An inventory model for deteriorating items under inflation and permissible delay in payments by genetic algorithm

Abstract

Inventory models play a leading role in analyzing a lot of realistic situations arising at places like, food and vegetable markets, market yards, oil exploration industries, etc. In the present article, we developed an inventory model for deteriorating items with permissible delay in payment under inflation. In the given model, demand rate is considered as stock-dependent and deterioration rate of each item follows Weibull distribution. The model is developed under two different circumstances depending on whether the credit period is (1) less than the cycle time (2) greater than the cycle time. Also, a new algorithm is developed under these scenarios to obtain the EOQ. Finally results are analyzed and demonstrated with illustrative examples by Genetic Algorithm.