• DocumentCode
    389444
  • Title

    A "make or buy" decision model with economies of scale

  • Author

    Bouchriha, Hanen ; Amours, Sophie D. ; Ladet, Pierre

  • Author_Institution
    Lab. d´´Automatique de Grenoble, ENS de Phys. de Grenoble, Saint Martin d´´Heres, France
  • Volume
    6
  • fYear
    2002
  • fDate
    6-9 Oct. 2002
  • Abstract
    In this article, we present, using an example of a logistic chain, a mathematical model for "make or buy" decision. In the first part of this paper, we propose a multi-objective mixed linear problem, considering linear costs. This model is solved through goal programming. In the second part of this paper, we extend the model by dealing with economies of scale and we propose an algorithm based on dichotomy analysis for the resolution of this extension.
  • Keywords
    decision theory; linear programming; dichotomy analysis; goal programming; logistic chain; mathematical model; multi-objective mixed linear problem; Algorithm design and analysis; Bills of materials; Companies; Costs; Design optimization; Economies of scale; Globalization; Hidden Markov models; Logistics; Supply chains;
  • fLanguage
    English
  • Publisher
    ieee
  • Conference_Titel
    Systems, Man and Cybernetics, 2002 IEEE International Conference on
  • ISSN
    1062-922X
  • Print_ISBN
    0-7803-7437-1
  • Type

    conf

  • DOI
    10.1109/ICSMC.2002.1175639
  • Filename
    1175639