Research On Inventory Control Of Non-immediately Deteriorating Products

Perishable products are ubiquitous in real life.These products have short shelf life and are prone to decay,damage,devaluation and other phenomena over time.They must be sold within a limited time,and the inventory requirements are high.More will affect the demand and sales of goods,bringing retailers a non-negligible loss;if inventory is too small,it will lead to higher procurement costs and loss of sales opportunities.Controlling and maintaining inventory of deteriorating goods is crucial for retailers.Due to the improvement of people’s living standards,the requirements for the freshness of fruits,vegetables and aquatic products are becoming higher and higher.Consumers have different needs during the shelf life and deterioration period.Once the product begins to deteriorate,the demand decreases as the deterioration time increases.Therefore,for retailers,it is of great significance to meet the needs of consumers while formulating a reasonable replenishment strategy,which is to improve consumer satisfaction and increase profits.This paper focuses on the inventory control problem of non-instantaneous deteriorating goods whose demand depends on the deterioration time in the case of out-of-stock non-replenishment and out-of-stock replenishment.The main concerns are two aspects:(1)Solve the optimal replenishment strategy for non-instantaneous deteriorating goods with deterioration-time-dependent demand in the absence of replenishment and full replenishment.(2)Exploring the impact of changes in the demand sensitivity to deterioration time,shelf life,the potential market demand,and shortage costs on the optimal inventory strategy for non-instantaneous deteriorating goods.In order to solve the above problems,this paper first analyzes the change of inventory level of non-instantaneous deteriorating goods with deterioration-time-dependent demand in the case of out-of-stock non-replenishment and out-of-stock replenishment,and establishes an inventory control model corresponding to it.Secondly,the two different models are solved separately to determine the optimal order quantity and the optimal order period of the inventory model.Finally,through numerical analysis,the effects of various factors on their optimal strategies are studied.When goods with deterioration-time-dependent demand in the case of out-of-stock non-replenishment and out-of-stock replenishment,the potential market demand has greatest impact on the average total cost of the inventory system,that is,choosing the products with the appropriate potential market demand is the most effective way to reduce the average total cost.The service level is most sensitive to the change of shortage cost.It is found that in the face of the same market conditions,the optimal ordering period when stocks are not replenished is longer than the optimal ordering period when stocks are completely replenished,but the average total cost is smaller than the latter.