In this paper, we consider fuzzy inventory with backorder. First, we fuzzify the storing cost a, backorder cost b, cost of placing an order c, total demand r, order quantity q, and shortage quantity s as the triangular fuzzy numbers in the total cost. From these, we can obtain the fuzzy total cost. Using the signed distance method to defuzzify, we get the estimate of the total cost in the fuzzy sense. Two special cases of the optimal solutions on fuzzifying the storage quantity and order quantity as triangular fuzzy numbers will be treated numerically by the Nedler-Mead algorithm.
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JOURNAL OF INFORMATION SCIENCE AND ENGINEERING v.21 n.4 Pages: 673-694
