An EOQ model with backlogging. Issue 3 (2nd July 2016)

• Record Type: Journal Article
• Authors: De, Sujit Kumar; Sana, Shib Sankar
• Is Part Of: International journal of management science and engineering management. Volume 11:Issue 3(2016)
• Page Start: 143
• Page End: 154
• Publication Date: 2016-07-02
• Subjects: backorder inventory -- pentagon fuzzy number -- center of gravity -- ranking index -- Euclidean distance -- phi-coefficient -- optimization; C01 -- C02 -- C61 -- M37; Management science -- Periodicals; Engineering -- Management -- Periodicals; Engineering -- Management; Management science; Periodicals; 658.005
• DOI: 10.1080/17509653.2014.995736
• Languages: English
• ISSNs: 1750-9661

Abstract

Abstract : This paper deals with a new approach of linguistic dichotomous fuzzy variables for a classical backordered EOQ (Economic Order Quantity) model with PE (Promotional Effort) and selling price dependent demand rate. In practice, we have observed that the demand rate during a shortage period decreases with time. Based on these assumptions, we have developed a cost minimization problem (a crisp model) by trading off setup cost, inventory cost, backordering cost and cost for promotional effort. Then, we have studied a fuzzy model by considering the coefficient vectors as pentagon fuzzy numbers associated with some co-ordinates. Defuzzification is made with the help of the center-of-gravity method followed by a ranking index and the Euclidean distance of the objective function. Considering a numerical example, phi- (φ-)coefficients have been computed for each method and a decision is made according to the natural characteristics of the decision variables. Finally, conclusions are drawn, explaining the justification of the model.