Impact of Inspection Error of an Economic Production Quantity Model with Acceptance Sampling, Defective Items, and Rework

Abstract

In this model, the manufacturer needs to inspect and rework defective items due to the flawed manufacturing process. When checking for defective products, two types of errors, namely Type 1 error and Type 2 error, may occur at the inspection stage. If a lot of defective materials are rejected during the inspection, a non-destructive screening process separates the material into reworkable and non-defective categories. This study includes inspection rate insufficiency (IRI) and inspection rate sufficiency (IRS) based on the relationship between inspection and production rates. Rework Priority Policy (RPP) is followed in every scenario. This paper aims to minimize the inspection error and optimize the total profit. Numerical examples help demonstrate the value of this well-established model. A sensitivity analysis of this study was carried out to check its accuracy.