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Determination of the Optimal Policy in a Two Level Inventory System, Using Information Sharing, with a Different Order Size

Yazdan Shenas, Nima | 2009

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  1. Type of Document: Ph.D. Dissertation
  2. Language: Farsi
  3. Document No: 39876 (01)
  4. University: Sharif University of Technology
  5. Department: Industrial Engineering
  6. Advisor(s): Eshraghniaye Jahromi, Abdolhamid
  7. Abstract:
  8. To coordinate between different echelons in supply chains, it is necessary to analyze the multi-echelon inventory systems. Access to advanced technologies in Information Technology make some changes in the inventory management in these systems. Theses technologies that were gradually got inexpensive are attractive for researchers of the multi-echelon inventory systems. Using theses technologies, the information that leads to costs reduction in a supply chain is accessible economically. In this thesis, first efficient solutions for Base Stock and Reorder point, Quantity of order policies will be derived. Then, a serial two-level supply chain comprised of one retailer and one supplier will be considered. In the assumed supply chain, the effect of information sharing for two groups of problems will be examined and the exact cost functions of them will be derived. In the first group, by considering the same quantities of order at the both level (the retailer’s and the supplier’s level) and order costs, the optimal values of control parameters will be calculated. In the second group, the order size at the supplier is a multiple integer to the retailer’s order size. Finally, for a two-level supply chain comprised of several identical retailers and one supplier, general bounds for the optimal value of the retailers’ reorder point will be derived. These bounds are valid for the problems with or without information sharing.

  9. Keywords:
  10. Goods Supply Chain Management ; Continuose Review ; Information Sharing ; Multi-Echelon Inventory Control ; Backordered Demand

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