Affiliations: Department of Mathematics, National Institute of Technology Puducherry, Karaikal, India
Correspondence:
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Corresponding author. G.S. Mahapatra, Department of Mathematics, National Institute of Technology Puducherry, Karaikal-609609, India. E-mail: gs.mahapatra@nitpy.ac.in.
Abstract: This paper develops a fuzzy inventory model having price, stock, reliability and advertisement dependent demand with fuzzy holding cost varying on time and reliability. We also develop the inventory model for deteriorating items with three parameter weibull distribution pattern. Inflation has the reverse effect on the time value of money, so we consider the effect of inflation when there is shortage in the stock. The model also allows condition of permissible delay in payment. The credit period is less than or equal and greater than to the cycle time for settling the account which are the two cases for payment. The optimum solution of the inventory model are evaluated under crisp and fuzzy environments. We have used symmetric triangular fuzzy parameters for the proposed inventory model, and to defuzzify for the solution we use total λ-integral value. The model is illustrated with the help of numerical examples, and further sensitivity analysis of the decision variables has been done to examine the effect of changes in the values of the parameters on the optimal inventory policy under fuzziness.
Keywords: Shortage, deterioration, permissible delay in payment, reliability, advertisement, triangular fuzzy number
