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

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.

Keywords:

• inventory
• two-warehouse
• deterioration
• partial backlogging
• inflation
• time-dependent demand

Acknowledgements

The authors are grateful for valuable comments and suggestions from the respected reviewers. Their valuable comments and suggestions have enhanced the strength and significance of our paper.

Additional information

Notes on contributors

A.K. Bhunia

A.K. Bhunia is an associate professor in the Department of Mathematics, The University of Burdwan, India. Several students obtained their PhD degree under his supervision. His research interests include computational optimisation, soft computing, interval mathematics, interval ranking, etc. He has published several research papers in various international SCI journals. He has also written two research monographs and a book. He is also an associate editor of the Springer journal ‘OPSEARCH’.

A.A. Shaikh

Ali Akbar Shaikh is a faculty member of Krishnagar Government College, India. He has published three research papers in referred journals. His research interests include inventory control theory, interval optimisation and PSO.

R.K. Gupta

R.K. Gupta is an assistant professor in the Department of Commerce & Management in West Bengal State University, India. He has published eight research papers in referred journals. His research interest includes optimisation in reliability management, inventory control, transportation management and applications of genetic algorithm in managerial decision-making. He has authored a research monograph. Presently, he is working as an associate editor of ‘International Journal of Productivity Management and Assessment Technologies’.