Transient analysis of level dependent perishable inventory system in supply chain environment

This paper analyzes an time dependent(s,S) Inventory system in supply chain environment. In this paper, we consider a level dependent perishable inventory system, where raw materials arrive from two warehouses which are situated nearby the central processing unit. Arrival of demands follows Poisson process with rate. Production takes place when at least one component of each category is available in both the warehouses. Replenishment for the warehouses occurs in negligible time once the component amounts reaches to zero unit. It is assumed that the initially inventory level is in Sand system is in OFF mode. Inventory level decreases due to demands and perish ability. When the inventory level reaches to s then the system converted ON mode from OFF mode. The production follows exponentially distributed with parameterµ. Perish ability follows exponentially distributed with parameter θ. Perish ability will be level dependent that is rate of perish ability will depend on the amount of inventory available in the stock. Transient State analysis is made and some system characteristics are evaluated by numerical illustration.