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ISSN 2063-5346
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REPLENISHMENT POLICY FOR DETERIORATING ITEMS WITH TIMEDEPENDENT DEMAND BACKLOGGED PARTIALLY UNDER TRADE CREDIT PERIOD AND PRESERVATION TECHNOLOGY FOR QUEUED CUSTOMERS : COMPUTATIONAL APPROACH

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Dr.D.Chitra1 , R.Sandhya2
» doi: 10.48047/ecb/2023.12.9.250

Abstract

This paper aims to frame an inventory model with Time-dependent demand, instantaneous deterioration rate with preservation technology, partially backlogged shortages, trade credit and queued customers. In this proposed model, the instantaneous deteriorating items for queued customers is developed under the assumption of partial backlogging and backlogging rate varies as the waiting time for the next replenishment. Demand follows time-dependent demand pattern. When the shortage occurs, some customers are willing to wait for back order and others would turn to buy from other sellers and in some situations customers or vendors are assumed to receive the demand in bulk of inventory are put in queue at a service facility. This model focused on three things. The first one is to reduce the deterioration rate by preservation technology, the second one is to trade-off the cost of providing a level of service capacity and the customers waiting for service and the third is using an appropriate trade credit period to minimize the total cost. The classical optimization technique is used to solve the problem. This study provides a reference for a manufacturer and a retailer on making inventory decisions under preservation technology and credit strategies. The main objective of this model is to minimize the total cost function with respect to optimal replenishment policy. Finally numerical examples are provided to illustrate the problem and sensitivity analysis has been carried out to depict the significance of the total cost and the cycle period

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