scholarly journals Considering Product Life Cycle Cost Purchasing Strategy for Solving Vendor Selection Problems

2019 ◽  
Vol 11 (13) ◽  
pp. 3739
Author(s):  
Chien-Wen Shen ◽  
Yen-Ting Peng ◽  
Chang-Shu Tu
Keyword(s):  
Life Cycle ◽  
Life Cycle Cost ◽  
Product Life Cycle ◽  
Economies Of Scale ◽  
Rejection Rate ◽  
Life Cycles ◽  
High Tech ◽  
Vendor Selection ◽  
Product Life ◽  
Strategic Relationships

The framework of product life cycle (PLC) cost analysis is one of the most important evaluation tools for a contemporary high-tech company in an increasingly competitive market environment. The PLC-purchasing strategy provides the framework for a procurement plan and examines the sourcing strategy of a firm. The marketing literature emphasizes that ongoing technological change and shortened life cycles are important elements in commercial organizations. From a strategic viewpoint, the vendor has an important position between supplier, buyer and manufacturer. The buyer seeks to procure the products from a set of vendors to take advantage of economies of scale and to exploit opportunities for strategic relationships. However, previous studies have seldom considered vendor selection (VS) based on PLC cost (VSPLCC) analysis. The purpose of this paper is to solve the VSPLCC problems considering the situation of a single buyer–multiple supplier. For this issue, a new VSPLCC procurement model and solution procedure are derived in this paper to minimize net cost, rejection rate, late delivery and PLC cost subject to vendor capacities and budget constraints. Moreover, a real case in Taiwan is provided to show how to solve the VSPLCC procurement problem.

scholarly journals Using a Product Life Cycle Cost Model to Solve Supplier Selection Problems in the High-Technology Company

2021 ◽  
Author(s):  
Tao Yu Jwo ◽  
Lin Yi Shyuan ◽  
Lee Hsuan Shih ◽  
Tu Chang Shu
Keyword(s):  
Life Cycle ◽  
Goal Programming ◽  
Life Cycle Cost ◽  
Supplier Selection ◽  
Product Life Cycle ◽  
Light Emitting Diode ◽  
Cost Model ◽  
High Technology ◽  
High Tech ◽  
Product Life

Using the PLCC advantages generates revenue and lowers costs more than might be anticipated. It ensures better decisions by using a more perfect and practical assessment of revenues and costs. Although the supplier selection (SC) product life cycle cost (SCPLCC) is an important consideration among corporations, SCPLCC problem has become associated with deciding how one supplier should be selected from possible alternatives. In this study, we applied two types of goal programming, multiobjective linear programming and revised multichoice goal programming to develop a PLCC-based concept to solve the SCPLCC problem and construct a decision-making tool for application to a case of supply chain management in a Taiwanese light-emitting diode company in the high-tech industry. Our study main contribution Company managers can easily use the two approaches of the SCPLCC model with different parameters to solve SCPLCC model problems. Finally, we comparing five models found RMCGP with weighted linear goal programming had an adequate effect for application to the PLCC concept for high-technology company; this cloud make company decision–makers focus on low PLCC and select better supplier.

scholarly journals A Product Life Cycle Cost Concept Model to Solve Supplier Selection Problems in the Supply Chain Management

2021 ◽  
Author(s):  
Tao Yu- Jwo ◽  
Lin Yi- Shyuan ◽  
Lee Hsuan- Shih ◽  
Tu Chang- Shu
Keyword(s):  
Supply Chain ◽  
Life Cycle ◽  
Supply Chain Management ◽  
Goal Programming ◽  
Life Cycle Cost ◽  
Supplier Selection ◽  
Product Life Cycle ◽  
High Tech ◽  
Chain Management ◽  
Product Life

Today’s purchasing companies demand an advanced buyer equal of enactment from their supplier while the two parties maintain a respectful connection. Although the supplier selection (SC) product life cycle cost (SCPLCC) is an important consideration among corporations, SCPLCC problem has become associated with deciding how one supplier should be selected from possible alternatives. In this study, we applied two types of goal programming, multiobjective linear programming and revised multichoice goal programming to develop a PLCC-based concept to solve the SCPLCC problem and construct a decision-making tool for application to a case of supply chain management in a Taiwanese light-emitting diode company in the high-tech industry. Our study main contribution Company managers can easily use the two approaches of the SCPLCC model with different parameters to solve SCPLCC model problems. Finally, we comparing five models found RMCGP with weighted linear goal programming had an adequate effect for application to the PLCC concept for high-technology comapny; this cloud make company decision–makers focus on low PLCC and select better supplier.

