Authors: Oshmita Dey; Debjani Chakraborty
Addresses: Department of Mathematics, Indian Institute of Technology, Kharagpur 721302, India ' Department of Mathematics, Indian Institute of Technology, Kharagpur 721302, India
Abstract: This paper presents a technique for the suitable quantification of the available demand information for inventory situations characterised by the limited availability of past demand data. As this lack of information makes it difficult to develop reliable estimates of the demand parameter, with experts preferring to give their estimates in terms of evaluative linguistic expressions, such inventory situations are characterised by the simultaneous presence of fuzziness and randomness. Therefore, this paper focuses on providing the decision-makers with the means of suitably quantifying this imprecise and uncertain information as a fuzzy random data set. The periodic review system has been utilised in this regard to provide an illustration of the proposed technique. A numerical example has also been provided for this purpose. This paper, therefore, presents a methodology for the implementation of a theoretical fuzzy random inventory model to a real-life situation.
Keywords: inventory modelling; periodic review systems; fuzzy variables; random variables; possibilistic mean.
International Journal of Operational Research, 2012 Vol.13 No.4, pp.395 - 405
Published online: 04 Mar 2012 *Full-text access for editors Access for subscribers Purchase this article Comment on this article