Piecewise objective optimisation model for inventory control integrated with supplier selection considering discount

This research proposes a mathematical model in piecewise objective integer with quadratic programming to accommodate discount purchase, holding and transport costs on an integrated inventory control supplier selection problem. The proposed can be used determine the optimal decision, specifically, quantity of product ordered by decision maker stored should have minimal effect total cost. To evaluate illustrate how could solve problem, numerical experiment was performed involving four suppliers three types product. According results, helped making decisions, volume from each at period followed reference level decided maker.