scholarly journals Modeling and Optimization of Stochastic Joint Replenishment and Delivery Scheduling Problem with Uncertain Costs

2013 ◽  
Vol 2013 ◽  
pp. 1-12 ◽  
Author(s):  
Lin Wang ◽  
Hui Qu ◽  
Yanhui Li ◽  
Jing He
Keyword(s):  
Inventory Management ◽  
Differential Evolution Algorithm ◽  
Joint Replenishment ◽  
Total Cost ◽  
Operational Conditions ◽  
Long Run ◽  
Holding Cost ◽  
Fuzzy Inventory ◽  
Inventory Holding ◽  
Delivery Scheduling

The stochastic joint replenishment and delivery scheduling (JRD) problem is a key issue in supply chain management and is a major concern for companies. So far, all of the work on stochastic JRDs is under explicit environment. However, the decision makers often have to face vague operational conditions. We develop a practical JRD model with stochastic demand under fuzzy backlogging cost, fuzzy minor ordering cost, and fuzzy inventory holding cost. The problem is to determine procedures for inventory management and vehicle routing simultaneously so that the warehouse may satisfy demand at a minimum long-run average cost. Subsequently, the fuzzy total cost is defuzzified by the graded mean integration representation and centroid approaches to rank fuzzy numbers. To find optimal coordinated decisions, a modified adaptive differential evolution algorithm (MADE) is utilized to find the minimum long-run average total cost. Results of numerical examples indicate that the proposed JRD model can be used to simulate fuzzy environment efficiently, and the MADE outperforms genetic algorithm with a lower total cost and higher convergence rate. The proposed methods can be applied to many industries and can help obtaining optimal decisions under uncertain environment.

scholarly journals Optimizing the Joint Replenishment and Delivery Scheduling Problem under Fuzzy Environment Using Inverse Weight Fuzzy Nonlinear Programming Method

2014 ◽  
Vol 2014 ◽  
pp. 1-13 ◽  
Author(s):  
Yu-Rong Zeng ◽  
Lin Wang ◽  
Xian-Hao Xu ◽  
Qing-Liang Fu
Keyword(s):  
Nonlinear Programming ◽  
Differential Evolution Algorithm ◽  
Fuzzy Model ◽  
Achievement Level ◽  
Distance Method ◽  
Joint Replenishment ◽  
Total Cost ◽  
Operational Conditions ◽  
Fuzzy Nonlinear Programming ◽  
Delivery Scheduling

In reality, decision-makers are always in front of imprecise and vague operational conditions. We propose a practical multiobjective joint replenishment and delivery scheduling (JRD) model with deterministic demand and fuzzy cost. This model minimizes the total cost defuzzified by the signed distance method and maximizes the credibility that the total cost does not exceed the budget level. Then, an inverse weight fuzzy nonlinear programming (IWFNLP) method is adopted to formulate the proposed model. This method embeds the idea of inverse weights into the Max-Min fuzzy model. Thirdly, the fuzzy simulation approach and differential evolution algorithm (DE) are utilized to solve this problem. Results show that solutions derived from the IWFNLP method satisfy the decision-maker’s desirable achievement level of the cost objective and credibility objective. It is an effective decision tool since it can really reflect the relative importance of each fuzzy component. Our study also shows that the improved DE outperforms DE with a faster convergence speed.

A MULTI-PERIOD INVENTORY MODEL FOR DETERIORATING ITEMS IN UNCERTAIN ENVIRONMENT

2013 ◽  
Vol 21 (supp01) ◽  
pp. 113-125 ◽  
Author(s):  
YUFU NING ◽  
LIMEI YAN ◽  
HUANBIN SHA
Keyword(s):  
Equivalent Form ◽  
Service Level ◽  
Deteriorating Items ◽  
Inventory Problem ◽  
Total Cost ◽  
Uncertain Variables ◽  
Holding Cost ◽  
Inventory Holding Cost ◽  
Expected Total Cost ◽  
Inventory Holding

A model is constructed for a type of multi-period inventory problem with deteriorating items, in which demands are assumed to be uncertain variables. The objective is to minimize the expected total cost including the ordering cost, inventory holding cost and deteriorating cost under constraints that demands should be satisfied with some service level in each period. To solve the model, two methods are proposed in different cases. When uncertain variables are linear, a crisp equivalent form of the model is provided. For the general cases, a hybrid algorithm integrating the 99-method and genetic algorithm is designed. Two examples are given to illustrate the effectiveness of the model and solving methods.

scholarly journals Optimal Cycle Service Level for Continuous Stocked Items with Limited Storage Capacity

2018 ◽  
Vol 4 (2) ◽  
pp. 82
Author(s):  
Kanokwan Singha ◽  
Jirachai Buddhakulsomsiri ◽  
Parthana Parthanadee
Keyword(s):  
Inventory Management ◽  
Service Level ◽  
Storage Space ◽  
Continuous Review ◽  
Holding Cost ◽  
Total Inventory ◽  
Review Cycle ◽  
Capacity Cost ◽  
Inventory Holding ◽  
Space Capacity

