Title: Multi-item EOQ model for deteriorating items having multivariate dependent demand with variable holding cost and trade credit

Authors: Dharmendra Yadav; S.R. Singh; Manisha Sarin

Addresses: Department of Mathematics, Vardhaman College, Bijnor (UP), India ' Department of Mathematics, CCS University, Meerut (UP), India ' Department of Mathematics, CCS University, Meerut (UP), India

Abstract: In the present study, a multi-item EOQ inventory model for deteriorating items is explored by considering customer's demand as a function of stock and selling price. Further, holding cost is considered as the function of stock-level and shortages are allowed, which partially backlogged. Further, trade credit policy is one of the attractive policies adopted by the supplier in the competitive market to boost the demand. Two different inventory models are investigated by considering the two situations, namely: a) the end stock level is negative; b) the end stock level is positive or zero. Different lemmas and theorems are provided to develop the search algorithm to obtain the optimal solution. The study shows the importance of multivariate demand and trade credit of the optimal policy of inventory. The feasibility of the proposed model is analysed with the help of a numerical example. Sensitivity is also carried out for critical parameters.

Keywords: multi-item; multivariate demand; variable holding cost; partial backlogging; trade credit.

DOI: 10.1504/IJOR.2023.131493

International Journal of Operational Research, 2023 Vol.47 No.2, pp.202 - 244

Received: 12 Mar 2020
Accepted: 03 Oct 2020
Published online: 15 Jun 2023 *

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