A Study On Effect Of Inspection On Deteriorating Inventory Model
Loading...
Date
2022
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Department of Mathematics, NITS
Abstract
Inventory management is the mainstream of Operational Research which plays a crucial role in business enterprises and industries. One of the important factors in inventory management is the deterioration of goods. In many inventory deterioration problems, the deterioration rate of goods highly depends on adjacent goods. Accordingly, there is a need to decrease the effect of deteriorated goods on other goods by removing them with the help of inspection. Therefore, the objective of this paper is to develop an inventory model for deteriorating goods, considering the effect of a number of inspections during the replenishment period on the average deterioration rate. Holding cost and demand rate both are a linear function of time which was assumed as constant in most of the deteriorating inventory model and deterioration rate of a single item is constant. Also, prepayments should be made by the retailer to the supplier. In this proposed model, the average deterioration rate depends on the number of inspections in each period. Likewise, to prove the uniqueness of the solution, the convexity of the model is proved. The model can be applied for the optimization of the total inventory cost for such business enterprises where they use the inspection method to control the deterioration rate.