Faculty Publications

Evaluation Of An Integrated Supplier‐Buyer Quality‐Control System

Document Type

Article

Journal/Book/Conference Title

Naval Research Logistics (NRL)

Volume

39

Issue

1

First Page

79

Last Page

96

Abstract

In this article, a quality‐control design framework that employs information for the supplier‐buyer system is modeled. Significant operational savings may be obtained by using the integrated plans developed under this framework. This is especially true when the cost of a defective is high, and the variable sampling and rework costs are low. Analysis of the interaction of defective, rework, and variable sampling costs reveals that the savings are the result of a shift of control effort from the process‐control to the lot‐acceptance stage, which is the consequence of tradeoffs involving both stages. The managerial impact of adopting integrated plans is discussed. Copyright © 1992 Wiley Periodicals, Inc., A Wiley Company

Department

Department of Management

Original Publication Date

1-1-1992

DOI of published version

10.1002/1520-6750(199202)39:1<79::AID-NAV3220390107>3.0.CO;2-V

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