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Heibatolah Sadeghi

Heibatolah Sadeghi

Academic rank: Associate Professor
ORCID:
Education: PhD.
ScopusId: 54938922500
HIndex:
Faculty: Faculty of Engineering
Address:
Phone: +988733660073

Research

Title
Optimal Pricing and Replenishment Policy for Production System with Discrete Demand
Type
JournalPaper
Keywords
Discrete Demand, Pricing, Economic production quantity, Optimization
Year
2019
Journal International Journal of Industrial Engineering & Management Science
DOI
Researchers Heibatolah Sadeghi

Abstract

In the classical inventory models, it is assumed that the demand for production items is continue, however, there are various types of manufactured products that demand for their items is discrete and periodic. In this paper, an inventory control model for production systems is developed with discrete demand and interval time between two sequential demands is same. Also, assumed the demand is dependent to the price which demand decreases linearly with the increase in price. We suggest a mixed integer mathematical model and the purpose of this model is maximizing the profit by determining the optimal selling price and replenishment quantity. Mathematical theorems are developed to determine the optimal selling price and replenishment quantity for continue decision variable and then we purposed an algorithm for finding optimal discrete value for the number of periods of demand at the production time and optimal price selling. A numerical example is given to illustrate the theory.