Multi-item fuzzy inventory model with three constraints: Genetic algorithm approach

In this paper a multi-item fuzzy inventory model under total production cost, total storage space and number of orders constraints is solved with a Genetic Algorithm. In this model, the production cost and set up cost are directly proportional to the respective quantities, unit production cost is inversely related to the demand and set up cost is assumed to vary directly with lot size. Also Shortages are allowed. However this approach has been applied to solve the model under fuzzy objective of cost minimization and imprecise constraints on storage space, number of orders and production cost with imprecise inventory costs. This model has been formulated as FNLP problem and then converted to equivalent crisp decision making problems and solved by a Genetic Algorithm. Finally the model is illustrated with a numerical example.