In today’s competitive market, time and cost are two essential factors that manufacturers should take into consideration in their supply chain management. Therefore, the selection of appropriate length of each period which is one of the aspects to ensure a competitive delivery time is important. In our study, we proposed a mathematical model for defective products supply chain that not only optimizing costs and economic production quantity (EPQ), but also determine the most appropriate length of each period. In our model, we assumed that the defective goods are repairable and some of them are considered as scraps, but after reworking the scrap, the goods are voiding from system and they are selling with low price. The presented model is novel and we used LINGO to solve it. As the results of the model for some sample problems, we can ascertain that correctness and the fine function of the model.
