Abstract:
This thesis addresses a production inventory model to maximize the expected average
profit considering fuzzines' of random demand and inventory holding cost along with
reliability of the production process. The classical inventory control models a,sume thm
products are produced by perfectly reliable production pwces, with a fixed set-up cost.
While the reliabil ity of the production proccs; cannol he increased \\,i(hout a price, its selup
cost can be reduced with investmcPI in flexibility and reliability improvement. In thi~
thesis, a production inventory model with reliability of production process consideration
is developed in an imprecise and uncertain mixed fuzlY environment. The goal of this
thesis is to introduce demand and inventory holding cost as a fuzzy random variable in an
imperfect production process. Hcrc. set.up cost and reliability of the production proce~~
along with production period arc decision var;ables and expected average profit is the
objective function which is to be maximized. Expected average profit 01.the model is a
-fuzzy quantity due to fuzzy-randomne<;s of the demand and inventory holding cost and its
graded mean integration value (GM!V) is optimized using unconstraint signomlal
geometric progr ••mmlng to determine optimal deci~i()n for thc decision maker. i\
numerical example has been presented to explain thc model.
