An integrated vendor–buyer replenishment policy for deteriorating items with fuzzy environment and resource constraint

Abstract

Different from previous researches, our study considers a perishable item with collaborative vendor–buyer ordering policy and finite replenishment rate. Furthermore, due to the importance of inventory and capital investment in today’s fuzzy marketing environments, researches in fuzzy collaborative inventory models have become very popular research in recent decades. Therefore, in our integrated model with deteriorating inventory replenishment policy, we construct the crisp/fuzzy models with inventory investment constraints with fuzzy environments. Two different fuzzy decision-making methods are used to formulate the models. Convex fuzzy programming (CFP) method is used to maximize the weighted sum for each achievement level of the joint cost and constraints. An inverse weighted fuzzy non-linear programming (IWFNLP) is then proposed to satisfy the decision-maker’s desirable achievement level of service. A heuristic algorithm with mixed-integer hybrid differential evolution (MIHDE) is developed to solve the crisp/fuzzy models. Numerical examples and sensitivity analysis are developed to investigate the effectiveness of the proposed method in the fuzzy environment. From the numerical analysis, it can be seen that the IWFNLP method is a more efficient decision-making tool than the CFP method.