Networked base-stock policy for continuous-review goods distribution systems with uncertain demand

2017 ◽  
Author(s):  
Przemyslaw Ignaciuk
Keyword(s):  
Distribution Systems ◽  
Base Stock ◽  
Uncertain Demand ◽  
Continuous Review ◽  
Base Stock Policy ◽  
Stock Policy

scholarly journals Two-Echelon Inventory Model With Service Consideration and Lateral Transshipment

2021 ◽  
Vol 20 ◽  
pp. 108-123
Author(s):  
Samuel Chiabom Zelibe ◽  
Unanaowo Nyong Bassey
Keyword(s):  
Steady State ◽  
Poisson Process ◽  
Inventory Model ◽  
Base Stock ◽  
Computational Experiments ◽  
Stock Level ◽  
Continuous Review ◽  
Base Stock Policy ◽  
Lateral Transshipment ◽  
Stock Policy

This paper considers a two-echelon inventory system with service consideration and lateral transshipment. So far, researchers have not extensively considered the use of lateral transshipment for such systems. Demand arrivals at both echelons follow the Poisson process. We introduce a continuous review base stock policy for the system in steady state, which determined the expected level for on-hand inventory, expected lateral transshipment level and expected backorder level. We showed that the model satisfied convexity with respect to base stock level. Computational experiments showed that the model with lateral transshipment performed better that the model without lateral transshipment.

Optimality of Base Stock Policy under Unknown Demand Distributions: New Results and a New Method

2021 ◽  
Author(s):  
Alain Bensoussan ◽  
Suresh Sethi ◽  
Abdoulaye Thiam ◽  
Janos Turi
Keyword(s):  
Base Stock ◽  
New Method ◽  
Base Stock Policy ◽  
Stock Policy

scholarly journals Base stock policy with retrial demands

2013 ◽  
Vol 37 (6) ◽  
pp. 4464-4473 ◽  
Author(s):  
N. Anbazhagan ◽  
Jinting Wang ◽  
D. Gomathi
Keyword(s):  
Base Stock ◽  
Base Stock Policy ◽  
Stock Policy

Service Level Relationships in Multi-stage Systems under the Base Stock Policy

OPSEARCH ◽  
2002 ◽  
Vol 39 (3-4) ◽  
pp. 230-242
Author(s):  
Subrata Mitra ◽  
Ashis K. Chatterjee
Keyword(s):  
Service Level ◽  
Base Stock ◽  
Base Stock Policy ◽  
Multi Stage ◽  
Stock Policy

Understanding the Performance of Capped Base-Stock Policies in Lost-Sales Inventory Models

2020 ◽  
Author(s):  
Linwei Xin
Keyword(s):  
Base Stock ◽  
Superior Performance ◽  
Lead Times ◽  
Lost Sales ◽  
Index Policy ◽  
Stock Level ◽  
New Family ◽  
Base Stock Policy ◽  
Stock Policy ◽  
Base Stock Policies

Single-sourcing lost-sales inventory systems with lead times are notoriously difficult to optimize. In this paper, we propose a new family of capped base-stock policies and provide a new perspective on constructing a practical hybrid policy combining two well-known heuristics: base-stock and constant-order policies. Each capped base-stock policy is associated with two parameters: a base-stock level and an order cap. We prove that for any fixed order cap, the capped base-stock policy converges exponentially fast in the base-stock level to a constant-order policy, providing a theoretical foundation for a phenomenon by which a capped dual-index policy converges numerically to a tailored base-surge policy recently observed in other work in a different but related dual-sourcing inventory model. As a consequence, there exists a sequence of capped base-stock policies that are asymptotically optimal as the lead time grows. We also numerically demonstrate its superior performance in general (including small lead times) by comparing it with otherwell-known heuristics.

Analysis of lead time correlation under a base-stock policy

2019 ◽  
Vol 276 (2) ◽  
pp. 519-535 ◽  
Author(s):  
Tim Hellemans ◽  
Robert N. Boute ◽  
Benny Van Houdt
Keyword(s):  
Lead Time ◽  
Time Correlation ◽  
Base Stock ◽  
Base Stock Policy ◽  
Stock Policy

scholarly journals Optimization and Customer Utilities under Dynamic Lead Time Quotation in an M/M Type Base Stock System

2017 ◽  
Vol 2017 ◽  
pp. 1-10 ◽  
Author(s):  
Koichi Nakade ◽  
Hiroki Niwa
Keyword(s):  
Waiting Time ◽  
Lead Time ◽  
Inventory System ◽  
Base Stock ◽  
Base Stock Policy ◽  
Optimal Policies ◽  
Optimal Dynamic ◽  
System Information ◽  
Lead Time Quotation ◽  
Stock Policy

In a manufacturing and inventory system, information on production and order lead time helps consumers’ decision whether they receive finished products or not by considering their own impatience on waiting time. In Savaşaneril et al. (2010), the optimal dynamic lead time quotation policy in a one-stage production and inventory system with a base stock policy for maximizing the system’s profit and its properties are discussed. In this system, each arriving customer decides whether he/she enters the system based on the quoted lead time informed by the system. On the other hand, the customer’s utility may be small under the optimal quoted lead time policy because the actual lead time may be longer than the quoted lead time. We use a utility function with respect to benefit of receiving products and waiting time and propose several kinds of heuristic lead time quotation policies. These are compared with optimal policies with respect to both profits and customer’s utilities. Through numerical examples some kinds of heuristic policies have better expected utilities of customers than the optimal quoted lead time policy maximizing system’s profits.

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