Stochastic Inventory System with Compliment Item and Retrial Customers
In this chapter, the author consider a two commodity stochastic inventory system under continuous review with maximum capacity of i-th commodity is Si(i=1,2). In this two commodity one is main item and the other is compliment item. It is assumed that demand for the i-th commodity is of unit size and demand time points form a Poisson process. The compliment item is supplied as a gift whenever the demand occurs for the main item, but no main item is provided as a gift for demanding a compliment item. Reordering for supply is initiated as soon as the on-hand inventory level of the main item reaches a certain level s1, and there is a lead time until the reorder arrives but instantaneous replenishment for the compliment item. The arriving any primary demands enter into an orbit, when the inventory level of main item is zero. The limiting probability distribution for both commodities and the number of demands in the orbit, is computed and various operational characteristics are derived. The results are illustrated with numerical examples.