Article ID: | iaor20061120 |
Country: | South Africa |
Volume: | 20 |
Issue: | 2 |
Start Page Number: | 109 |
End Page Number: | 124 |
Publication Date: | Jan 2004 |
Journal: | Orion |
Authors: | Yadavalli V.S.S., Schoor C. de W. van, Strasheim J.J., Udayabaskaran S. |
Keywords: | stochastic processes |
The paper describes a single perishing product inventory model in which items deteriorate in two phases and then perish. An independent demand takes place at constant rates for items in both phases. A demand for an item in Phase I not satisfied may be satisfied by an item in Phase II, based on a probability measure. Demand for items in Phase II during stock-out is lost. The re-ordering policy is an adjustable (