A Two-Echelon Inventory Model for Ameliorating/Deteriorating Items with Single Vendor and Multi-buyers

Abstract

This research work introduces an inventory model for ameliorating items as livestock (say fishes, chickens, ducklings), where the demand rate and deterioration rate are assumed as constant. Delivery times for buyers are introduced in the proposed model. The accumulated inventory contains amelioration rate of livestock with deterioration rate due to death of ameliorating items. The proposed model reduces the integrated total cost of inventory. In addition, the demand and deterioration rates are constant, and the amelioration rate is assumed to adhere to the Weibull distribution. The inventory model is discussed for single manufacturer, who produces the ameliorating items and sells the finished goods to the multiple buyers. The connections between framework parameters and solution procedure illustrate the optimal solutions. Numerical examples are provided to illustrate the theoretical results. Finally, the sensitivity analysis of the framework parameters is discussed.