Papers by Chandra K. Jaggi
International Journal of Systems Science: Operations & Logistics, Jul 25, 2017
We analyse the combine effect of trade credit period, storage space and changing demand on the re... more We analyse the combine effect of trade credit period, storage space and changing demand on the retailer's ordering policy. The results are validated with numerical examples and sensitivity analysis. Some significant observations and managerial insights are drawn. The practical application of the proposed model is discussed.
Scientia Iranica, Feb 1, 2017
Regularly, manufacturing systems produce perfect and imperfect quality items. The perfect items s... more Regularly, manufacturing systems produce perfect and imperfect quality items. The perfect items start deteriorating as soon as they enter inventory. On the other hand, the suppliers make a delay in payment in order to motivate their buyers to purchase more products. This paper develops a two-warehouse inventory model that jointly considers the imperfect quality items, deterioration, and one level of trade credit. The proposed inventory model optimizes the order quantity to maximize the total pro t per unit time. Finally, the proposed inventory model and its solution procedure are validated with numerical examples and a sensitivity analysis is done to show how inventory model reacts to changes in parameters.
Research Square (Research Square), Jul 26, 2022
The humanitarian relief chain is one of the most critical components of a disaster relief operati... more The humanitarian relief chain is one of the most critical components of a disaster relief operation. The present work develops a nonlinear programming approach for disaster relief logistics under risk with uncertainty. In this approach, demands and supplies and the cost of inventory and transportation are considered depending on the severity of the disaster. Furthermore, the model considers the demand for the affected locations where the demand fluctuates due to the new entrants and individuals leaving relief camps. The discussed multi-product inventory relief chain model attempts to minimize the sum of the relief chain's transportation and total costs while considering inventory and disposal of damaged units. The transportation cost is affected by the severity of the disaster and a risk factor associated with affected locations. Assuming these costs, mixed-integer nonlinear programming is constructed and demonstrated with a numerical example. A numerical example with sensitivity analysis with multiple cost parameters is presented to improve relief supply chain planning in disaster scenarios. The results suggest that the proposed model can help decision-making about facility location and relief supplies distribution during disaster relief efforts.
A Fuzzy Inventory Model for Deteriorating Items with Initial Inspection and Allowable Shortage under the Condition of Permissible Delay in Payment
This paper develops an economic order quantity model for deteriorating items with initial inspect... more This paper develops an economic order quantity model for deteriorating items with initial inspection, allowable shortage under the condition of permissible delay in payment by fuzzify the interest payable, interest earned rate and inventory carrying charge based on as interval valued triangular fuzzy numbers to fit the real word. The total fuzzy cost function has been defuzzified using signed distance and centroid method. Comparison between these two methods has also been discussed. The convexity of the cost function has been illustrated on a well defined convex set, which ensure that local solution is global. The validity of the model has been established with the help of a hypothetical numerical example. Finally the effect of the fuzziness on the model has been illustrated in table 1 and 2
Investigación operacional, 2011
In an EOQ model it is tacitly assumed that the 100% items in a lot are of perfect quality. This i... more In an EOQ model it is tacitly assumed that the 100% items in a lot are of perfect quality. This is possible only under very idealistic situation but practically this assumption may not be true. Thus, the inspection of lot becomes indispensable in all public and private sector organizations. Moreover, it plays a very significant role when the products are of deteriorating in nature. In this paper an attempt has been made to formulate an inventory model for deteriorating items with imperfect quality. The inspection/screening rate i s assumed to be more than the demand. This assumption helps one to fulfill the demand, out of the products which are found to be of perfect quality, along with the screening process. A hypothetical example is considered to validate the model and results are obtained using Matlab7.0.1. Comprehensive sensitivity analysis has also been presented.
