1. An EOQ model with fractional order rate of change of inventory level and time-varying holding cost.
- Author
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Pakhira, Rituparna, Mondal, Bapin, Ghosh, Uttam, and Sarkar, Susmita
- Subjects
- *
INVENTORY costs , *INVENTORIES , *DIFFERENTIAL inclusions , *SENSITIVITY analysis - Abstract
In this paper, an Economic Order Quantity (EOQ) model of a fractional order with time-varying holding cost is discussed in detail with the help of numerical computations. As is well known, financial variables possess memories, which makes it appropriate for developing fractional modeling to describe the effect of memory in the financial system. This paper is concerned with the issues of deterioration of the items of the inventory system where the importance of time-varying holding cost on the memory-dependent inventory model has been studied. For the inclusion of the memory effect, fractional order derivative and fractional order integration have been used. Illustrative numerical examples and graphical presentations are exploited to verify the efficiency of the effect of fractional rate of change of inventory model and memory-affected costs. The numerical result shows that the output of memory-affected systems is different from the output of memory-less and low-memory-affected systems. Sensitivity analysis has been carried out in long memory effect as well as low memory effect to highlight the critical parameters of the two different systems. Sensitivity analysis clears that in the long memory effect, a small change in deterioration rate can disturb the system but in the low memory effect, such type of disturbances does not arises. At last, some conclusions are recommended. [ABSTRACT FROM AUTHOR]
- Published
- 2024
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