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Perishable inventory system with service interruptions, retrial demands and negative customers

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  • P., Vijaya Laxmi
  • M.L., Soujanya

Abstract

In this paper, we consider a continuous review perishable inventory system wherein demands arrive according to the Poisson process, each demanding exactly one unit of inventory item and the life time of each item is assumed to be exponential. The operating policy is (s, S) policy, i.e., whenever the inventory level drops to s, an order for Q(=S − s) items is placed. The ordered items are received after a random time which is distributed as exponential. The service may be interrupted according to the Poisson process in which case it restarts after an exponentially distributed time. The demands that occur during the server breakdown period or stock-out period may turn out to be ordinary or a negative demand and then they enter into the orbit of infinite size. These orbiting demands send out a signal to compete for their demand which is distributed as exponential. The matrix analytic method is used for the steady state distribution of the model. Various performance measures and cost analysis are shown with numerical results.

Suggested Citation

  • P., Vijaya Laxmi & M.L., Soujanya, 2015. "Perishable inventory system with service interruptions, retrial demands and negative customers," Applied Mathematics and Computation, Elsevier, vol. 262(C), pages 102-110.
  • Handle: RePEc:eee:apmaco:v:262:y:2015:i:c:p:102-110
    DOI: 10.1016/j.amc.2015.04.013
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    References listed on IDEAS

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    1. Zied Jemai & Chaaben Kouki & Evren Sahin & Yves Dallery, 2010. "Periodic review inventory policy for perishables with random lifetime," Post-Print hal-01672435, HAL.
    2. Howard J. Weiss, 1980. "Optimal Ordering Policies for Continuous Review Perishable Inventory Models," Operations Research, INFORMS, vol. 28(2), pages 365-374, April.
    3. J. Artalejo & A. Krishnamoorthy & M. Lopez-Herrero, 2006. "Numerical analysis of(s, S) inventory systems with repeated attempts," Annals of Operations Research, Springer, vol. 141(1), pages 67-83, January.
    4. Opher Baron & Oded Berman & David Perry, 2010. "Continuous review inventory models for perishable items ordered in batches," Mathematical Methods of Operations Research, Springer;Gesellschaft für Operations Research (GOR);Nederlands Genootschap voor Besliskunde (NGB), vol. 72(2), pages 217-247, October.
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    Cited by:

    1. Janssen, Larissa & Claus, Thorsten & Sauer, Jürgen, 2016. "Literature review of deteriorating inventory models by key topics from 2012 to 2015," International Journal of Production Economics, Elsevier, vol. 182(C), pages 86-112.
    2. Afshar-Nadjafi, Behrouz & Mashatzadeghan, Hamidreza & Khamseh, Alireza, 2016. "Time-dependent demand and utility-sensitive sale price in a retailing system," Journal of Retailing and Consumer Services, Elsevier, vol. 32(C), pages 171-174.
    3. Nitin Kumar & F. P. Barbhuiya & U. C. Gupta, 2020. "Unified killing mechanism in a single server queue with renewal input," OPSEARCH, Springer;Operational Research Society of India, vol. 57(1), pages 246-259, March.

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