Warehouse Inventory Model Research Articles

Three warehouse inventory model for non-instantaneous deteriorating items with quadratic demand, time-varying holding costs and backlogging over finite time horizon

This paper presents a novel sustainable inventory model tailored for non-instantaneous deteriorating items, incorporating quadratic demand and time-dependent holding costs. Notably, the model accounts for shortages over a finite time horizon, simulating real-world scenarios. The inventory management the strategy involves distributing products across three warehouses: the Own Warehouse (OW) and two Rental Warehouses (RW), with applications spanning supermarkets, bakeries, malls, and floral businesses. The primary objective is minimizing total costs to enhance consumer satisfaction and bolster profits. The theoretical framework is substantiated through numerical examples, focusing on the critical finding regarding optimal total cost. A special methodology is employed to balance inventory dynamics amidst various warehouses, optimizing resource allocation and mitigating shortages. Furthermore, a comprehensive sensitivity analysis using MATLAB Software unveils the repercussions of parameter modifications, providing valuable insights for decision-makers in diverse industrial settings.

EPOIM: an advanced optimization method for two warehouse inventory model

EPOIM: an advanced optimization method for two warehouse inventory model

Warehouse Inventory Model for Perishable Items with Hybrid Demand and Trade Credit Policy

Warehouse Inventory Model for Perishable Items with Hybrid Demand and Trade Credit Policy

A comprehensive analysis of linear and non-linear deterioration rates in dual-warehouse inventory systems

This study presents an inventory system where items have an initial linear deterioration rate that transitions to a non-linear pattern, addressing a critical aspect of contemporary supply chain management. Our research introduces a dual warehouse inventory model comprising a rented facility and utilizing an owned warehouse. This unique approach is geared towards products experiencing a shift in deterioration rates, starting linearly and progressing non-linearly. The model operates under a constant demand rate, allowing for partial backlogging during shortages. Key to our analysis are distinct holding costs assigned to each warehouse, reflecting real-world scenarios. We derive conditions that minimize the total cost, supporting these with numerical examples spanning various parameter settings. A comprehensive sensitivity analysis evaluates the influence of each parameter’s alteration, keeping others constant. This analysis illuminates the model’s robustness and adaptability to different operational contexts. The findings offer significant managerial implications, providing valuable insights for effectively managing inventory in scenarios where product deterioration rates change over time. Our approach distinguishes itself by integrating linear and non-linear deterioration patterns within a dual warehouse system, a novel contribution to inventory management literature. The practical relevance of our model is underlined by its applicability in diverse supply chain environments, making it an essential tool for contemporary inventory management strategies.

Rework Warehouse Inventory Model for Product Distribution with Quality Conservation in Neutrosophic Environment

In general, companies are investing a lot of energy and time in conserving the quality of the products. The customers use the attribute of quality as the measuring index of the efficiency of these companies. Quality sustenance is not a phase, but it is a process which must be carried out till the product reaches the end consumer. This is possible by expanding the mechanisms of quality conservation to the spheres of product distribution in addition to product production. In view of it, this research work develops an inventory model with the idea of rework warehouse for the first time. The model formulated in this paper is discussed in a crisp sense and later extended to neutrosophic environments with the intention of making it more accommodative to various business constraints. The numerical example presented in this paper substantiates the proposed model with the application of Particle Swarm optimization. Sensitivity analysis is made with modifications with the changes of crisp and neutrosophic parameters. The model introduced in this work supports decision makers in deriving optimal solutions to the inventory problem associated with quality constraints and this work shall also be extended with the inclusion of other cost parameters, assumptions and constraints associated with product distribution.

Two warehouse inventory model for deteriorating items with fixed shelf-life stock-dependent demand and partial backlogging

In inventory management self life expiration date has a unique role. In the practice there are many goods and services such as food, medication remain safe and suitable for human consumption until it exist their shelf life. In this paper, we implemented a fixed shelf life of a deterministic inventory model for decaying items in two warehouses system with partial backlogging. The demand rate is considered stock dependent means that demand inclined by display of the stock level. In two warehouse system we are considering one own warehouse and second warehouse is on rented basis. The preservation facility is good in rented warehouse than own warehouse. Due to various preserve conditions, deterioration rate in two warehouses may be differs. In addition, backlogging rate is time dependent which is inversely proportional to the waiting time for the next cycle. The model is also justified by the numerical examples under two cases and also sensitivity analysis is carried out with various parameters by using MATLAB R16b.