scholarly journals Using a Product Life Cycle Cost Model to Solve Supplier Selection Problems in Sustainable Supply Chain

2021 ◽  
Author(s):  
Tao Yu Jwo ◽  
Lin Yi Shyuan ◽  
Lee Hsuan Shih ◽  
Tu Chang Shu
Keyword(s):  
Supply Chain ◽  
Life Cycle ◽  
Goal Programming ◽  
Life Cycle Cost ◽  
Supplier Selection ◽  
Product Life Cycle ◽  
Cost Model ◽  
High Tech ◽  
Sustainable Supply Chain ◽  
Product Life

Supplier selection (SC) continues to be a crucial component in manufacturing procurement. Using the PLCC advantages generates revenue and lowers costs more than might be anticipated. Supplier selection (SC) product life cycle cost (SCPLCC) is an important consideration among corporations, SCPLCC problem has become associated with deciding how one supplier should be selected from possible alternatives. Past literature on this topic is limited. We try to close this gap in knowledge. In this study, we attempt to apply two types of goal programming, multiobjective linear programming and revised multichoice goal programming to develop a PLCC-based concept to solve the SCPLCC problem and construct a decision-making tool for application to a case of supply chain management in a Taiwanese light-emitting diode company in the high-tech industry. Our study main contribution Company managers can easily use the two approaches of the SCPLCC model with different parameters to solve SCPLCC model problems. Finally, we are comparing five models found RMCGP with weighted linear goal programming had an adequate effect for application to the PLCC concept for high-technology Company; this cloud makes company decision–makers focus on low PLCC and select a better supplier in sustainable supply chains development.

scholarly journals Using a Social Product Life Cycle Cost Model to Solve Supplier Selection in Sustainability Supply Chain

2021 ◽  
Author(s):  
Tao Yu Jwo ◽  
Lin Yi Shyuan ◽  
Lee Hsuan Shih ◽  
Tu Chang Shu
Keyword(s):  
Supply Chain ◽  
Life Cycle ◽  
Goal Programming ◽  
Life Cycle Cost ◽  
Supplier Selection ◽  
Product Life Cycle ◽  
Light Emitting Diode ◽  
Cost Model ◽  
High Tech ◽  
Product Life

Supplier selection (SC) product life cycle cost (SCPLCC) is an important consideration among corporations, SCPLCC problem has become associated with deciding how one supplier should be selected from possible alternatives. In this study, we applied two types of goal programming, multiobjective linear programming and revised multichoice goal programming to develop a PLCC-based concept to solve the SCPLCC problem and construct a decision-making tool for application to a case of supply chain management in a Taiwanese light-emitting diode company in the high-tech industry. Our study main contribution Company managers can easily use the two approaches of the SCPLCC model with different parameters to solve SCPLCC model problems. Finally, we comparing five models found RMCGP with weighted linear goal programming had an adequate effect for application to the PLCC concept for high-technology company; this cloud makes company decision–makers focus on low PLCC and select a better supplier in sustainable supply chains goal.

Study on life-cycle design for the post mass production paradigm

2000 ◽  
Vol 14 (2) ◽  
pp. 149-161 ◽  
Author(s):  
YASUSHI UMEDA ◽  
AKIRA NONOMURA ◽  
TETSUO TOMIYAMA
Keyword(s):  
Life Cycle ◽  
Mass Production ◽  
Product Life Cycle ◽  
Knowledge Bases ◽  
Life Cycles ◽  
Simulation System ◽  
Product Life ◽  
Cycle Simulation ◽  
Life Cycle Design ◽  
Modular Structures

Environmental issues require a new manufacturing paradigm because the current mass production and mass consumption paradigm inevitably cause them. We have already proposed a new manufacturing paradigm called the “Post Mass Production Paradigm (PMPP)” that advocates sustainable production by decoupling economic growth from material and energy consumption. To realize PMPP, appropriate planning of a product life cycle (design of life cycle) is indispensable in addition to the traditional environmental conscious design methodologies. For supporting the design of a life cycle, this paper proposes a life-cycle simulation system that consists of a life-cycle simulator, an optimizer, a model editor, and knowledge bases. The simulation system evaluates product life cycles from an integrated view of environmental consciousness and economic profitability and optimizes the life cycles. A case study with the simulation system illustrates that the environmental impacts can be reduced drastically without decreasing corporate profits by appropriately combining maintenance, reuse and recycling, and by taking into consideration that optimized modular structures differ according to life-cycle options.

