Optimal Replenishment Policy for Weibull-Distributed Deteriorating Items with Trapezoidal Demand Rate and Partial Backlogging

Abstract

An inventory model for Weibull-distributed deteriorating items is considered so as to minimize the total cost per unit time in this paper. The model starts with shortage, allowed partial backlogging, and trapezoidal demand rate. By analyzing the model, an efficient solution procedure is proposed to determine the optimal replenishment and the optimal order quantity and the average total costs are also obtained. Finally, numerical examples are provided to illustrate the theoretical results and a sensitivity analysis of the major parameters with respect to the stability of optimal solution is also carried out.

Optimal pre-sale policy for deteriorating items

“…Considering the uncertain supply and demand of the products, [5] examined three selling strategies of a manufacturer under uncertain supply and demand by modelling the first two strategies as single-period Stackelberg games, and modelling the last strategy as a two-period dynamic Stackelberg game. [27] studied an inventory model starting with shortage for Weibull-distributed deteriorating items, in which the shortage order are allowed partial backlogging. However, [28] considered an EOQ inventory model with pre-sale policy for deteriorating items, in which all the pre-sale orders are fully backlogged with waiting-time dependent rebate.…”