A Deterministic Multi-Objective Optimization Process of Multi-Item Inventory Management in Fmcg Industry
Ayush Agrawal1, Lokesh Vijayvargy2, Srikant Gupta3
1Ayush Agrawal, PGDM, student, Jaipuria Institute of Management, Jaipur.
2LokeshVijayvargy, Associate Professor, Decision Sciences & Operations Management at Jaipuria Institute of Management, Jaipur
3Srikant Gupta, Assistant Professor in the Jaipuria Institute of Management, Jaipur.
Manuscript received on January 02, 2020. | Revised Manuscript received on January 15, 2020. | Manuscript published on January 30, 2020. | PP: 261-266 | Volume-8 Issue-5, January 2020. | Retrieval Number: D9192118419/2020©BEIESP | DOI: 10.35940/ijrte.D9192.018520
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© The Authors. Blue Eyes Intelligence Engineering and Sciences Publication (BEIESP). This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/)
Abstract: The inventory management is the crucial part of any of the company’s, and nowadays, they find challenging to perceive out the optimal quantity level needed to overcome from shortages problem and also to reduce the wastages.In this paper, we used a multi-criteria decision-making for formulating the inventory management problem without shortages with the aim of optimizing profit and holding cost of the company simultaneously. We have also considered both ordering cost and storage cost as a non-linear function of the rapid stock level. In addition we used linear goal programming to find out the minimum optimal quantity level to put in the inventory to reduce out of stock situation. Finally, a numerical illustration of FMCG Company has been taken to show the application of proposed work.
Keywords: Inventory Management; Linear Fractional Programming; Multi-Criteria Decision-Making; Goal Programming.
Scope of the Article: Data Management.