An analysis of uncertain situation and advance payment system on a double-storage fuzzy inventory model

S. Rajeswari (), C. Sugapriya () and D. Nagarajan ()
Additional contact information
S. Rajeswari: Queen Mary’s College, University of Madras
C. Sugapriya: Queen Mary’s College, University of Madras
D. Nagarajan: Hindustan Institute of Technology and Science

OPSEARCH, 2022, vol. 59, issue 1, No 2, 20-40

Abstract: Abstract The present research develops a two-warehouse economic order quantity (EOQ) model with imperfect products under fuzzy environment. Usually, the acquiring cost for an inventory model should be paid while receiving its receipt. Sometimes the supplier may offer to pay the purchasing amount in advance. Also, the capacity of warehouse plays a vital role in the inventory models. In lockdown situation, there is no supply to the customer throughout the lockdown period and so the inventory level remains stable during that period. This paper scrutinizes the Fuzzy EOQ model with substandard products which incorporates the notion of advance payment, repair option and lockdown situation. The proportion of defective product is considered as triangular fuzzy number. Fuzzy EOQ model is formulated to obtain the optimal order quantity which maximizes the expected annual profit and endorsed with numerical illustration. The sensitivity analysis for the proposed model is performed to show the impact of fuzziness on the proportion of defective rate along with the changes in parameters.

Keywords: Imperfect quality; Advance payment; Two-warehouse; Fuzzy; Repair; Lockdown situation (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://link.springer.com/10.1007/s12597-021-00530-8 Abstract (text/html)
Access to the full text of the articles in this series is restricted.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:opsear:v:59:y:2022:i:1:d:10.1007_s12597-021-00530-8

Ordering information: This journal article can be ordered from
http://www.springer. ... search/journal/12597

DOI: 10.1007/s12597-021-00530-8

Access Statistics for this article

OPSEARCH is currently edited by Birendra Mandal

More articles in OPSEARCH from Springer, Operational Research Society of India
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().