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Classical Economic Manufacturing Quantity (EMQ) models have usually ignored the possibility of process deterioration and the existence of defective items in the production lot. Moreover, the use of machine inspection for maintenance and restoration purposes has not been considered. On the other hand, past studies on maintenance models do not consider the length of a production run to be a decision variable. This paper addresses the problem of joint control of production cycles or manufacturing quantities and maintenance by inspection. A simple relationship has been developed to determine the effectiveness of maintenance by inspection. Furthermore, when maintenance by inspection is adopted, it is shown that the optimal inspection intervals are equally-spaced. The problem of simultaneous determination of EMQ and the inspection schedules is solved by using an approximation to the cost function. The resulting EMQ is found to be an adjustment to the classical EMQ. Finally, the relationships between different parameter values and the magnitudes of the cost penalty for using the classical EMQ are examined.reliability, inspection, inventory/production: policies, maintenance, inventory/production: stochastic models

In this paper, the joint problem of ordering and offering price discount by a supplier to his sole/major buyer is analyzed. The objective is to induce the buyer to alter his order schedule and size so that the supplier can benefit from lower set up, ordering, and inventory holding costs. We generalize the quantity discount pricing model of Monahan (Monahan, J. P. 1984. A quantity discount pricing model to increase vendor profits. Management Sci. 30 (6) 720--726.) to: (1) explicitly incorporate constraints imposed on the amount of discount that can be offered; and (2) relax the implicit assumption of a lot-for-lot (or order-for-order) policy adopted by the supplier. An algorithm is developed to solve the supplier's joint ordering and price discount problem.inventory/production: policies, pricing, inventory/production: deterministic models, purchasing

The problem of plant layout has generally been treated as a static one. In this paper, we deal with the dynamic nature of this problem. Both optimal and heuristic procedures are developed for this problem and are based on a dynamic programming formulation. The use of one of these approaches depends on the ability to solve the static problem efficiently. Finally, we briefly discuss the issue of extending the planning horizon, and how to resolve system nervousness when previously planned layouts need to be changed.facilities/equipment planning: layout, dynamic programming: applications, networks/graphs

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