A forward with backward inventory policy algorithm for nonlinear increasing demand and shortage backorders. (2018)

• Record Type: Journal Article
• Authors: Astanti, Ririn Diar; Luong, Huynh Trung; Wee, Hui Ming; Ai, The Jin
• Is Part Of: International journal of mathematics in operational research. Volume 13:Number 4(2018)
• Page Start: 492
• Page End: 512
• Publication Date: 2018
• Subjects: inventory -- nonlinear increasing demand pattern -- shortage backorders -- forward with backward inventory policy algorithm; Operations research -- Mathematical models -- Periodicals; Operations research -- Mathematics -- Periodicals; Decision making -- Mathematical models -- Periodicals; 658.4033
• Languages: English
• ISSNs: 1757-5850

Abstract

The traditional inventory policies have been developed for constant demand processes. In reality, demand is not always stable; it might have an increasing pattern. In this paper, a forward with backward inventory policy algorithm is developed to determine the operational parameters of an inventory system with a nonlinear increasing demand rate, shortage backorders and a finite planning horizon. Numerical experiments are also conducted to compare the results with the existing techniques and to illustrate the applicability of the proposed technique.