Optimization of Fuzzy Inventory Model with Trended Deterioration and Salvage Sahoo N.K.1,*, Tripathy P.K.2,** 1Department of Mathematics, S.S.S. Mahavidyalaya, Gaudakateni, Dhenkanal-759001, India 2P.G. Department of Statistics, Utkal University, VaniVihar, Bhubaneswar-751004, India *Corresponding author. Email: narenmaths@yahoo.co.in
**Email: msccompsc@gmail.com
AMS Mathematics Subject Classification (2010): 90B05 Online published on 7 February, 2019. Abstract A fuzzy inventory model is developed with time dependent trended deterioration. Salvage valueis incorporated to the cost of deteriorated items. The deterioration rate, holding cost, unit cost and salvage value are taken as trapezoidal fuzzy numbers. Both graded mean integration and signed distance method are used to defuzzify the total cost function. Mathematical model has been developed for determining the optimal order quantity, optimal cycle time and optimal total inventory cost. Numerical examples are given to validate the developed model. Sensitivity analysis is carried out to analyze the variability in the optimal solution with respect to change in various parameters. Top Keywords Deterioration, graded mean integration method, signed distance method. Top |