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Optimal inventory control of lumpy demand items using genetic algorithms

โœ Scribed by K.L. Mak; Y.S. Wong; G.Q. Huang

Publisher
Elsevier Science
Year
1999
Tongue
English
Weight
269 KB
Volume
37
Category
Article
ISSN
0360-8352

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โœฆ Synopsis

This paper is concerned with the optimal control of inventory items which experience lumpy demands. A mathematical model is developed for the determination of optimal replenishment policies for such items. In order to avoid disrupting the inventory system, a maximum issue quantity of w units is specified such that customer orders with sizes exceeding w units will be filtered out of the inventory system and treated as special orders to be satisfied by placing special replenishment orders to a supplier. Customer orders with sizes less than or equal to w units will be met from stock. A genetic search algorithm is developed to solve the problem. The theoretical results obtained are illustrated with a numerical example.

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