An inventory model for single-period products with reordering opportunities under fuzzy demand

✍ Scribed by Pankaj Dutta; Debjani Chakraborty; A.R. Roy

• Publisher: Elsevier Science
• Year: 2007
• Tongue: English
• Weight: 565 KB
• Volume: 53
• Category: Article
• ISSN: 0898-1221
• DOI: 10.1016/j.camwa.2006.04.029

✦ Synopsis

This paper analyzes a single-period inventory model of profit maximization with a reordering strategy in an imprecise environment. The entire period is divided into two slots and the customer demand is considered as a fuzzy number in situations where the demand in each slot is linguistic in nature and characterized as 'demand is about d'. The reordering is to be done during the mid-season after the early-season demand has been observed. The objective is to determine the optimal order quantity in maximizing the expected resultant profit by considering the fuzzy demand and reordering strategy in the single-period framework. The solution procedure is presented using ordering of fuzzy numbers with respect to their possibilistic mean values. Numerical examples are given to illustrate the efficiency of this strategy.