Pentico et al. [The EPQ with partial backordering and phase-dependent backordering rate. Omega 2011;39(5):574-7] recently proposed an EPQ model with partial backordering. They tried to determine the minimum average total cost per year from the three cases: to lose all sales, to meet all demand, and to allow stockouts with partial backordering. In this paper, we solve the same model without differential calculus and present a different decision procedure. Without the comparison of those costs, a numerical example is illustrated to determine the optimal production policy by our criteria. |
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| Keywords: | Production lot sizing Phase-dependent backordering rate EPQ Partial backordering Arithmetic-geometric mean inequality |
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