Two warehouse dispatching policies for perishable items with freshness efforts, inflationary conditions and partial backlogging
| Autor: | Dinesh Kumar, Kanika Prasad, Ranveer Singh Rana |
|---|---|
| Rok vydání: | 2021 |
| Předmět: |
Inflation
021103 operations research Profit (accounting) Operations research Strategy and Management media_common.quotation_subject Stockout 05 social sciences 0211 other engineering and technologies 02 engineering and technology Management Science and Operations Research Industrial and Manufacturing Engineering Warehouse Product (business) FIFO and LIFO accounting Management of Technology and Innovation 0502 economics and business Quality (business) Customer satisfaction Business 050203 business & management media_common |
| Zdroj: | Operations Management Research. 15:28-45 |
| ISSN: | 1936-9743 1936-9735 |
| DOI: | 10.1007/s12063-020-00168-7 |
| Popis: | Application of freshness preservation technologies in case of perishable inventory management can play a vital role in mitigating the losses that occur due to deterioration of perishable inventory, typical perishable inventory includes Agri-fresh products like fresh fruits, fresh meat, fresh vegetables, seafood and packed foods. In case of perishable inventory price as well as freshness both decide the demand, so supplying a fresh product at a competitive price creates more customer satisfaction and makes a firm profitable. This paper develops two warehouse dispatching policies, first in, first out (FIFO) and last in, first out (LIFO) for perishable items taking deterioration into account. Demand varies as a function of price and freshness keeping effort. As the price increases and freshness keeping efforts decreases, demand decreases, and vice versa. Stockout is allowed, and during the stockout period as the waiting time increases backlogging rate decreases exponentially. Inflation is considered while calculating different costs. The objective of this paper is to determine the optimum price per unit item and lot size to maximize the profit. The sensitivity of the models is examined through the design of experiment. The present models are applicable for perishable items that start losing their quality immediately after arriving into the system. |
| Databáze: | OpenAIRE |
| Externí odkaz: |
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