A Reliable Inventory Model for Deteriorating Items with Multivariate Demand under Time-Dependent Deterioration

Abstract

For business proposes, it is very important to have an up-to-date system that can analyse customer’s demand as well as their trend. For analysing above, we have to develop a proper inventory control model, a better approach for the smooth running of business to satisfy the demand of the customers. Various reliable models are already developed to maximise the total inventory costs, but it is found from the previous study that people think that a successful business can only be established by working on to improve the profit, but it is also very important to maximise the profit such that we have to work on the shortages as it is another key to improve the profit. Here, we have made an attempt to investigate the inventory model to minimise the shortage and maximise the total inventory cost. In most of the inventory models, the demand pattern for the entire inventory cycle is assumed to be uniform, but when we are talking about some low life product, the uniform pattern of demand is not appropriate. Also, the uniform rate of demand can increase the shortages at any time. In the present study, an inventory control model in which we have taken different demand rates for the different stages of the model and developed an inventory model for deteriorating items. The model is developed under time-dependent deterioration, and shortages are not allowed. A numerical example is also given to illustrate the model and its significant features.