A STUDY ON AN INVENTORY MODEL FOR ITEMS WITH WEIBULL AMELIORATING

This paper is concerned with the development of ameliorating inventory models. The ameliorating inventory is the inventory of goods whose ut ility increases over the time by ameliorating activation. The term ame liorating inventory is used in this paper at least, since the terminol ogy is not standard well known. This study is performed according to a reas; one is an economic order quantity(EOQ) model for the items whose utility is ameliorating in accordance with Weibull distribution and t he other is a partial selling quantity(PSQ) model developed for sellin g the surplus inventory accumulated by ameliorating activation. The pr oposed models cannot be solved directly in a closed form, thus we used a computer program and a graphical solution method to obtain the opti mal ordering and selling quantity in this paper. Numerical examples to illustrate the effect of ameliorating rate on inventory polices are s hown at the end of this paper. (C) 1997 Elsevier Science Ltd.