Generalized Newsboy Model for MRP Parameterization under Uncertainties
Abstract
This study deals with MRP parametrization under uncertainties. The actual lead time has random deviations, so it can be considered as a random variable. MRP approach with Periodic Order Quantity (POQ) policy is considered. The aim is to find the optimal MRP time phasing. The proposed model and algorithms minimize the sum of the setup cost, backlogging cost and average holding costs.