Controllable deterioration rate for time-dependent demand and time-varying holding cost
DOI:
https://doi.org/10.2298/YJOR120823018MKeywords:
inventory, non-instantaneous deteriorating items, controllable deterioration rate, preservation technology, time dependent holding costAbstract
In this paper, we develop an inventory model for non-instantaneous deteriorating items under the consideration of the facts: deterioration rate can be controlled by using the preservation technology (PT) during deteriorating period, and holding cost and demand rate both are linear function of time, which was treated as constant in most of the deteriorating inventory models. So in this paper, we developed a deterministic inventory model for non-instantaneous deteriorating items in which both demand rate and holding cost are a linear function of time, deterioration rate is constant, backlogging rate is variable and depend on the length of the next replenishment, shortages are allowed and partially backlogged. The model is solved analytically by minimizing the total cost of the inventory system. The model can be applied to optimizing the total inventory cost of non-instantaneous deteriorating items inventory for the business enterprises, where the preservation technology is used to control the deterioration rate, and demand & holding cost both are a linear function of time.References
Alamri, A.A., Balkhi, Z.T., “The effects of learning and forgetting on the optimal production lot size for deteriorating items with time varying demand and deterioration rates”, International Journal of Production Economics, 107 (2007) 125-138.
Chang, C.T., Teng, J.T., & Goyal, S.K., “Optimal Replenishment policies for non-instantaneous deteriorating items”, International Journal of Production Economics, 123(1) (2010) 62-68.
Dave, U., and Patel, L.K., “(T, Si) - policy inventory model for deteriorating items with time proportional demand”, Journal of Operational Research Society, 32 (1981) 137-142.
Donaldson, W.A., “Inventory replenishment policy for a linear trend in demand—an analytical solution”, Operational Research Quarterly, 28 (3) (1977) 663–670.
Dye, C.Y., & Hsieh, T.P., “An optimal replenishment policy for deteriorating items with effective investment in preservation technology”, European Journal of Operational Research, 218(1) (2012) 106–112.
Dye, C.-Y. & Ouyang, L.-Y., “A particle swarm optimization for solving joint pricing and lot sizing problem with fluctuating demand and trade credit financing”, Computers & Industrial Engineering, 60(1) (2011) 127–137.
Hsu, P.H., Wee, H.M., and Teng, H.M., “Preservation technology investment for deteriorating inventory”, International Journal of Production Economics, 124(2) (2010) 388–394.
Hung, K.-C., “An inventory model with generalized type demand, deterioration and backorder rates”, European Journal of Operational Research, 208(3) (2011) 239-242.
Lee, C.C., & Hsu, S.-L., “A two-warehouse production model for deteriorating inventory items with time-dependent demands”, European Journal of Operational Research, 194 (3) (2009) 700–710.
Lee, Y.-P., & Dye, C.-Y., “An inventory model for deteriorating items under stock-dependent demand and controllable deterioration rate”, Computers & Industrial Engineering, 63(2) (2012) 474–482.
Maihami, R., and Kamalabadi, I.N., “Joint pricing and inventory control for non-instantaneous deteriorating items with partial backlogging and time and price dependent demand”, International Journal of Production Economics, 136(1) (2012) 116–122.
Mishra, V.K., and Singh, L.S., “Deteriorating inventory model for time dependent demand and holding cost with partial backlogging”, International Journal of Management Science and Engineering Management, 6(4) (2011) 267-271.
Mishra, V.K., Singh, L.S., & Kumar, R., “An inventory model for deteriorating items with time-dependent demand and time-varying holding cost under partial backlogging”, Journal of Industrial Engineering International 9:4 (2013).
Ouyang, L.Y., Wu, K.S., & Yang, C.T., “A study on an inventory model for non-instantaneous deteriorating items with permissible delay in payments”, Computers & Industrial Engineering, 51(4) (2006) 637–651.
Roy, Ajanta, “An inventory model for deteriorating items with price dependent demand and time varying holding cost”, Advanced Modeling and Optimization, 10 (2008) 25-37.
Sarkar, B., “An EOQ model with delay-in-payments and time-varying deterioration rate”, Mathematical and Computer Modelling, 55 (2012) 367–377.
Shah, N.H., Soni, H.N., & Patel, K.A., “Optimizing inventory and marketing policy for non-instantaneous deteriorating items with generalized type deterioration and holding cost rates”, Omega, 41(2) (2013) 421–430.
Wee, H.-M., & Wang, W.-T., “A variable production scheduling policy for deteriorating items with time-varying demand”, Computers & Operations Research, 26 (3) (1999) 237–254.
Wu, K.S., Ouyang, L.Y., & Yang, C.T., “An optimal replenishment policy for non-instantaneous deteriorating items with stock-dependent demand and partial backlogging”, International Journal of Production Economics, 101(2) (2006) 369–384.
Zhou, Y.-W., Lau, H.-S. & Yang, S.-L., “A new variable production scheduling strategy for deteriorating items with time-varying demand and partial lost sale”, Computers & Operations Research, 30 (12) (2003) 1753–1776.
Downloads
Published
Issue
Section
License
Copyright (c) 2014 YUJOR
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