International Journal of Industrial Engineering Computations, 2015
In the existing literature of inventory modeling under the conditions of permissible delay in pay... more In the existing literature of inventory modeling under the conditions of permissible delay in payments, researchers have assumed that the retailers have to settle their accounts at the end of credit period i.e. supplier accept only full amount at the end of the credit period. However in reality, supplier may either accept the partial amount at the end of the credit period and unpaid balance subsequently or the full amount at a fix point of time after the expiry of the credit period, if the retailer finances the inventory from the supplier itself. Further, in the classical deteriorating inventory models, the common unrealistic assumption is that all the items start to deteriorate as soon as they arrive in the system. However, in realistic environment, it is observed that there are several non-instantaneous deteriorating items that have a shelf life and start to deteriorate after a time lag, like dry fruits, potatoes, yams and even some fruits and vegetables etc. Considering the importance of above mentioned facts, the present study formulates a fuzzy inventory model for non-instantaneous deteriorating items under conditions of permissible delay in payments. The paper discusses all the possible cases which may arise and yet not considered in the previous inventory models under permissible delay in payments. Further, this paper also considers pricedependent demand and the possibility of higher interest earn rate than interest payable rate. The objective of this study is to determine the optimal decision policies for the retailer which maximizes the total profit. Finally, the numerical examples are solved by using the proposed algorithm to show the validity of the model followed by the sensitivity analysis.
Annals of Operations Research, Apr 5, 2016
In the classical inventory models, the common unrealistic assumption is that all the items produc... more In the classical inventory models, the common unrealistic assumption is that all the items produced are of good quality in nature. However, in realistic environment, it can be observed that there may be some defective items in an ordered lot. These items are usually picked up during the screening process and are sold as a single lot at the end of screening process. Further, it is tacitly assumed that the supplier must be paid for the items as soon as the items are received. Whereas, in today business transaction, it is common to see that the retailer is allowed some grace period before they settle the account with the supplier. Under this scenario, a new inventory model for imperfect quality items has been developed under permissible delay in payments. Shortages are allowed and fully backlogged, which are eliminated during screening process as it has been assumed that screening rate is greater than the demand rate. This model jointly optimizes the order quantity and shortages by maximizing the expected total profit. Results have been validated with the help of numerical example using Matlab 7.0.1. Comprehensive sensitivity analysis has also been presented.
Scientia Iranica, Dec 26, 2022
The COVID-19 pandemic has resulted in disruption of many supply chains, majorly after the announc... more The COVID-19 pandemic has resulted in disruption of many supply chains, majorly after the announcement of lockdown in numerous countries as a precaution for the novel coronavirus transmission. The decisions regarding inventory policies are greatly affected by the production rates and volumes, hence during this pandemic, flexibility in production rates and volumes becomes a necessity to handle demand uncertainties. Another big challenge that comes upfront is about rebuilding trust cum awareness in consumers about safe production, services, home deliveries through constant investment in advertisements. As quality and safety becomes the need of the hour, the manufacturers cannot afford any chance to compromise with supreme quality standards. Hence, the paper employs two stage rigorous inspection practices for the imperfect products that arise from the production process, the first inspection process being error prone (delivering Type-I and Type-II errors) while the second one being perfect. The developed model maximizes the manufacturer's total profit by optimizing the investment in service and advertisement with flexible production rate. A numerical example and comprehensive sensitivity analysis are illustrated to support the pragmatism of the model.
International Journal of Modeling and Optimization, 2014
In the classical inventory models, most of the time the issue of quality of the items has not bee... more In the classical inventory models, most of the time the issue of quality of the items has not been given due attention. However, in realistic environment, it can be observed that there may be some defective items in an ordered lot, because of these defective items retailer may incurs additional cost due to rejection, repair and refund etc. Thus, inspection/screening of lot becomes essential in most of the organizations. Shortages may occur due to defective items, which can be prevented by placing an order at the time when the inventory level is good enough to meet the demand during the screening process. Further, it is generally assumed that payment will be made to the supplier for the goods immediately after receiving the consignment. Whereas, in practice, supplier does offers a certain fixed period to the retailer for settling the account. During this period, supplier charges no interest, but beyond this period interest is being charged as has been agreed upon. On the other hand, retailer can earn interest on the revenue generated during this period. Keeping this scenario in mind, an attempt has been made to formulate an inventory model for imperfect quality items under the condition of permissible delay in payments. Results have been validated with the help of a numerical example. Comprehensive sensitivity analysis has also been presented.
