Optimal ordering quantities for substitutable deteriorating items under joint replenishment with cost of substitution
نویسنده
چکیده مقاله:
In this paper we develop an inventory model, to determine the optimal ordering quantities, for a set of two substitutable deteriorating items. In this inventory model the inventory level of both items depleted due to demands and deterioration and when an item is out of stock, its demands are partially fulfilled by the other item and all unsatisfied demand is lost. Each substituted item incurs a cost of substitution and the demands and deterioration is considered to be deterministic and constant. Items are order jointly in each ordering cycle, to take the advantages of joint replenishment. The problem is formulated and a solution procedure is developed to determine the optimal ordering quantities that minimize the total inventory cost. We provide an extensive numerical and sensitivity analysis to illustrate the effect of different parameter on the model. The key observation on the basis of numerical analysis, there is substantial improvement in the optimal total cost of the inventory model with substitution over without substitution.
منابع مشابه
Optimal pricing and replenishment policies for instantaneous deteriorating items with backlogging and trade credit under inflation
In this paper we develop an economic order quantity model to investigate the optimal replenishment policies for instantaneous deteriorating items under inflation and trade credit. Demand rate is a linear function of selling price and decreases negative exponentially with time over a finite planning horizon. Shortages are allowed and partially backlogged. Under these conditions, we model the ret...
متن کاملOptimal Ordering Strategy of a Replenishment Policy for Deteriorating Items Under Retailer's Partial Trade Credit Policy
This paper investigates the economic order quantity inventory model for a retailer under two levels of trade credit to reflect the supply chain management situation. It is assumed that the retailer maintains a powerful position and can obtain full trade credit offered by supplier, yet the retailer just offers the partial trade credit to customers. Under these conditions, the retailer can obtain...
متن کاملOptimal dynamic pricing and replenishment policies for deteriorating items
Article history: Received January 22 2014 Received in Revised Format June 6 2014 Accepted June 18 2014 Available online June 23 2014 Marketing strategies and proper inventory replenishment policies are often incorporated by enterprises to stimulate demand and maximize profit. The aim of this paper is to represent an integrated model for dynamic pricing and inventory control of deteriorating ite...
متن کاملOptimal pricing and replenishment policies for instantaneous deteriorating items with backlogging and trade credit under inflation
In this paper we develop an economic order quantity model to investigate the optimal replenishment policies for instantaneous deteriorating items under inflation and trade credit. Demand rate is a linear function of selling price and decreases negative exponentially with time over a finite planning horizon. Shortages are allowed and partially backlogged. Under these conditions, we model the ret...
متن کاملAn Optimal Replenishment Policy for Seasonal and Deteriorating Items
This study discusses the retailer’s optimal replenishment policy for products with a seasonal demand pattern. The demand of seasonal merchandise such as clothes, sporting goods, children’s toys and electrical home appearances tends to decrease with time. In this study, we focus on “Special Display Goods”, which are heaped up in end displays or special areas at the retail store. They are sold at...
متن کاملoptimal economic ordering policy for deteriorating items under two-level trade credit and inflation
in this paper, we develop an inventory model with delay in payments for deteriorating items. in our model, retailer who purchases the items enjoys a fixed credit period offered by his/her supplier and, in turn, also offers a credit period to his/her customers in order to promote the market competition. the demand is assumed to be linear function of the retailer's current-stock level. the effect...
متن کاملمنابع من
با ذخیره ی این منبع در منابع من، دسترسی به آن را برای استفاده های بعدی آسان تر کنید
ذخیره در منابع من قبلا به منابع من ذحیره شده{@ msg_add @}
عنوان ژورنال
دوره 13 شماره 3
صفحات -
تاریخ انتشار 2017-09-01
با دنبال کردن یک ژورنال هنگامی که شماره جدید این ژورنال منتشر می شود به شما از طریق ایمیل اطلاع داده می شود.
میزبانی شده توسط پلتفرم ابری doprax.com
copyright © 2015-2023