Abstract
Implications of sensor technology on new product introduction requires critical decisions on divergent marketing and operational aspects. In this paper, we employed the Bass model for a new product that used the sensor technology diffusion from the perspective of the Wagner-Whitin lot-sizing model which discusses this matter related to suitability of sensor technology on the market and operational dimensions. The objective of this study is to propose an uncertain fuzzy approach to specify the new product that applied the sensor technology introduction’s optimum time, price, production scheduling, and rate simultaneously. This model will be applied to analyze the impact of sensor technology diffusion on the market acceptance and some operational parameters, for instance, total customer population, price elasticities, startup and maintenance costs, the unit’s variable cost and research and development costs on optimized benefit, and the product’s optimized lifespan. In this experiment, we have inspiration from the version of the Sale et al. (2017) model which considers uncertainty by using fuzzy triangular numbers and performing the alpha cut method. Moreover, in this research, variable cost is considered as a Cobb-Douglas function. Initially, in Research Methodology, mathematical modeling is applied, wherein utilizing simulation and the experimental design method, data were generated. Eventually, using LINGO optimization software, the problem was solved, and for further examinations considering the existence of various parameters, design of experiment (DoE) by Design-Expert 8 software and response surface methodology was adopted to analyze and optimize the problem’s parameters. The results indicated that the objective function’s climax occurs when the higher limit of alpha being 0.7 is assumed; hence, the optimum state of demand belongs to this amount of alpha.
Highlights
Sensor technology diffusion on new product decisions is considered a significant element to enhance the competitive advantages
From the information technology aspect of diffusion of innovation, two main theories are propounded considering the technology acceptance procedure: the Technology Acceptance Model presented by Davis and the Unified Theory of Acceptance and Use of Technology introduced by Venkatesh, Morris, and Davis
More complex and specialized models are introduced; for instance, [10] formulated a make-to-stock lot-sizing problem in which one class of each product is produced; one set-up is allowed, and this case is known as lot sizing with 1 set-up (LS1S)
Summary
Sensor technology diffusion on new product decisions is considered a significant element to enhance the competitive advantages. From the information technology aspect of diffusion of innovation, two main theories are propounded considering the technology acceptance procedure: the Technology Acceptance Model (henceforward, TAM) presented by Davis and the Unified Theory of Acceptance and Use of Technology introduced by Venkatesh, Morris, and Davis. The Unified Theory of Acceptance and Use of Technology (UTAUT) is illustrated by Venkatesh and utilizes the institutional environment as a means to perceive elements, for instance, facilitating conditions, function expectation, endeavor expectation and social influence. The objective of this study is to propose an uncertain fuzzy approach to specify the new product introduction’s optimum time, price, production scheduling, and rate simultaneously This model will be applied to analyze the impact of marketing and operational parameters, for instance, total customer population, price elasticities, startup and maintenance costs, the unit’s variable cost and research and development costs on optimized benefit, and the product’s optimized lifespan.
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