International Journal of Industrial Engineering Computations, 2016
As the long arm of the grinding, deep financial crisis continues to haunt the global economy, the... more As the long arm of the grinding, deep financial crisis continues to haunt the global economy, the effects of inflation and time value of money cannot be oblivious to an inventory system. Inflation, defined as a general rise in the prices of goods and services over a period of time, has monetary depreciation as one of its major side effects. And, since inventories correspond to substantial investment in capital for any organization, it would be unethical if the effects of inflation and time value of money are not considered while determining the optimal inventory policy. Moreover, deterioration of items is a phenomenon which cannot be ignored, as it may yield misleading results. Further, under the inflationary conditions, the different cost parameters including the price are bound to vary from cycle to cycle over the planning horizon. Another important factor is shortages which no retailer would prefer, and in practice are partially backlogged and partially lost. In order to convert the lost sales into sales, the retailer offers such customers an incentive, by charging them the price prevailing at the time of placing an order, instead of the current inflated price. Therefore, bearing in mind these facts, the present paper develops an inventory model for a retailer dealing with deteriorating items under inflationary conditions over a fixed planning horizon. The objective is to derive the optimal number of cycles and cycle length that maximizes the net present value of the total profit over a fixed planning horizon. An appropriate algorithm has been proposed to obtain the optimal solution. Finally, a numerical example is provided to illustrate the proposed model. Sensitivity analysis of the optimal solution with respect to major parameters is carried out and some managerial inferences have been presented.
International Journal of Mathematics in Operational Research, 2010
In today's world the financial decisions of any business/retail enterprise are very crucial, as f... more In today's world the financial decisions of any business/retail enterprise are very crucial, as from the financial standpoint, an inventory i.e., stock on display represents a capital investment and must compete with other assets for a firm's limited capital funds. Moreover, rising inflation rate directly affects the financial situation of an organization. On the contrary, the today's market is totally customer oriented which forces the retailer to invest more on stock in order to attract more and more customers. Further, this situation becomes more challenging when the retailer is dealing with deteriorating items. Apart from all this, the trade credit also plays a vital role in the financial decision making, as it helps in reducing the costs of holding stock. Keeping such a scenario in mind, this paper develops an inventory model for deteriorating items with stock-dependent consumption rate and allowable shortages under inflation and permissible delay in payments. Finally the model has been validated through numerical examples.
International Journal of Procurement Management, 2017
The main objective of this paper is to model the retailer's cost minimisation retail strategy whe... more The main objective of this paper is to model the retailer's cost minimisation retail strategy when he confronts with the supplier trade promotion offer of credit policy of the type 'd/D 1 Net D' under inflationary conditions and inflation-induced demand. A simple-to-use algorithm has been used to obtain the optimal order quantity and total cost. Results have been validated with the help of numerical example along with the sensitivity analysis.
International Journal of Operational Research, 2019
In the classical inventory models, the common unrealistic assumption is that all the items produc... more In the classical inventory models, the common unrealistic assumption is that all the items produced are of good quality in nature. However, in realistic environment, it can be observed that there may be some defective items in an ordered lot. These items are usually picked up during the screening process and are sold as a single lot at the end of screening process. Further, it is tacitly assumed that the supplier must be paid for the items as soon as the items are received. Whereas, in today business transaction, it is common to see that the retailer is allowed some grace period before they settle the account with the supplier. Under this scenario, a new inventory model for imperfect quality items has been developed under permissible delay in payments. Shortages are allowed and fully backlogged, which are eliminated during screening process as it has been assumed that screening rate is greater than the demand rate. This model jointly optimizes the order quantity and shortages by maximizing the expected total profit. Results have been validated with the help of numerical example using Matlab 7.0.1. Comprehensive sensitivity analysis has also been presented.
International Journal of Advanced Operations Management, 2009
The main objective of this paper is to model the retailer's cost minimisation retail strategy whe... more The main objective of this paper is to model the retailer's cost minimisation retail strategy when he confronts with the supplier trade promotion offer of credit policy of the type 'd/D 1 Net D' under inflationary conditions and inflation-induced demand. A simple-to-use algorithm has been used to obtain the optimal order quantity and total cost. Results have been validated with the help of numerical example along with the sensitivity analysis.
