A two-warehouse inventory model for non-instantaneous deteriorating items with interval-valued inventory costs and stock-dependent demand under inflationary conditions

Abstract

This research work develops a two-warehouse inventory model for non-instantaneous deteriorating items with interval-valued inventory costs and stock-dependent demand under inflationary conditions. The proposed inventory model permits shortages, and the backlogging rate is variable and dependent on the waiting time for the next order, and inventory parameters are interval-valued. The main aim of this research is to obtain the retailer’s optimal replenishment policy that minimizes the present worth of total cost per unit time. The optimization problems of the inventory model have been formulated and solved using two variants of particle swarm optimization (PSO) and interval order relations. The efficiency and effectiveness of the inventory model are validated with numerical examples and a sensitivity analysis. The proposed inventory model can assist a decision maker in making important replenishment decisions.