Optimal issuing policy in production lot size system for items with Weibull deterioration

Abstract The effect of two issuing policies, LIFO and FIFO, on the inventory level in a production lot size model for items with varying rate of deterioration is studied An implicit form of inventory level under each policy is developed for each phase of a cycle which is shown to be consistent with known extreme cases A numerical solution procedure employing the Runge-Kutta method and Simpson's Rule is developed to select a preferable policy in terms of the amount deteriorated per unit time.