Solution of an Ameliorating Inventory Model with Ramp-type of Demand and Inflation: A Fuzzy Optimization Approach

Abstract

In this article, ameliorating items whose quality improves during the early stages of an inventory cycle are considered. The demand rate for ameliorating items is generally unstable. There are times when it rises, periods when it stays the same, and times when it falls. Therefore, a ramp-type demand is allowed to provide a realistic view. Inflation is included in the model. To capture the real-life uncertainties and imprecision of the parameters, an intuitionistic fuzzy number is considered. A numerical example shows that a fuzzy model can achieve the maximum profit at all times, unlike deterministic models. Sensitivity analysis demonstrates the model's real-world applicability to the parameter values. Finally, managerial insights are provided to help the decision-maker make an informed decision.