Optimization of Order-up-to-S Policies in Two-Echelon Inventory Systems with Periodic Review
Författare
Summary, in Swedish
Abstract in Undetermined
We consider an inventory system with one warehouse and N retailers. Transportation times are constant and the retailers face independent Poisson demand. Each facility applies a periodic review order-up-to-S policy. In case of shortages at the warehouse, orders for individual units are filled in the same order as the original demand at the retailers, i.e., according to a so-called virtual allocation scheme. Using that the considered policy is very similar to a continuous review one-for-one ordering policy, we are able to provide simple recursive procedures for exact evaluation of holding and shortage costs.
We consider an inventory system with one warehouse and N retailers. Transportation times are constant and the retailers face independent Poisson demand. Each facility applies a periodic review order-up-to-S policy. In case of shortages at the warehouse, orders for individual units are filled in the same order as the original demand at the retailers, i.e., according to a so-called virtual allocation scheme. Using that the considered policy is very similar to a continuous review one-for-one ordering policy, we are able to provide simple recursive procedures for exact evaluation of holding and shortage costs.
Avdelning/ar
Publiceringsår
1993
Språk
Engelska
Sidor
245-253
Publikation/Tidskrift/Serie
Naval Research Logistics
Volym
40
Issue
2
Länkar
Dokumenttyp
Artikel i tidskrift
Förlag
John Wiley & Sons Inc.
Ämne
- Transport Systems and Logistics
Status
Published
ISBN/ISSN/Övrigt
- ISSN: 0894-069X