Unit demands inventory system with acceptance sampling

Abstract

In this study, an extension to the unit demands inventory model with exponentially distributed interdemand times is considered. In this extension orders may arrive in two shipments due to an acceptance sampling scheme. The defective items that are detected by the plan will arrive through a second shipment. A reorder-point, order-quantity (s,Q) type control plan is adopted. The corresponding cost-rate function is constructed and numerically optimized for the best operating policy.