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Gunawan Mangkuharjo
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Decision Sciences, Operations Research & Management Education Engineering Industrial & Manufacturing Engineering

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Lost Sales Inventory Model in Finite Planning Horizon Gunawan Mangkuharjo; Y. Agustina H; Hui-Ming Wee
Jurnal METRIS Vol. 15 No. 01 (2014): 2014
Publisher : Prodi Teknik Industri, Fakultas Teknik - Universitas Katolik Indonesia Atma Jaya

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Abstract

This study extends a previous Economic Order Quantity (EOQ) model to include lost sales inventory and afinite planning horizon model. An exact algorithm is developed for finite planning horizon lost salesinventory condition. A practical approach is proposed to derive the optimal solution. The algorithm with lostsales inventory and finite planning horizon method improves the total cost of the inventory policy. Ouranalysis shows that the minimum total cost of the finite planning horizon method is always greater or equalto the infinite planning horizon method.
Co-Authors Hui-Ming Wee Y. Agustina H Yosi Agustina Hidayat