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A Multi-item EPQ Model with Variable Demand in an Imperfect Production Process

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Information Technology and Applied Mathematics

Part of the book series: Advances in Intelligent Systems and Computing ((AISC,volume 699))

Abstract

Nowadays, to survive and promote the market competition, multi-item business strategy is more effective for any production/manufacturing sector. Here, an attempt has been made to develop a multi-item production inventory model, especially for seasonal products for a finite time horizon. Production process is not 100% reliable, and for this reason some imperfect quality items are produced, and these items are immediately remanufactured incurring some cost to get back its originality. Both demands and production rate of the items are time-sensitive. It is also assumed that production cost per unit varies with defective rates as well as production rates. Imposing two constraints, space and investment, profit maximization model is formulated. Incorporating inflation and time value of money into the model, total profit is represented as a definite integral with time period as its upper limit. The profit function becomes an optimal control problem. The defective rates of the production process are determined by variational calculus. As today’s competitive business transaction is full of uncertainty, another model is considered with fuzzy constraints and solved. Fuzzy constraints are converted to the crisp one, following fuzzy possibility. For the illustration of the developed models, numerical experiments and also some sensitivity analyses are performed and presented.

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Author information

Authors and Affiliations

  1. National Institute of Technology Durgapur, Durgapur, 713209, WB, India

    Anindita Kundu & Barun Das

  2. Vidyasagar University, Midnapore, 721102, WB, India

    Partha Guchhait

  3. Sidho-Kanho-Birsha University, Purulia, 723104, WB, India

    Manoranjan Maiti

Authors
  1. Anindita Kundu
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  2. Partha Guchhait
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  3. Barun Das
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  4. Manoranjan Maiti
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Corresponding author

Correspondence to Barun Das .

Editor information

Editors and Affiliations

  1. Department of Mathematics and Statistics, Indian Institute of Technology Kanpur, Kanpur, Uttar Pradesh, India

    Peeyush Chandra

  2. Department of Computer Science and Engineering, Haldia Institute of Technology, Haldia, West Bengal, India

    Debasis Giri

  3. School of Computer Science and Engineering, University of Electronic Science and Technology of China, Chengdu, China

    Fagen Li

  4. Department of Mathematics, National Institute of Technology Durgapur, Durgapur, West Bengal, India

    Samarjit Kar

  5. Department of Applied Sciences, Haldia Institute of Technology, Haldia, West Bengal, India

    Dipak Kumar Jana

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Kundu, A., Guchhait, P., Das, B., Maiti, M. (2019). A Multi-item EPQ Model with Variable Demand in an Imperfect Production Process. In: Chandra, P., Giri, D., Li, F., Kar, S., Jana, D. (eds) Information Technology and Applied Mathematics. Advances in Intelligent Systems and Computing, vol 699. Springer, Singapore. https://doi.org/10.1007/978-981-10-7590-2_16

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