An EOQ model for imperfect quality items with partial backordering under screening errors

Abstract

In practice, when a lot size received, an inspection process is necessary to identify the defective items. In addition, the inspection process itself is not error-free and it may contain misclassification errors. In this paper, an economic order quantity model for imperfect quality items with partial backordering under screening errors is studied. The objective is to maximize the expected annual profit by optimizing the order size and the maximum number of backorder units. Also, the aim of this paper is to develop a general and practical model that is more realistic in the competitive commercial situations. For authenticity of the developed model, a case study and a numerical example are illustrated, and the sensitivity analysis is also carried out.