Abstract

This paper develops a generalized inventory model for decaying items with ramp type demand rate under\nlearning effect. Keeping in view the concern about that the performance of a system engaged in a repetitive process\nimproves with time, this phenomenon is referred to as the ‘learning effect’. It would be unethical if the effect of learning\nis not considered while determining the optimal inventory policy. Moreover, deterioration of items is a general\nphenomenon; due to this phenomenon the item may not serve the purpose after a period of time and will have to be\ndiscarded as it cannot be used to satisfy the future demand of customers. Thus for managing inventory in a realistic\nscenario, the effect of deterioration cannot be disregarded. In this paper we used ramp type function of time for demand.\nBy analyzing the model, an efficient solution procedure is proposed to determine the optimal costs for two different\ncases. Finally, numerical examples are provided to illustrate the theoretical results and a sensitivity analysis of the major\nparameters with respect to the stability of optimal solution is also carried out.