Inventory model of deteriorating items on non-periodic discrete-time domains

Atici F. M., Lebedinsky A., Uysal F.

EUROPEAN JOURNAL OF OPERATIONAL RESEARCH, cilt.230, sa.2, ss.284-289, 2013 (SCI-Expanded)

  • Yayın Türü: Makale / Tam Makale
  • Cilt numarası: 230 Sayı: 2
  • Basım Tarihi: 2013
  • Doi Numarası: 10.1016/j.ejor.2013.04.043
  • Dergi Adı: EUROPEAN JOURNAL OF OPERATIONAL RESEARCH
  • Derginin Tarandığı İndeksler: Science Citation Index Expanded (SCI-EXPANDED), Scopus
  • Sayfa Sayıları: ss.284-289
  • Anahtar Kelimeler: Discrete calculus, Deterministic inventory models, Optimization, DEMAND
  • Akdeniz Üniversitesi Adresli: Evet

Özet

In this paper, we demonstrate how to model a discrete-time dynamic process on a non-periodic time domain with applications to operations research. We introduce a discrete-time model of inventory with deterioration on domains where time points may be unevenly spaced over a time interval. We formalize the average cost function composed of storage, depreciation and back-ordering costs. The optimal condition is given to locate the optimal point that minimizes the average cost function. Finally, we present simulations to demonstrate how a manager can use this model to make inventory decisions. Published by Elsevier B.V.

In this paper, we demonstrate how to model a discrete-time dynamic process on a non-periodic time domain with applications to operations research. We introduce a discrete-time model of inventory with deterioration on domains where time points may be unevenly spaced over a time interval. We formalize the average cost function composed of storage, depreciation and back-ordering costs. The optimal condition is given to locate the optimal point that minimizes the average cost function. Finally, we present simulations to demonstrate how a manager can use this model to make inventory decisions.