Two Warehouse Inventory Model for Deteriorating Items with Ramp Type Demand and Price Discount on Backorders

In this paper, a two warehouse inventory model for deteriorating items is studied with ramp type demand rate. Holding cost of rented warehouse has higher than the owned warehouse due to better preservation facilities in rented warehouse. Due to the improved services offer in rented warehouse, the deterioration rate in rented warehouse is less than deterioration rate in owned warehouse. When stock on hand is zero, the inventory manager offers a price discount to customers who are willing to backorder their demand. The study includes some features that are likely to be associated with certain types of inventory, like inventory of seasonal fruits and vegetables, newly launched fashion items, etc. The optimum ordering policy and the optimum discount offered for each backorder are determined by minimizing the total cost in a replenishment interval.

Multi-item two warehouse inventory model for deteriorating item under partial credit period via contractive mapping genetic algorithm and PSO

Multi-item two warehouse inventory model for deteriorating item under partial credit period via contractive mapping genetic algorithm and PSO

A Two Warehouse Inventory Model for Perishable Items with Ramp Type Demand and Partial Backlogging

A Two Warehouse Inventory Model for Perishable Items with Ramp Type Demand and Partial Backlogging

Two warehouse inventory model for deteriorating items with stock dependent demand under permissible delay in payment

In this paper, a two warehouse inventory model for deteriorating items is studied with stock dependent demand rate. Holding cost of rented warehouse has higher than the owned warehouse due to better preservation facilities in rented warehouse. Due to the improved services offer in rented warehouse, the deterioration rate in rented warehouse is less than deterioration rate in owned warehouse. To reduce inventory cost, items of rented warehouse are consumed first and then the items of owned warehouse are consumed because it will be profitable for the organization. Permissible delay in payments allowed to the inventory manager is also taken into account. The study includes some features that are likely to be associated with certain types of inventory, like inventory of seasonal fruits and vegetables, newly launched fashion items, etc. The optimum replenishment policies are determined by minimizing the total cost in a replenishment interval. Sensitivity analysis has also been performed by changing (increasing or decreasing) one parameter at a time keeping the remaining parameters unchanged.

Two warehouse inventory model for deteriorating items with stock dependent demand under permissible delay in payment

In this paper, a two warehouse inventory model for deteriorating items is studied with stock dependent demand rate. Holding cost of rented warehouse has higher than the owned warehouse due to better preservation facilities in rented warehouse. Due to the improved services offer in rented warehouse, the deterioration rate in rented warehouse is less than deterioration rate in owned warehouse. To reduce inventory cost, items of rented warehouse are consumed first and then the items of owned warehouse are consumed because it will be profitable for the organization. Permissible delay in payments allowed to the inventory manager is also taken into account. The study includes some features that are likely to be associated with certain types of inventory, like inventory of seasonal fruits and vegetables, newly launched fashion items, etc. The optimum replenishment policies are determined by minimizing the total cost in a replenishment interval. Sensitivity analysis has also been performed by changing (increasing or decreasing) one parameter at a time keeping the remaining parameters unchanged.

Multi-item two warehouse inventory model for deteriorating item under partial credit period via Contractive Mapping Genetic Algorithm and PSO

Present study proposes a two warehouse ordering policy for multi-product, deteriorating items when demand is stock and selling price dependent. It is assumed that the supplier offers a full and partial trade credit for a certain fixed period to entice more customers. A retailer has its own warehouse (OW) W1 of finite capacity at the central location in the city and a rented warehouse (RW) W2 of infinite capacity situated just outside the city. Units are continuously transferred from warehouse W2 to warehouse W1 and sold from warehouse W1. The objective of this work is to maximise the profit for different models by using contractive mapping genetic algorithm (CMGA) and particle swarm optimisation (PSO). The order quantity, selling price and refilling point at the first warehouse are considered as the decision variables to maximise the objective. Mathematical models are formulated by using two heuristic techniques and illustrated with a numerical example.

Credit financing in economic ordering policies for deteriorating items with stochastic demand and promotional efforts in two-warehouse environment

Retailers are nowadays focusing on promotional activities in order to attract customers because of increasing competition. Promotional efforts have significant impact on the replenishment policy and the sale price of goods. In this paper, a two warehouse inventory model is developed for deteriorating items subject to promotional efforts under permissible delay in payments. Here, a price dependent stochastic demand function is considered with partially backlogged shortages. Several realistic cases, sub cases and scenarios have been taken into account and the corresponding problems have been formulated as nonlinear constrained optimisation problems. To illustrate the proposed model two numerical examples have been solved. Further, a numerical example has been extended to perform sensitivity analysis of the model and discuss specific managerial insights.

