Optimal Inspection Policy in Supplier Selection with Taguchi Loss Function

Abstract

This paper presents a new approach which is based on quality control in order to optimize supplier selection. Using inspections, removing the defected materials and considering penalties for low quality materials are the main factors which we have considered in modeling. In this model costs are divided to three parts: 1- costs of purchasing 2- costs of inspection policy 3- costs of quality and defective items. The aim of modeling is to minimizing the total cost during the planning horizon. At the end two numerical examples will be presented to explain the proposed approach

Keywords


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  • Receive Date: 04 January 2014
  • Revise Date: 20 February 2014
  • Accept Date: 27 February 2014
  • Publish Date: 21 September 2014