A sustainable (Q, R, L) inventory model for reducing defective items with transportation discounts and trade credit financing

B. Malleeswaran () and R. Uthayakumar ()
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B. Malleeswaran: Sathyabama Institute of Science and Technology - Deemed to be University
R. Uthayakumar: The Gandhigram Rural Institute - Deemed to be University

International Journal of System Assurance Engineering and Management, 2025, vol. 16, issue 7, No 14, 2522-2538

Abstract: Abstract In this study, we assumed the integrated vendor-buyer supply chain management along with probability distributions and Transportation cost. This research aims to determine the relevant elements that affect supply chain practices, enhance the effectiveness of stock control methods, and explore the influence of vendor coordination on SC improvement. Here, the mean and standard deviation are involved in the free distribution case. Moreover, the crashing cost of lead time is expressed as an exponential function. The defective items depend on free, uniform, triangular, and Rayleigh distributions. It is an easy way to minimize the total supply chain cost. Trade credit financing and Transportation cost with over declarations are the factors to elaborate this model. Finally, we obtain the minimum total expected cost, optimal solutions of the order quantity (Q), reorder point (R), lead time (L), and we compare these solutions with graphical representations.

Keywords: Lead time crashing cost; Probability distributions; Supply chain management; Trade credit financing; Transportation cost with and without over declarations (search for similar items in EconPapers)
Date: 2025
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DOI: 10.1007/s13198-025-02817-1

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