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An application of tournament genetic algorithm in a marketing oriented economic production lot-size model for deteriorating items

By A.K. Bhunia, S. Kundu, T. Sannigrahi and S.K. Goyal


The goal of this research is to discuss an application of tournament genetic algorithm (TGA) for solving an economic production lot-size (EPL) model. In this model, the production rate of the item is finite and it is assumed to be a decision variable. The demand rate is also a deterministic function of selling price and the marketing cost. The selling price per unit item is determined by a mark-up over the unit production cost. The deterioration rate at any instant is a linear increasing/decreasing function of time. Partial backlogging shortages are allowed with a variable rate dependent on the length of the waiting time up to the starting of next production. This model is formulated as a highly non-linear constrained optimization problem. To solve this problem, a TGA with steady-state selection, whole arithmetic crossover and non-uniform mutation has been developed and applied. The model has been illustrated with three numerical examples. Finally, sensitivity analyses have been shown graphically to study the variations of the average profit with respect to the different parameters.Genetic algorithm Production Deterioration Partial backlogging Variable demand

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