Determination of economic order quantity in a fuzzy EOQ model using of GMIR deffuzification

Abstract

Inappropriate inventory control policies and its incorrect implementation can cause improper operation and uncompetitive advantage of organization logistic operation in the market. Therefore, analysis inventory control policies are important to be understood, including carrying cost, ordering cost, warehouse renting cost, and buying cost. In this research, Economic Order Quantity (EOQ) problem in fuzzy condition is reviewed in two different situations. The first model concerned to costs (carrying cost, ordering cost, warehouse renting cost and buying cost), which is considered as triangular fuzzy numbers. The second model was in addition to inventory the cost system, in which annual demand is also reviewed as fuzzy numbers. In each model, graded mean integration representation (GMIR) deffuzification was used for parameters deffuzification. Then, the final objective from this analysis was to obtain economic quantity formula through derivation.