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Queueing system with inventory for two-echelon supply chain

Saffari, M ; Sharif University of Technology

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  1. Type of Document: Article
  2. Abstract:
  3. In this paper a two-echelon supply chain consisting of a supplier and aretailer is considered, Customers refer to retailer according to a Poissonprocess and retailer uses one for one inventory policy. Supplier followscontinuous review (r,Q) policy. Satisfying each demand which arrives to thesupplier needs an on hand-inventory and a process/service. Process/service andreplenishment lead times are random variables which are exponentiallydistributed. During a period that supplier has non zero on-hand inventory,arriving demands from retailer join the queue. But when supplier has no on-handinventory retailer buys product from the other source with zero lead time andadditional cost. In this paper we calculate long-term performance measures ofthe systems that are used to minimize the supply chain costs. © 2009 IEEE
  4. Keywords:
  5. Inventory ; Inventory policies ; Lead time ; Long term performance ; On-hand inventory ; Queueing system ; Stationary distribution ; Supply chain costs ; Tow-echelon supply chain ; Two-echelon supply chain ; Industrial engineering ; Queueing networks ; Queueing theory ; Random variables ; Supply chain management ; Supply chains ; Sales
  6. Source: 2009 International Conference on Computers and Industrial Engineering, CIE 2009, 6 July 2009 through 9 July 2009, Troyes ; 2009 , Pages 835-838 ; 9781424441365 (ISBN)
  7. URL: http://ieeexplore.ieee.org/document/5223801