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(Reference retrieved automatically from Web of Science through information on FAPESP grant and its corresponding number as mentioned in the publication by the authors.)

Lot sizing versus batching in the production and distribution planning of perishable goods

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Author(s):
Amorim, P. [1] ; Belo-Filho, M. A. F. [2] ; Toledo, F. M. B. [2] ; Almeder, C. [3] ; Almada-Lobo, B. [1]
Total Authors: 5
Affiliation:
[1] Univ Porto, Fac Engn, INEC TEC, P-4600001 Oporto - Portugal
[2] Univ Sao Paulo, Inst Ciencias Matemat & Comp, BR-13560970 Sao Carlos, SP - Brazil
[3] Europa Univ Viadrina Frankfurt Oder, Dept Supply Chain Management, D-15230 Frankfurt, Oder - Germany
Total Affiliations: 3
Document type: Journal article
Source: INTERNATIONAL JOURNAL OF PRODUCTION ECONOMICS; v. 146, n. 1, p. 208-218, NOV 2013.
Web of Science Citations: 23
Abstract

Joint production and distribution planning at the operational level has received a great deal of attention from researchers. In most industries these processes are decoupled by means of final goods inventory that allow for a separated planning of these tasks. However, for example, in the catering industry, an integrated planning framework tends to be more favorable due to the perishable nature of the products that forces a make-to-order production strategy. So far this planning problem has only been addressed by allowing the batching of orders. The main contribution of this paper is to extend this approach and prove the importance of lot sizing for make-to-order systems when perishability is explicitly considered. The value of considering lot sizing versus batching is further investigated per type of production scenario. Overall, results indicate that lot sizing is able to deliver better solutions than batching. On average, for the improved instances, the cost savings ascend to 6.5% when using lot sizing. The added flexibility of lot sizing allows for a reduction on production setup costs and both fixed and variable distribution costs. The savings derived from lot sizing are enhanced by customer oriented time windows and production systems with non-triangular setups. (C) 2013 Elsevier B.V. All rights reserved. (AU)

FAPESP's process: 10/10133-0 - Cutting, packing, lot-sizing and scheduling problems and their integration in industrial and logistics settings
Grantee:Reinaldo Morabito Neto
Support Opportunities: Research Projects - Thematic Grants
FAPESP's process: 10/06901-1 - Lot sizing with setup carryover and crossover
Grantee:Márcio Antônio Ferreira Belo Filho
Support Opportunities: Scholarships in Brazil - Doctorate