A production-inventory model for a deteriorating item with shortage and time dependent demand

Abstract

In the present article, a production-inventory model is developed over a finite planning horizon where the demand varies linearly with time. The machine production rate is assumed to be finite and constant. Shortages in inventory are allowed and are completely backlogged. The associated constrained minimization problem is numerically solved. Sensitivity analysis is also presented for the given model.

Keywords

• Production inventory model
• time-dependent demand
• deteriorating item