A Model Inventory / Production of Single Vendor and Single Buyer by Considering Shortage and Rate of Deterioration, Lead Time Uncertainty Based Approach the Dempster-Shafer Theory

In the real world, there is much uncertainty. The stochastic, fuzzy, fuzzy-stochastic, and evince methods, have been used for considering these uncertain conditions. The fuzzy method, as the most common one, has been broadly used in this direction. Yet fuzzy may not consider all of the uncertain conditions, such as unassigned, incomplete and interval data. Therefore, using evidence theory has been considered as the proposed approach to issues that are the interval basis, and also it is suitable for low data. In this paper, a continuous inventory model is presented with a single vendor, and a single buyer in a state of shortage, where deterioration rate is considered for the goods, and the demand is used as a log-normal. Also, lead time and deterioration rate, are considered uncertain based on Dempster-Shafer theory. The proposed model objective is minimizing the inventory system’s total cost. The model is solved by several numerical examples, and finally, the sensitivity problem is analyzed.