A SUSTAINABLE DETERIORATING VENDOR MANAGED INVENTORY MODEL WITH GREEN INVESTMENTS AND PROMOTIONAL LEVEL DEPENDENT DEMAND
By
Dharmesh K Katariya¹* , Kunal Tarunkumar Shukla² and Nikhilkumar D Abhangi³
Department of Sciences and Humanities,
¹Shantilal Shah Engineering College, Bhavnagar, Gujarat, India 364060
²Vishwakarma Government Engineering College, Ahmedabad, Gujarat, India 382424
³Government Engineering College, Mavdi-Kankot Road, Rajkot, Gujarat, India 360005
Email: dkkatariya99@gmail.com (∗Corresponding author), drkunalshukla.maths@gmail.com, nikhil.abhangi@gmail.com
(Received: March 18, 2024; In format: April 07, 2024; Revised: May 01, 2024; Accepted May 08, 2024)
DOI: https://doi.org/10.58250/jnanabha.2024.54128
Abstract
An essential component of managing inventories involves making the right decisions at the right time. Decisions are made by the vendor rather than the buyer’s representatives in a vendor-managed inventory system. The proposed study is intended for only one buyer and vendor with a single type of deteriorating product. Transportation of inventory from vendor to buyer is main aspect of inventory management. Due to transportation system, carbon emitted in environment. To minimize the carbon emission, green investment technology used for sustain environment. In this article, developed a VMI model and traditional buyer model with demand is depending on green investment and its promotion level. The objective is to minimize total cost per time unit of supply chain with respect to optimal replenishment cycle time and green investment cost. The suggested model is validated with a numerical example and sensitivity analysis, and the results demonstrate that the VMI model performs better than the traditional buyer model.
2020 Mathematical Sciences Classification: 90B05, 90B10, 90B50
Keywords and Phrases: Vendor-managed Inventory (VMI), single vendor, single buyer, green investment dependent demand, deterioration, carbon emission.