A NOTE ON EPQ MODEL FOR SEASONAL PERISHABLE PRODUCTS WITH STOCK DEPENDENT DEMAND
Abstract
A single item, single cycle economic production quantity model for perishable products is proposed where the demand is two-component and stock dependent. The production inventory scenario of products like cake, bread, fast foods, fishes, garments, cosmetics etc in the festival season is considered. The profit function is formulated under the assumption that the time period of the festival seasons is fixed and the display capacity of the produced item is limited. In the formulation process, to introduce more flexibility, a goal programming technique is incorporated to achieve the producer's desired profit and stock of as much inventory as possible below the display capacity level. A numerical example is presented to illustrate the proposed model. A sensitivity analysis of the model is also carried out.
