A deterministic production and transportation planning problem is considered over a finite time horizon for two products that can be produced in each of two regions. Each region uses its own facility to supply the demands for two products. Demands for product 2 in one region can be satisfied either by its own production or by transportation from other region, while no transportation between two regions is allowed for product 1. Production, inventory and transportation costs are assumed to be non-decreasing and concave. The objective is to find the schedule of production and transportation in each region by which the total cost over the horizon is minimized. Using a network flow approach, we develop a dynamic programming algorithm that can find an optimal policy.
Published in | International Journal of Economics, Finance and Management Sciences (Volume 2, Issue 6) |
DOI | 10.11648/j.ijefm.20140206.13 |
Page(s) | 313-318 |
Creative Commons |
This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited. |
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Copyright © The Author(s), 2014. Published by Science Publishing Group |
Production Planning, Network Flow, Dynamic Programming
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APA Style
Jong Hyup Lee, Jung Man Hong. (2014). Two Product, Two Region Production, Inventory, and Transportation Problems. International Journal of Economics, Finance and Management Sciences, 2(6), 313-318. https://doi.org/10.11648/j.ijefm.20140206.13
ACS Style
Jong Hyup Lee; Jung Man Hong. Two Product, Two Region Production, Inventory, and Transportation Problems. Int. J. Econ. Finance Manag. Sci. 2014, 2(6), 313-318. doi: 10.11648/j.ijefm.20140206.13
AMA Style
Jong Hyup Lee, Jung Man Hong. Two Product, Two Region Production, Inventory, and Transportation Problems. Int J Econ Finance Manag Sci. 2014;2(6):313-318. doi: 10.11648/j.ijefm.20140206.13
@article{10.11648/j.ijefm.20140206.13, author = {Jong Hyup Lee and Jung Man Hong}, title = {Two Product, Two Region Production, Inventory, and Transportation Problems}, journal = {International Journal of Economics, Finance and Management Sciences}, volume = {2}, number = {6}, pages = {313-318}, doi = {10.11648/j.ijefm.20140206.13}, url = {https://doi.org/10.11648/j.ijefm.20140206.13}, eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijefm.20140206.13}, abstract = {A deterministic production and transportation planning problem is considered over a finite time horizon for two products that can be produced in each of two regions. Each region uses its own facility to supply the demands for two products. Demands for product 2 in one region can be satisfied either by its own production or by transportation from other region, while no transportation between two regions is allowed for product 1. Production, inventory and transportation costs are assumed to be non-decreasing and concave. The objective is to find the schedule of production and transportation in each region by which the total cost over the horizon is minimized. Using a network flow approach, we develop a dynamic programming algorithm that can find an optimal policy.}, year = {2014} }
TY - JOUR T1 - Two Product, Two Region Production, Inventory, and Transportation Problems AU - Jong Hyup Lee AU - Jung Man Hong Y1 - 2014/12/02 PY - 2014 N1 - https://doi.org/10.11648/j.ijefm.20140206.13 DO - 10.11648/j.ijefm.20140206.13 T2 - International Journal of Economics, Finance and Management Sciences JF - International Journal of Economics, Finance and Management Sciences JO - International Journal of Economics, Finance and Management Sciences SP - 313 EP - 318 PB - Science Publishing Group SN - 2326-9561 UR - https://doi.org/10.11648/j.ijefm.20140206.13 AB - A deterministic production and transportation planning problem is considered over a finite time horizon for two products that can be produced in each of two regions. Each region uses its own facility to supply the demands for two products. Demands for product 2 in one region can be satisfied either by its own production or by transportation from other region, while no transportation between two regions is allowed for product 1. Production, inventory and transportation costs are assumed to be non-decreasing and concave. The objective is to find the schedule of production and transportation in each region by which the total cost over the horizon is minimized. Using a network flow approach, we develop a dynamic programming algorithm that can find an optimal policy. VL - 2 IS - 6 ER -