Inventory model with different demand rate and different holding cost

R. P. Tripathi

27 citations0/0 files storedInternational Journal of Industrial Engineering Computations

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Supply Chain and Inventory Management Sustainable Supply Chain Management Optimization and Mathematical Programming

Abstract

This paper deals with the development of an inventory model for time varying demand and constant demand; and time dependent holding cost and constant holding cost for case 1 and case 2 respectively.Previous models incorporating that the holding cost is constant for the entire inventory cycle.Mathematical model has been developed for determining the optimal order quantity, the optimal cycle time and optimal total inventory cost for both cases.Differential calculus is used for finding optimal solution.Numerical examples are given for both cases to validate the proposed model.Sensitivity analysis is carried out to analyze the effect of changes in the optimal solution with respect to change in various parameters.

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References

1985Economic Order Quantity under Conditions of Permissible Delay in Payments 1995Ordering Policies of Deteriorating Items under Permissible Delay in Payments 2000An inventory model with deteriorating items under inflation when a delay in payment is permissible 2011An EOQ model with delay in payments and time varying deterioration rate 2004Optimal pricing and ordering policy under permissible delay in payments 2010An economic order quantity (EOQ) for items with imperfect quality and inspection errors 1993A deterministic inventory model for deteriorating items with stock-dependent demand rate 2011Economic order quantity model with trade credit financing for non-decreasing demand

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