Title: Optimisation of an inventory model for conclusive and inconclusive cost parameters using triangular and trapezoidal fuzzy numbers

Authors: Renu Sharma; Anubhav Pratap Singh; Ritu Arora; Anand Chauhan

Addresses: Department of Mathematics and Statistics, Gurukul Kangri (Deemed to be University), Haridwar, 249404, India ' Department of Mathematics, S.G.R.R. (PG) College, Dehradun, 248001, India ' Department of Mathematics and Statistics, Gurukul Kangri (Deemed to be University), Haridwar, 249404, India ' Department of Mathematics, Graphic Era (Deemed to be University), Dehradun, 248001, India

Abstract: Volatility in the prices of crude oil creates a very complicated situation for the management of an inventory system. As a result, an unexpected shift in cost parameters occurs. A model of economic order quantity (EOQ) is developed to control the inventory in that situation when a decision-maker is not able to clearly express the cost parameters at the beginning of a system design. Such type of situation is created due to volatility in the price. The purpose of the article is to study the impact of inconclusive cost parameters on total average cost. The holding cost, ordering cost, deterioration cost, and shortage cost are assigned by fuzzy numbers. Then, graded mean integration method (GMIM) is used to defuzzified the total average cost. A comparative study in a crisp environment and fuzzy environment is validated as an explicit condition to control the inventory for reducing the optimum cost.

Keywords: economic order quantity; EOQ; trapezoidal fuzzy number; triangular fuzzy number; graded mean integration method.

DOI: 10.1504/IJMOR.2022.122808

International Journal of Mathematics in Operational Research, 2022 Vol.21 No.4, pp.529 - 553

Received: 02 Dec 2020
Accepted: 14 Feb 2021
Published online: 12 May 2022 *

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