Providing an Appropriate Model for Improving Multi-Criteria Inventory Classification Using SBM Model (Case Study: Pars Khazar Industrial Company)

Abstract

Objective: In Workplaces, organizations need to balance warehouse inventory and maintenance costs. Therefore, inventory control is one of the major concerns of organizations. In many organizations, they use the ABC classification method for controlling a large volume of inventory. in the traditional ABC classification, items are categorized only by a single criterion; but considering other criteria is also essential, so in such cases, the multi-criteria inventory classification is used. The purpose of this study is to present a new model in multi-criteria inventory classification. Methods: In this study, the data envelopment analysis method has been used to present an appropriate model for inventory classification. In the literature of Radial and non-radial models of data envelopment analysis have been used in inventory classification and the comparison of the results of the models indicates that non-radial models provide a more rational classification. Hence, other types of non-radial models have been proposed in this paper to improve inventory classification. Results: the proposed method does not have the weakness of the radial models and improves the multi-criteria inventory classification using non-radial models. Conclusion: 47 items of inventory related to a common numerical example in the literature as well as 80 items of inventory items of Pars Khazar industrial company have been used in order To implement the new models and compare them with existing models. The results of comparing the proposed model with the existing ones in the literature show the superiority of the proposed model.

Keywords

• r model
• ram model
• sbm model without input
• data envelopment analysis
• multi-criteria inventory classification