Analysis of the effect of emergency lateral transshipment on a multi-echelon inventory model in SCM Environment

SCM 환경의 다단계 재고모형에서 긴급상호대차의 효과에 관한 연구

  • Published : 2002.05.01

Abstract

This paper deals with a continuous-review two-echelon inventory model with one-for-one replenishment and Poisson demand where transshipments among retailers are allowed. Two classes of inventory systems are considered by the number of distribution centers(DCs) which provide each retailor with inventory items. 1:N class inventory system and M:N class inventory system respectively. Two-phase model is constructed to find out the optimal inventory positions which minimize supply chain costs. Approximations for customer service levels of the system are evaluated in the first phase, and the optimal inventory positions are found subject to the constraints for service level in the second phase. Simulation tests are performed to assure the effectiveness of the proposed model. The effect of transshipment is evaluated.

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