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A study on two-warehouse partially backlogged deteriorating inventory models under inflation via particle swarm optimisation

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  • A.K. Bhunia
  • A.A. Shaikh
  • R.K. Gupta

Abstract

This paper deals with a deterministic inventory model for linear trend in demand under inflationary conditions with different rates of deterioration in two separate warehouses (owned and rented warehouses). The replenishment rate is infinite. The stock is transferred from the rented warehouse to owned warehouse in continuous release pattern and the associated transportation cost is taken into account. At owned warehouse, shortages, if any, are allowed and partially backlogged with a rate dependent on the duration of waiting time up to the arrival of the next lot. The corresponding problems have been formulated as nonlinear constrained optimisation problems for two different policies (inventory follows shortage (IFS) and shortage follows inventory (SFI)). Finally, the model has been illustrated with a numerical example and to study the effects of changes of different system parameters on initial stock level, maximum shortage level and cycle length with the minimum cost of the system, sensitivity analyses have been carried out by changing one parameter at a time and keeping the others at their original values.

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  • A.K. Bhunia & A.A. Shaikh & R.K. Gupta, 2015. "A study on two-warehouse partially backlogged deteriorating inventory models under inflation via particle swarm optimisation," International Journal of Systems Science, Taylor & Francis Journals, vol. 46(6), pages 1036-1050, April.
    • Handle: RePEc:taf:tsysxx:v:46:y:2015:i:6:p:1036-1050
    DOI: 10.1080/00207721.2013.807385
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    1. Bhunia, A.K. & Shaikh, Ali Akbar, 2015. "An application of PSO in a two-warehouse inventory model for deteriorating item under permissible delay in payment with different inventory policies," Applied Mathematics and Computation, Elsevier, vol. 256(C), pages 831-850.
    2. Janssen, Larissa & Claus, Thorsten & Sauer, Jürgen, 2016. "Literature review of deteriorating inventory models by key topics from 2012 to 2015," International Journal of Production Economics, Elsevier, vol. 182(C), pages 86-112.
    3. Mohsen Lashgari & Ata Allah Taleizadeh & Abbas Ahmadi, 2016. "Partial up-stream advanced payment and partial down-stream delayed payment in a three-level supply chain," Annals of Operations Research, Springer, vol. 238(1), pages 329-354, March.
    4. Md. Al-Amin Khan & Ali Akbar Shaikh & Gobinda Chandra Panda & Asoke Kumar Bhunia & Ioannis Konstantaras, 2020. "Non-instantaneous deterioration effect in ordering decisions for a two-warehouse inventory system under advance payment and backlogging," Annals of Operations Research, Springer, vol. 289(2), pages 243-275, June.
    5. Rajamanickam Thilagavathi & Jagadeesan Viswanath & Lenka Cepova & Vladimira Schindlerova, 2022. "Effect of Inflation and Permitted Three-Slot Payment on Two-Warehouse Inventory System with Stock-Dependent Demand and Partial Backlogging," Mathematics, MDPI, vol. 10(21), pages 1-13, October.
    6. Kartick Dey & Debajyoti Chatterjee & Subrata Saha & Ilkyeong Moon, 2019. "Dynamic versus static rebates: an investigation on price, displayed stock level, and rebate-induced demand using a hybrid bat algorithm," Annals of Operations Research, Springer, vol. 279(1), pages 187-219, August.
    7. Mohsen Lashgari & Ata Taleizadeh & Abbas Ahmadi, 2016. "Partial up-stream advanced payment and partial down-stream delayed payment in a three-level supply chain," Annals of Operations Research, Springer, vol. 238(1), pages 329-354, March.
    8. Sunil Tiwari & Chandra K. Jaggi & Asoke Kumar Bhunia & Ali Akbar Shaikh & Mark Goh, 2017. "Two-warehouse inventory model for non-instantaneous deteriorating items with stock-dependent demand and inflation using particle swarm optimization," Annals of Operations Research, Springer, vol. 254(1), pages 401-423, July.

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