Title: Effect of stock-dependent demand in EOQ models for deteriorative items under linear, quadratic and exponential holding cost

Authors: C.K. Sivashankari; P. Vijayakumar

Addresses: RMK Engineering College, Kavaraipettai, Gummidipoondi Taluk, Tiruvallur District, Tamil Nadu 601 206, India ' RVS College of Engineering and Technology, Kannampalayam Post, Coimbatore 641 402, Tamil Nadu, India

Abstract: Inventory models for deteriorative items with stock-dependent demand for deteriorative items in linear, quadratic and exponential time dependent holding cost are considered in this study. To wit, no study exists that uses effect of stock-dependent demand for deteriorative items in linear, quadratic and exponential time dependent holding cost. Four models are developed: the first model uses stock-dependent demand with constant holding cost; the second model uses stock-dependent demand in linear holding cost; the third model uses stock-dependent demand in quadratic holding cost; and the fourth model uses stock-dependent demand with exponential holding cost. Mathematical models are delineated for each model and relevant examples are provided to elucidate the proposed procedure. The objective herein is to obtain optimum order quantities and order intervals with respect to overall cost. Numerical examples are provided for all four cases to validate the proposed model. Sensitivity analysis is provided for each of the four models. The necessary data was generated using visual basic 6.0.

Keywords: inventory; stock dependent demand; constant holding cost; linear holding cost; quadratic holding cost; exponential holding cost; optimality.

DOI: 10.1504/IJPM.2023.130747

International Journal of Procurement Management, 2023 Vol.17 No.2, pp.151 - 179

Received: 22 Jul 2021
Accepted: 27 Oct 2021
Published online: 04 May 2023 *

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