Study On Two-Warehouse Inventory Models For Deteriorating Items

Inventory optimization is an important researching aspect of management science, for human pursues perfect inventory level at all times. More and more enterprise's administrators pay attention to inventory control, which is the important process in enterprise's operating activities. In the restriction of enterprise resource, how to satisfy expected requirement under the minimum stock cost is the object of inventory control policy. In the drastic competition, many enterprise's administrators adopt two- warehouse inventory system, in which one warehouse is own warehouse and the other warehouse is rented warehouse like"Central Warehousing Facility". So, the study on two-warehouse inventory models has expansive foreground.The thesis, based on analyzing the development of inventory policy for deteriorating items, has studied the two-warehouse inventory models under inflation. For deteriorating, completely backlogged and partial backlogging, time-varying demand and purchasing price, inflation, two models and the corresponding control strategies are presented.A two-warehouse inventory model for deteriorating items with partial backlogging under inflation is developed, for customers are usually impatient during the shortage period. In each replenishment cycle there are two replenishing strategies of inventory period preceding in shortage period and shortage period preceding in inventory period,two responding inventory models are developed. The existence of optimal solution is discussed, and the operation cost of two models is compared under the condition that the operation cost of the former replenishing strategy is minimized. The results indicate: if we don't take into account the effect of inflation, the operation cost for two models is the same; if we consider the inflation, the operation cost of the latter replenishing strategy is less expensive to operate than the former one. A numerical example and sensitivity analysis are presented to prove the conclusions too.The other two-warehouse inventory model in which shortages are allowed and complete backlogged is put forward for deteriorating items with time - varying demand and purchase price under inflation. In this model we assume that the replenishing cycles are of equal length and the no-shortage period in each cycle is a constant fraction. The...