Sustainable Preservation Strategies with Deterioration Management and Environment Sensitive Demand

Priyamvada ,Chandra K Jaggi,Shikha Yadav,Aditi Khanna

doi:10.33889/ijmems.2021.6.4.064

Abstract

Sustainable operations are concerned with the eco-friendly system to postulate intergenerational equity on social, economical, and environmental responsibility. This paper addresses the deterioration with a preservation strategy without compromising the environmental performance of the product. Also, the loss due to deterioration is managed completely with the idea of salvage trade. Furthermore, the upcoming demand is assumed to be “price and environment-sensitive”. This model maximizes the seller’s total profit by optimizing the unit selling price and minimizing the investment to maintain the environmental performance of the product and preservation technology at the same time. A numerical example and related graphs are illustrated to validate the model.

Highlights

Deterioration is a phenomenon which leads to monetary loss for the industry, but it is a very natural process which cannot be avoidable. It can be controlled with preservation technology investment which comes out to be an additional cost
1.1 Research Gap and Contribution The present study bridges the gap toward the existing literature by providing an inventory scenario for the deteriorating items and the deterioration rate is controlled with an investment in preservation techniques
The present study addresses the following research queries: (i) What is the ideal preservation technology investment for the deteriorating products to intact the environmental performance?

Summary

Introduction

Deterioration is a phenomenon which leads to monetary loss for the industry, but it is a very natural process which cannot be avoidable It can be controlled with preservation technology investment which comes out to be an additional cost. Mishra (2015) introduced an EOQ model with preservation technology under the assumption of variable demand. Deteriorating items and preservation concepts with stock-dependent demand. It is a well-known fact that the price of the item has an immense influence on demand. Panda et al (2017) introduced a volume-flexible inventory policy for deteriorating products with price reliant demand. Guiffrida et al (2011) proposed an inventory model for the supply chain with an environmental performance measure. Gilotra et al (2020) studied an environmentally responsible inventory model

Research Gap and Contribution

Numerical Example The parametric values are given as follows

Findings

Conclusions