Indian Journal of Science and Technology

Abstract

In most of the research articles, demand is considered either constant or a function of single variable which is not practical; customers’ purchasing deeds may be affected by factors such as selling price and inventory level consequently in the present study we have considered demand rate as a function of stock-level and selling price both. Various researchers considered the situation in which shortages are either completely backlogged or completely lost which is not realistic therefore in development of this model it is assumed that shortages are partially backlogged and the most realistic backlogging rate is considered. In this research, we proposed a partial backlogging inventory model for decaying items considering stock and selling price dependent demand rate in fuzzy environment. In developing the model demand rate, ordering cost, purchasing cost, holding cost, backordering cost and opportunity cost are considered as triangular fuzzy numbers. Graded mean integration representation method is used for defuzzification. A numerical example is provided to illustrate the problem. Sensitivity analysis of the optimal solution with respect to the changes in the value of system parameters is also discussed. 
Keywords: Inventory Model, Triangular Fuzzy Numbers, Signed Distance, Stock and Price Dependent Demand.