Credit financing in economic ordering policies for deteriorating items with stochastic demand and promotional efforts in two-warehouse environment

Retailers are nowadays focusing on promotional activities in order to attract customers because of increasing competition. Promotional efforts have significant impact on the replenishment policy and the sale price of goods. In this paper, a two warehouse inventory model is developed for deteriorating items subject to promotional efforts under permissible delay in payments. Here, a price dependent stochastic demand function is considered with partially backlogged shortages. Several realistic cases, sub cases and scenarios have been taken into account and the corresponding problems have been formulated as nonlinear constrained optimisation problems. To illustrate the proposed model two numerical examples have been solved. Further, a numerical example has been extended to perform sensitivity analysis of the model and discuss specific managerial insights.

An inventory model for non-instantaneous deteriorating items with variable holding cost under two-storage

This paper presents a two warehouse inventory model for non-instantaneous deteriorating items under assumption that the inventory cost (including holding cost and deterioration cost) in rented warehouse (RW) is higher than those in owned warehouse (OW) due to better preservation facilities in RW. The demand and holding cost, both are taken variable and as linear increasing function of time. Shortages are allowed in the OW and completely backlogged at the next replenishment cycle. This paper mainly dealt with non-instantaneous deteriorating items with linear time dependent holding cost and demand where transportation cost from RW to OW has been incurred and is depended upon the amount of goods transported irrespective of time, distance from RW to OW and the capacity of vehicle used for transporting commodities.

A Two-Warehouse Inventory Model for Deteriorating Items with Capacity Constraints and Back-Ordering Under Financial Considerations

This paper investigated two warehouse inventory model for a single deteriorating items under the assumption of shortages and partial backlogging under payments delay and the effect of inflation and time value for money is also incorporated. Again, two warehouse capacity (owned and rented) have been considered over the finite horizon planning under which back-ordering is assumed. When the order quantity becomes higher than the storage capacity in own warehouse then the system involves two warehouse model. In this model, excess inventory are stored in rented warehouses which are assumed to charge higher unit holding costs than owned warehouses. Moreover, in rented warehouse item deteriorates with higher rates than in owned warehouse. At first own warehouse are filled out by its storage capacity and the rests are kept in rented warehouse. So, at first, the items in RW decreases due to demand and deterioration until it reaches to the level zero while on the other hand a portion on the inventory on OW is depleted due to deterioration only. Then, the inventory on OW decreases due to demand and deterioration until it reaches to the level zero. Finally, shortages start and backlogging rate is negative exponential of function waiting time. Here, the demand is used as exponential function of time and backlogging rate varies negative exponential function of waiting time. The total cost function is carried out under the effect of JIT setup cost. Two numerical examples are illustrated for the developed model and sensitivity analysis has been carried out to identify behaviour of model parameters.

Two Warehouse Inventory Model with Different Deterioration Rates under Time Dependent Demand and Shortages

Two Warehouse Inventory Model with Different Deterioration Rates under Time Dependent Demand and Shortages

Two Warehouse Inventory Model with Different Deterioration Rates under Linear Demand and Time Varying Holding Cost

Two Warehouse Inventory Model with Different Deterioration Rates under Linear Demand and Time Varying Holding Cost

Two warehouse inventory model for deteriorating item with exponential demand rate and permissible delay in payment

A two warehouse inventory model for deteriorating items is considered with exponential demand rate and permissible delay in payment. Shortage is not allowed and deterioration rate is constant. In the model, one warehouse is rented and the other is owned. The rented warehouse is provided with better facility for the stock than the owned warehouse, but is charged more. The objective of this model is to find the best replenishment policies for minimizing the total appropriate inventory cost. A numerical illustration and sensitivity analysis is provided.

A two warehouse inventory model for deteriorating items with variable demand under alternative trade credit policy

In this paper, we have developed an inventory model for single deteriorating items with two separate storage facilities (own and rented warehouses) due to limited capacity of the existing storage, i.e., own warehouse considering allowable delay in payment. The demand rate of this item is dependent on continuous time, selling price of the item and the frequency of advertisement. Partially, backlogged shortages are allowed with a rate dependent on the duration of waiting time up to the arrival of next lot. To formulate the model, we have considered different realistic situations. The corresponding problem has been formulated as constrained nonlinear mixed integer problem and solved by generalised reduced gradient (GRG) method. Finally, a numerical example has been considered to illustrate and validate the model. Sensitivity analyses have been carried out by changing one parameter at a time and keeping the other at their original value.