A Study of Inventory System with Ramp Type Demand Rate and Shortage in The Light of Inflation–II

Sangeeta Gupta; Sweta Srivastav; R.K. Srivastava

Volume : V, Issue : VI, June - 2015

A Study of Inventory System with Ramp Type Demand Rate and Shortage in The Light of Inflation–II

Sangeeta Gupta, Sweta Srivastav, R. K. Srivastava

Abstract :

An order–level inventory system consisting of deteriorating items under inflation with ramp type demand rate and partial backlogging and inventory starts with shortages. Three costs are considered under inflation as significant: deterioration, holding, shortage. The backlogging rate is an exponentially decreasing, time–dependent function specified by a parameter. In this paper we derive results, which ensure the existence of a unique optimal policy and provide the solution procedure for the problem. Numerical example is presented to illustrate the model.