A DETERMINISTIC LOT-SIZE INVENTORY MODEL FOR DETERIORATING ITEMS WITHSHORTAGES AND A DECLINING MARKET

Authors
WEE HM
Citation
Hm. Wee, A DETERMINISTIC LOT-SIZE INVENTORY MODEL FOR DETERIORATING ITEMS WITHSHORTAGES AND A DECLINING MARKET, Computers & operations research, 22(3), 1995, pp. 345-356
Citations number
14
Categorie Soggetti
Operatione Research & Management Science","Operatione Research & Management Science","Computer Science Interdisciplinary Applications","Engineering, Industrial
Journal title
Computers & operations research → ACNP
ISSN journal
03050548
Volume
22
Issue
3
Year of publication
1995
Pages
345 - 356
Database
ISI
SICI code
0305-0548(1995)22:3<345:ADLIMF>2.0.ZU;2-1
Abstract
This paper considers a replenishment policy of deteriorating product w here demand declines exponentially over a fixed time horizon. Deterior ation is assumed to be a constant fraction of the total on-hand invent ory and complete backordering of demand is assumed. An extension of th e model for partial backordering is illustrated. Numerical results for complete backordering are provided and a comparison of policies is ma de. It is indicated that when shortage is allowed, the model leads to lower average total cost.