کد مقاله | کد نشریه | سال انتشار | مقاله انگلیسی | نسخه تمام متن |
---|---|---|---|---|
1135592 | 956104 | 2011 | 12 صفحه PDF | دانلود رایگان |
Pricing coordination and due-date management are managerial challenges in today’s competitive marketplace. Segmenting orders into classes and allocating resources based on their sensitivity to time and price can increase a firm’s profit and its capacity utilization. In addition, other parameters such as production policy, inventory holding and delivery system should be considered in pricing and due-date decisions. In this paper, we consider the role of flexibility in price, lead-time and delivery in the make-to-order environment, where limited production capacity under a stochastic demand function is allowed. We develop a two-stage stochastic programming model to determine the price, lead-time and production amount jointly in each period. The difficulty of continuous distributions is avoided by using a scenario-based approach for stochastic demand. Through numerical analyses, we indicate the benefits of flexibility in delivery, price and lead-time in various environments.
► We study pricing and lead time decision in multi class make to order firm.
► We consider the stochastic demand for customers.
► We develop two stage stochastic programming to model the problem.
► Benefit of flexibility in delivery, price and lead time is dependent on environment.
► Increasing of variance in demand function will increase the VSS.
Journal: Computers & Industrial Engineering - Volume 61, Issue 4, November 2011, Pages 1086–1097