Simultaneous quotations with capacity planning under contingent orders

Piya Sujan, Takahashi Katsuhiko, Morikawa Katsumi

Research output: Contribution to journalArticle

2 Citations (Scopus)

Abstract

Quotations represent the initial phase in order acceptance/rejection (OA) decisions. Orders for companies remain contingent on demand until decisions are made which is a critical source of uncertainty. This paper proposes a method that can be used to simultaneously quote the due date and the price of each incoming order when the contingent orders exist. It utilizes probabilistic theory and incorporates some theories of negotiation such as the aspiration level and limit level to generate quotations. Instead of a single quotation, it can be used to generate multiple sets of quotations at the same aspiration level of manufacturer. Numerical example is presented to demonstrate the working mechanism, effectiveness and sensitivity of the proposed method.

Original languageEnglish
Pages (from-to)99-125
Number of pages27
JournalInternational Journal of Operations and Quantitative Management
Volume21
Issue number2
Publication statusPublished - 2015

Fingerprint

Planning
Industry
Uncertainty
Aspiration Level
Capacity planning
Due dates
Acceptance

Keywords

  • Acceptance probability
  • Aspiration level
  • Contingent order
  • Quotation

ASJC Scopus subject areas

  • Business and International Management
  • Strategy and Management
  • Management Science and Operations Research
  • Information Systems and Management
  • Management of Technology and Innovation

Cite this

Simultaneous quotations with capacity planning under contingent orders. / Sujan, Piya; Katsuhiko, Takahashi; Katsumi, Morikawa.

In: International Journal of Operations and Quantitative Management, Vol. 21, No. 2, 2015, p. 99-125.

Research output: Contribution to journalArticle

@article{09ec7d67f9a34f88b10f164669d08d91,
title = "Simultaneous quotations with capacity planning under contingent orders",
abstract = "Quotations represent the initial phase in order acceptance/rejection (OA) decisions. Orders for companies remain contingent on demand until decisions are made which is a critical source of uncertainty. This paper proposes a method that can be used to simultaneously quote the due date and the price of each incoming order when the contingent orders exist. It utilizes probabilistic theory and incorporates some theories of negotiation such as the aspiration level and limit level to generate quotations. Instead of a single quotation, it can be used to generate multiple sets of quotations at the same aspiration level of manufacturer. Numerical example is presented to demonstrate the working mechanism, effectiveness and sensitivity of the proposed method.",
keywords = "Acceptance probability, Aspiration level, Contingent order, Quotation",
author = "Piya Sujan and Takahashi Katsuhiko and Morikawa Katsumi",
year = "2015",
language = "English",
volume = "21",
pages = "99--125",
journal = "International Journal of Operations and Quantitative Management",
issn = "1082-1910",
publisher = "International Forum of Management Scholars (INFOMS)",
number = "2",

}

TY - JOUR

T1 - Simultaneous quotations with capacity planning under contingent orders

AU - Sujan, Piya

AU - Katsuhiko, Takahashi

AU - Katsumi, Morikawa

PY - 2015

Y1 - 2015

N2 - Quotations represent the initial phase in order acceptance/rejection (OA) decisions. Orders for companies remain contingent on demand until decisions are made which is a critical source of uncertainty. This paper proposes a method that can be used to simultaneously quote the due date and the price of each incoming order when the contingent orders exist. It utilizes probabilistic theory and incorporates some theories of negotiation such as the aspiration level and limit level to generate quotations. Instead of a single quotation, it can be used to generate multiple sets of quotations at the same aspiration level of manufacturer. Numerical example is presented to demonstrate the working mechanism, effectiveness and sensitivity of the proposed method.

AB - Quotations represent the initial phase in order acceptance/rejection (OA) decisions. Orders for companies remain contingent on demand until decisions are made which is a critical source of uncertainty. This paper proposes a method that can be used to simultaneously quote the due date and the price of each incoming order when the contingent orders exist. It utilizes probabilistic theory and incorporates some theories of negotiation such as the aspiration level and limit level to generate quotations. Instead of a single quotation, it can be used to generate multiple sets of quotations at the same aspiration level of manufacturer. Numerical example is presented to demonstrate the working mechanism, effectiveness and sensitivity of the proposed method.

KW - Acceptance probability

KW - Aspiration level

KW - Contingent order

KW - Quotation

UR - http://www.scopus.com/inward/record.url?scp=84932612032&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=84932612032&partnerID=8YFLogxK

M3 - Article

VL - 21

SP - 99

EP - 125

JO - International Journal of Operations and Quantitative Management

JF - International Journal of Operations and Quantitative Management

SN - 1082-1910

IS - 2

ER -