Date of Publication :8th September 2024

Abstract:This study presents a comparative analysis of inventory models incorporating lost sales and random deterioration, focusing on their effectiveness and applicability in managing inventory systems. We investigate various inventory models where lost sales and random deterioration are integral factors, comparing their performance in different scenarios. The research highlights the complexities of managing inventory when products face the risk of deterioration and potential loss of sales due to stockouts. We evaluate models based on criteria such as cost efficiency, service levels, and inventory turnover rates. Our comparative study encompasses classical inventory models and advanced approaches, including stochastic inventory control and dynamic programming methods. The findings provide insights into which models offer the best balance between minimizing costs and maximizing service levels, considering the uncertainties associated with random deterioration and lost sales. This analysis is crucial for businesses aiming to optimize their inventory management strategies under real-world conditions of unpredictability and risk.

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