Analysis of multi-item inventory systems under resource constraints: A non-linear goal programming approach

Abstract

This paper presents an approach to study multi-item inventory systems operating under several simultaneous resource constraints employing the Non-linear Goal Programming (NLGP) technique. A solution procedure based on the ‘complex method’ is employed which eliminates the drawbacks in the existing algorithms. Multiple and conflicting goals can be considered in the approach proposed whereas in the existing approaches to inventory systems under resource constraints this was not possible. Four types of cases are considered to illustrate the approach. Results have been compared with existing approaches wherever available. In other situations modelled; the results look intuitively satisfying. It is envisaged that interactive software based on this technique may help support decision making effectively in a multi-criteria situation.