Title: Optimisation of a sustainable fuzzy EPQ inventory model using sextic equation

Authors: S. Ganesan; R. Uthayakumar

Addresses: Department of Mathematics, Government Polytechnic College, Usilampatti, Madurai District, Tamil Nadu 625537, India ' Department of Mathematics, The Gandhigram Rural Institute (Deemed to be University), Gandhigram, Dindigul District, Tamil Nadu 624302, India

Abstract: We develop a fuzzy EPQ inventory model to achieve sustainability and profit maximisation. Cost measures are included at every stage of the production and inventory process to handle carbon emissions safely. Fuzzy number representation of the input parameters helps to accommodate uncertainties in the inventory decision-making process. The fuzzy net profit function's ambiguity level determines the degree of uncertainty in the net profit. Descartes' rule of signs is used in a sextic equation to establish a solution to the optimal length of the production run. The numerical results show that increasing ambiguity in the fuzzy profit function will decrease the net profit. Accuracy in predicting production cost, setup cost, and annual demand is essential as the net profit is more sensitive to these parameters. A multivariate regression equation is fitted to estimate a possible crisp net profit from the corresponding fuzzy net profit for given demand and production rates. [Submitted: 15 June 2019; Accepted: 24 April 2021]

Keywords: sustainability; EPQ inventory; trapezoidal fuzzy number; Descartes' rule of signs.

DOI: 10.1504/EJIE.2022.123729

European Journal of Industrial Engineering, 2022 Vol.16 No.4, pp.442 - 478

Accepted: 24 Apr 2021
Published online: 01 Jul 2022 *

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