Optimum production run length and warranty period setting for the imperfect production system

Abstract

Traditional economic manufacturing quantity (EMQ) model addressed that the perfect production for product. However, there possibly exists the defective product in the manufacturing process. Hence, it is necessary to consider the production process state in the modified EMQ model. Chen and Chung presented the quality selection problem to the imperfect production system for obtaining the optimum production run length and target level. Ladany and Shore proposed the problem of determining optimal warranty period of product in relation to the manufacturer’s lower specification limit. In this paper, we further integrate Chen and Chung’s and Ladany and Shore’s models in modified EMQ model for obtaining the optimum production run length and warranty period of product for the imperfect production system.