INVENTORY SYSTEM WITH QUEUING FOR SERVING DIVERSE CUSTOMERS

Abstract

In this study, we analyze a stochastic inventory system characterized by an infinite-source customer population generating three distinct types of demand. The first type requires only goods, the second type demands both goods and services, and the third type requires only service. A dedicated service facility is available to serve Type 2 and Type 3 customers, comprising a single server and an infinite-capacity queue operating under first-come, first-served (FCFS) policy. To enhance the models realism, it is developed using a continuous-time Markov process under appropriate stochastic assumptions. We derive the limiting distribution to examine the long-run behavior of the system under steady-state conditions. Furthermore, the study defines and evaluates essential performance metrics of the proposed system. The analytical findings are supported with numerical illustrations to demonstrate the effectiveness and operational insights of the proposed model