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An Inventory Policy for Perishable Products with Permissible Delay in Payment

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Innovative Mobile and Internet Services in Ubiquitous Computing (IMIS 2018)

Part of the book series: Advances in Intelligent Systems and Computing ((AISC,volume 773))

Abstract

For perishable products, the seller usually asks for the buyer to prepay a fraction of the purchasing cost as a good-faith deposit, to pay some cash upon the receipt of the order, and then a permissible delay is granted on the remaining of the purchasing cost. In addition, it is evident that the deterioration rate ages to 100% as time reaches the expiration date. In this paper, we incorporate the above two important and relevant facts to find the optimal cycle time and the fraction of no shortages such that the total profit is maximized. Several managerial insights are presented.

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Acknowledgement

This is part of an Accepted Manuscript of an article published by Taylor & Francis in International Journal of Systems Science : Operations & Logistics on May, 2017, available online: https://doi.org/10.1080/23302674.2017.1308038.

Author information

Authors and Affiliations

  1. Department of Business Administration, Asia University, Taichung, Taiwan

    Ya-Lan Chan

  2. Department of Business Administration, Tunghai University, Taichung, Taiwan

    Sue-Ming Hsu

Authors
  1. Ya-Lan Chan
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  2. Sue-Ming Hsu
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Correspondence to Sue-Ming Hsu .

Editor information

Editors and Affiliations

  1. Department of Information and Communication Engineering, Fukuoka Institute of Technology, Fukuoka, Japan

    Leonard Barolli

  2. Technical University of Catalonia, Barcelona, Spain

    Fatos Xhafa

  3. Department of Computer Science, COMSATS Institute of Information Technology, Islamabad, Pakistan

    Nadeem Javaid

  4. Rissho University, Tokyo, Japan

    Tomoya Enokido

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Chan, YL., Hsu, SM. (2019). An Inventory Policy for Perishable Products with Permissible Delay in Payment. In: Barolli, L., Xhafa, F., Javaid, N., Enokido, T. (eds) Innovative Mobile and Internet Services in Ubiquitous Computing. IMIS 2018. Advances in Intelligent Systems and Computing, vol 773. Springer, Cham. https://doi.org/10.1007/978-3-319-93554-6_90

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