Development of Fuzzy Inventory Model for Deteriorating Items with Shortages and Optimizing Its Cost

Abstract

In this study, we discuss the development of the inventory model and its cost optimization in fuzzy environment. We construct the total expected cost function and consequently compute the total optimal cost of the system in fuzzy environment. Finally, observations on total expected cost have been drawn with the help of numerical demonstration of the model.  A sensitivity analysis is also given to show the effect of change of parameters on the performance measure of the system.