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Decision Making in Production / Inventory Systems with Variable Capacity ±θ ΑΎΓΆ Many complex production/inventory systems are characterized by uncertain capacities due to imperfect facilities and process. The uncertainty of supply
capacity may consist of variable supplier capacity and random yield. We extend
a model with variable supplier capacity in several directions and analyze the
effects of variable supplier capacity. First, we investigate lot-sizing problem in
an EOQ model with variable supplier capacity and random yield. Second, we
develop an EOQ model with storage or investment constraint when multi-item
considered. Third, we apply distribution free approach(DFA) method to (Q;r)
model with variable supplier capacity. Finally, the sensitivity analysis of the
optimal solution with respect to the parameters of the system is carried out per
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