RT info:eu-repo/semantics/article
T1 Profit maximization in an inventory system with time-varying demand, partial backordering and discrete inventory cycle
A1 San José Nieto, Luis Augusto
A1 Sicilia Rodríguez, Joaquín
A1 González de la Rosa, Manuel
A1 Febles Acosta, Jaime
K1 EOQ inventory models
K1 Discrete-time cycle
K1 Ciclo de tiempo discreto
K1 Time-varying demand
K1 Partial backordering
K1 12 Matemáticas
AB In this paper, an inventory problem where the inventory cycle must be an integer multiple of a known basic period is considered. Furthermore, the demand rate in each basic period is a power time-dependent function. Shortages are allowed but, taking necessities or interests of the customers into account, only a fixed proportion of the demand during the stock-out period is satisfied with the arrival of the next replenishment. The costs related to the management of the inventory system are the ordering cost, the purchasing cost, the holding cost, the backordering cost and the lost sale cost. The problem is to determine the best inventory policy that maximizes the profit per unit time, which is the difference between the income obtained from the sales of the product and the sum of the previous costs. The modeling of the inventory problem leads to an integer nonlinear mathematical programming problem. To solve this problem, a new and efficient algorithm to calculate the optimal inventory cycle and the economic order quantity is proposed. Numerical examples are presented to illustrate how the algorithm works to determine the best inventory policies. A sensitivity analysis of the optimal policy with respect to some parameters of the inventory system is developed. Finally, conclusions and suggestions for future research lines are given.
PB Springer
SN 0254-5330
YR 2021
FD 2021
LK https://uvadoc.uva.es/handle/10324/48497
UL https://uvadoc.uva.es/handle/10324/48497
LA eng
NO Annals of Operations Research, 2021
NO Producción Científica
DS UVaDOC
RD 17-jul-2024