Simulation of Economic Production Quantity Model for Deteriorating Item

Uttam Kumar Khedlekar^1, and Diwakar Shukla¹

¹Department of Mathematics and Statistics Dr. Hari Singh Gour University Sagar, M. P., India

Cite this paper:
Uttam Kumar Khedlekar and Diwakar Shukla. Simulation of Economic Production Quantity Model for Deteriorating Item. American Journal of Modeling and Optimization. 2013; 1(3):25-30. doi: 10.12691/ajmo-1-3-1

Abstract

A manufacturing business may be affected due to disruption produced either in production system or in raw material supply. The disruptions in production system occur due to appearance of uncertainty and unplanned events. For example, skilled labor problem, machine failure problem, system repair problem etc. Inventory managers need to monitor the raw material supply and anticipate the shortage before the system gets disrupted. The deterioration among produced items is also a worry factor for managers. In this paper, we suggest a production inventory model subject to condition of occurrence of disruption at input level and deterioration at output level. A comparative approach has been adopted between models with and without disruption. The main focus is on specific type disruption like sudden reduction in supply of raw material. Its effect has been examined in comparative approach. Parametric simulation is used to generate graphs and useful suggestions are made for inventory managers.

Keywords:
disrupted production system inventory control shortage deterioration

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