ABSTRACT In this paper, we study a deterministic inventory model for deteriorating items under time-dependent partial backlogging. Though lot of factors involving inventory affect the demand, among them time and stock are the most important factors. Therefore, we consider here the combined stock and time varying demand to make the theory more applicable in practice. We study the effects time de...

In this paper, an attempt has been made to study deterministic inventory models for deteriorating items with variable holding cost. This model has been developed considering demand function as quadratic with respect to time and salvage value is associated to the deteriorated items. At the end numerical example with sensitivity analysis also presented.

A fuzzy inventory model is proposed to maximize the profit in a two stage supply chain model. In this paper joint total profit of both buyer and vendor are calculated. Shortage for the buyer is allowed and it is completely backlogged. Number of shipments, selling price and order quantity are taken as decision variables. Graded mean integration representation method is applied for defuzzificatio...

The unanticipated shortening of a product’s life cycle can have a dramatic effect on inventory costs. Where the cause is physical decay or an unexpected decline in demand, producers can quickly find themselves quickly holding inventory that has degraded value or no value at all. In this research, we propose that an inventory system with this characteristic can be modeled as a Markov Process wit...

We consider a retailer with limited inventories of identically priced, substitutable products. Customers arrive sequentially and the firm decides which subset of products to offer to each arriving customer depending on the customer’s preferences, the inventory levels, and the remaining time in the season. We show that the optimal assortment policy is to offer all available products if the custo...

This article studies the value of leadtime information in a single-location inventory model with a Markovian leadtime process. The optimal strategy under complete leadtime information (i.e., the leadtime state is observable) is a base-stock policy with the order-up-to level dependent on the leadtime state. The optimal base-stock level for each leadtime state can be computed in an iterative mann...

In this paper we develop and analyse an inventory model for deteriorating items with mixture of Weibull rate of decay and demand as function of both selling price and time without shortages. Using the differential equations, the instantaneous state of inventory at time„t‟, the amount of deterioration etc. are derived. With suitable cost considerations the total cost function and profit rate fun...

We propose a novel approach to optimum inventory control by modeling a commodity trader’s inventory investment as a portfolio of forward commitments taking explicit account of the dynamics of demands, costs and prices in open markets. We apply the robust real-asset martingale valuation methodology to derive a closed-form solution for the inventory value and a simple and intuitive optimality con...

This study explores the systematic variation in inventory record inaccuracy (IRI) observed both within and across stores. Traditional inventory models, with a few exceptions, do not account for the existence of IRI and those that do treat record inaccuracy as random. Examining nearly 370,000 inventory records from 37 stores of one retailer, we found 65% to be inaccurate. That is, the recorded i...

Demand correlation among two interacting items is common in real-life markets. Sometimes demand of the first item would trigger additional demand toward the second item, but not vice versa. For items with decreasing demand in time, the longer is the selling period, the less the demand and the higher the inventory cost. This paper develops the related inventory model during which two deteriorati...