The Integration of Production-Distribution on Newspapers Supply Chain for Cost Minimization using Analytic Models: Case Study

Newspapers are products with special characteristics which are perishable, have a shorter range of time between the production and distribution, zero inventory, and decreasing sales value along with increasing in time. Generally, the problem of production and distribution in the paper supply chain is the integration of production planning and distribution to minimize the total cost. The approach used in this article to solve the problem is using an analytical model. In this article, several parameters and constraints have been considered in the calculation of the total cost of the integration of production and distribution of newspapers during the determined time horizon. This model can be used by production and marketing managers as decision support in determining the optimal quantity of production and distribution in order to obtain minimum cost so that company's competitiveness level can be increased.