Review of Life Cycle Theories

2008 ◽  
pp. 30-54
Author(s):  
Toru Higuchi ◽  
Marvin Troutt
Keyword(s):  
Life Cycle ◽  
Facility Location ◽  
Product Life Cycle ◽  
New Product ◽  
Life Cycles ◽  
Product Cycle ◽  
Product Life ◽  
Manufacturing Facility ◽  
Manufacturing Facilities ◽  
Industrial Life Cycle

In this chapter, we discuss the life cycle theories related to the business. The concept of the life cycle has been widely used in marketing. The Product Life Cycle (PLC) is the most well-known one, in which the time is divided into four stages based on the change of sales. It is expanded by combining it with the study of the various consumer types. Other life cycles have been developed from the viewpoint of the innovation and manufacturing facility location. The advancement of technology is the driver for the diffusion of a new product. Sometimes it obsoletes a category of products. The location of manufacturing facilities changes according to the market and technology condition as Product Cycle Theory demonstrates. A concept of the industrial life cycle and a linkage between the life cycle and SCM also are argued in this chapter.

Applying Life Cycle Six Sigma in Tolerance Design Methodology

2012 ◽  
Vol 443-444 ◽  
pp. 881-887
Author(s):  
Jian Jun Wu ◽  
Yi Zhen Wang
Keyword(s):  
Life Cycle ◽  
Six Sigma ◽  
Life Cycle Cost ◽  
Product Life Cycle ◽  
Quality Characteristic ◽  
Quality Level ◽  
Manufacturing Cost ◽  
Tolerance Design ◽  
Product Life ◽  
Sigma Level

Setting of tolerances to meet a required specification of quality characteristic and keep low manufacturing cost is one of common problems in the process quality control. But generally traditional tolerance design only focus on cost of manufacturing, few consider product Life Cycle Cost. In these situations, to obtain a satisfactory six sigma quality level as well as keep lower life cycle total cost should be considered. This paper expands tolerance optimization based on the manufacturing cost to the product life cycle cost, which can improve product quality to the six sigma level and keep lower LCC simultaneously.

Assessing Product Architecture Costing: Product Life Cycles, Allocation Rules, and Cost Models

2004 ◽  
Author(s):  
Sebastian K. Fixson
Keyword(s):  
Life Cycle ◽  
Product Life Cycle ◽  
Life Cycles ◽  
Product Architecture ◽  
Future Research ◽  
Design Decision ◽  
Cost Models ◽  
Product Life ◽  
Allocation Rules ◽  
The Cost

Product families and product platforms have been suggested as design strategies to serve heterogeneous markets via mass customization. Numerous, individual cost advantages of these strategies have been identified for various life cycle processes such as product design, manufacturing, or inventory. However, these advantages do not always occur simultaneously, and sometimes even counteract each other. To develop a better understanding of these phenomena, this paper investigates the cost implications of the underlying design decision: the product architecture choice. The investigation includes factors such as product life cycle phases, allocation rules, and cost models, all of which impact the cost analysis results. Based on this investigation, directions for future research on product architecture costing are provided.

Life Cycle Cost Modeling of Pumps Using an Activity Based Costing Methodology

2010 ◽  
Author(s):  
Laxman Yadu Waghmode ◽  
Anil Dattatraya Sahasrabudhe
Keyword(s):  
Life Cycle ◽  
Life Cycle Cost ◽  
Product Life Cycle ◽  
Business Environment ◽  
Life Cycle Costing ◽  
Activity Based Costing ◽  
Global Business ◽  
Product Life ◽  
Traditional Costing ◽  
The Cost

In order to survive in today’s competitive global business environment, implementation of life cycle costing methodology with a greater emphasis on cost control could be one of the convincing approaches for the manufacturing firms. The product life cycle costing approach can help track and analyse the cost implications associated with each phase of product life cycle. Life cycle costing (LCC) practices with traditional costing methods may provide results that have a severe deviation from the real product LCC as it focuses on the cost of materials, labor and a low portion of overheads apportioned by the absorption rate to the product. Activity based costing (ABC) has emerged as one of the several innovative and more accurate costing methods in recent years. It is based on the principle that products or services consume activities and activities consume resources that generate costs. Thus, the ABC system focuses on calculating the costs incurred on performing the activities to manufacture a product. This paper presents a LCC modeling approach for estimating life cycle cost of pumps using activity based costing method. The study was conducted in a large pump manufacturing company from India that has significant global standing within its industry. Firstly, all the activities and cost drivers associated with the life cycle of a pump have been identified. A methodology for LCC analysis using ABC is then developed and it is applied to two different pumps manufactured by the same industry and the results obtained are presented.

Sign in / Sign up

Export Citation Format

Share Document