International Journal of Industrial Engineering Computations, Apr 1, 2011
In the classical inventory models, most of the time the issue of quality has not been considered.... more In the classical inventory models, most of the time the issue of quality has not been considered. However, in realistic environment, it can be observed that there may be some defective items in an ordered lot, because of these defective items retailer incurs additional cost due to rejection, repair and refund etc. Thus, inspection/screening of lot becomes indispensible in most of the organizations. Moreover, it plays a very essential role when items are of deteriorating in nature. Further, it is generally assumed that payment will be made to the supplier for the goods immediately after receiving the consignment. Whereas, in practice, supplier does offers a certain fixed period to the retailer for settling the account. During this period, supplier charges no interest, but beyond this period interest is being charged as has been agreed upon. On the other hand, retailer can earn interest on the revenue generated during this period. Keeping this scenario in mind, an attempt has been made to formulate an inventory model for deteriorating items with imperfect quality under permissible delay in payments. Results have been validated with the help of a numerical example using Matlab7.0.1. Comprehensive sensitivity analysis has also been presented.
Investigación Operacional, Apr 5, 2018
A two-warehouse inventory problem for non-instantaneous deteriorating items with constant demand ... more A two-warehouse inventory problem for non-instantaneous deteriorating items with constant demand rate under different dispatching policies is premeditated. While formulating the inventory model for deteriorating items, usually it is assumed that the items start deteriorating as soon as they enter into the warehouse. However, there are numerous products like dry fruits, food grains etc. that have a shelf-life and start deteriorating after a time lag that is termed as non-instantaneous deterioration. Moreover, at times there are situations like eye catching price discount, low cost storage, huge demand etc. and under such a situation one may decide to procure large quantity of the items which would arise the problem of storing. As the capacity of own warehouse is limited, therefore one has to hire another warehouse to store the excess quantity. To incorporate above scenario, a two-warehouse inventory model for non-instantaneous deteriorating item under different dispatching policy i.e. LIFO, FIFO has been developed. Shortages are allowed and partially backlogged. A simple solution procedure has been provided to determine the optimal replenishment schedule. Further, the comparative study of two models i.e. LIFO and FIFO has been performed followed by the sensitivity analysis of the optimal solution with respect to major parameters is also carried out.
RAIRO - Operations Research
Amidst the unprecedented COVID-19 pandemic, the online grocery retail industry has faced signific... more Amidst the unprecedented COVID-19 pandemic, the online grocery retail industry has faced significant obstacles. To overcome these challenges and adapt to shifting customer attitudes, retailers must embrace innovative strategies. These include implementing a home delivery service with rigorous sanitization measures, leveraging social media advertising to enhance consumer awareness, and utilizing preservation technology to uphold grocery items’ quality and freshness. In such a dynamic setting, it is only rational to acknowledge that the demand for products relies heavily upon the delivery firm’s service performance and the awareness it generates. The present study explores these vital investments within the online grocery retail store, comparing them with models lacking such investments. By optimizing investments in preservation technology, service, and advertisement, the model seeks to maximize the retailer’s overall profit. The findings unequivocally demonstrate that despite incurri...
Sustainable production model with advertisement and market price dependent demand under salvage option for defectives
OPSEARCH
Sustainable inventory management for a closed-loop supply chain with learning effect and carbon emission under the multi-shipment policy
International Journal of System Assurance Engineering and Management
AIMS International Journal of Management
Supply chain management is the flow of materials, information, and finances from one level to ano... more Supply chain management is the flow of materials, information, and finances from one level to another. It is said to be effective if right information can be traversed in both the directions in right time. If this information is distorted at any level of supply chain it is called bullwhip effect. The bullwhip effect always remains a matter of concern in supply chain and demonetization has amplified it many fold. Not long ago, Demonetization in India had not only affected the supply chain adversely but also scarcity of cash had imposed a threat on day to day business. In this paper, an attempt has been made to establish that the demonetization can be one of the major causes of bullwhip effect. With the help of data collected from RBI reports, a complete analysis has been done in support of this very fact. Moreover, some remedies are suggested to overcome the said problem in supply chain due to demonetization.