This paper involves determining an optimal cycle service level for continuously stocked items that explicitly considers storage space capacity. Inventory management is under a continuous review policy. The total inventory management cost consisting of ordering cost, inventory holding cost, shortage cost, and over-capacity cost. Shortage items are assumed to be backlogged. A numerical example is provided to demonstrate the method. Keywords: Continuous Review; Cycle Service Level; Storage Space Capacity; Over-Capacity Cost

Study on the (s, S) Policy for the Manufacturing Enterprises Inventory Management

2014 ◽  
Vol 926-930 ◽  
pp. 3978-3983
Author(s):  
Jian Yang ◽  
Can Rong Zhang
Keyword(s):  
Inventory Management ◽  
Discrete Distribution ◽  
Transportation Cost ◽  
Inventory Cost ◽  
Inventory Policy ◽  
Penalty Cost ◽  
Manufacturing Enterprises ◽  
Planning Cycle ◽  
Holding Cost ◽  
Inventory Holding

Using the inventory management in a manufacturing enterprise as the application background, this paper mainly studies on the optimal inventory policy for a part. The planning cycle of this problem is limited, and the demand in each planning cycle follows a discrete distribution. The objective is to minimize the inventory cost, namely, the total of transportation cost, inventory holding cost and penalty cost. Based on (s, S) policy, this paper puts forward two different inventory policies for the problem, and establishes two dynamic programming models accordingly. The numerical examples show that the optimal inventory policy significantly reduces the inventory cost.

Delivery Planning of Water-Treatment Chemicals in Vendor Managed Inventory Context

2014 ◽  
Vol 931-932 ◽  
pp. 1664-1668
Author(s):  
Pongpol Suttipongkaset ◽  
Paveena Chaovalitwongse
Keyword(s):  
Water Treatment ◽  
Inventory Management ◽  
Transportation Cost ◽  
Periodic Review ◽  
Delivery Planning ◽  
Holding Cost ◽  
Actual Operation ◽  
Inventory Holding

This research aims to improve the operating delivery system of water-treatment chemicals by establishing a chemicals inventory policy for planning appropriate chemicals delivery to five customers in the case study. Currently the company does not exploit tradeoff between transportation cost and inventory holding cost which benefits for cost reduction in terms of inventory management and chemicals delivery. The customers demand for chemicals consumption is uncertain depending on the quality of raw water and production rate. While company has constraints such as limit of transportation truck quantity and inventory review interval by the company. Therefore, for the factors mentioned, this research uses the periodic review system which demand is uncertain as an inventory model. Data from customers chemicals consumption in 2012 is used to conduct the inventory order up to level (OUL) for planning chemicals delivery to customers. Then, the research tests the delivery plan by using Monte Carlo simulation compared to the actual operation data from January to June 2013. It is found that the proposed operating system can reduce inventory cost by up to 33%.

scholarly journals Supply Chain Planning Problem Considering Customer Inventory Holding Cost Based on an Improved Tabu Search Algorithm

2020 ◽  
Vol 0 (0) ◽  
Author(s):  
Tao Li ◽  
Wenyin Yang
Keyword(s):  
Supply Chain ◽  
Tabu Search ◽  
Search Algorithm ◽  
Planning Problem ◽  
Tabu Search Algorithm ◽  
Total Cost ◽  
Location Routing ◽  
Holding Cost ◽  
Inventory Holding Cost ◽  
Inventory Holding

AbstractThis paper studies Inventory location routing problem in supply chain distribution network planning under vendor inventory management while considering customer inventory holding cost. In order to minimize the total cost of supply chain, an optimization model is established and an improved tabu search algorithm is used to solve the problem. From the analysis, it shows that the total cost decreases as the total vehicles capacity increases, and the maximum utilization of alternative vehicles and the minimum cost of the system don’t occur at the same time in some cases.

scholarly journals Penentuan Kuantitas Produksi Kue Brownies yang Optimal pada Model Persediaan Periode Tunggal

2021 ◽  
Vol 1 (1) ◽  
pp. 30-36
Author(s):  
Vini Damayanti ◽  
M. Yusuf Fajar
Keyword(s):  
Production Process ◽  
Inventory Management ◽  
Total Cost ◽  
Holding Costs ◽  
Inventory Costs ◽  
Holding Cost ◽  
The Cost ◽  
A Company ◽  
Optimal Quantity ◽  
Period Model

Abstract. Inventory is an important part of a manufacturing company, both before the production process begins, during the production process or after the production process is complete. Inventory control in a company must be carried out as optimally as possible. Shortage or excess of inventory will cause losses for the company. Holding costs will be large if there is excess inventory. With the availability of inventory management, it can anticipate a surge in demand from consumers. Inventory management is also used to optimize inventory as possible to reduce inventory costs. In this thesis, analyze the optimal quantity of brownie cake production using a single period model. In this model, it must determine the level of inventory, the holding cost of inventory, and the cost of shortage of inventory. Once determined, it can be seen from the optimal brownies cake production results. Based on the results of the data analysis of the optimal quantity of brownie cake production, it can be seen that the optimal of 8 packages or 200 pcs with an expected total cost of  Rp. 12.825.540. Abstrak. Persediaan merupakan bagian yang penting dalam suatu perusahaan manufaktur, baik sebelum proses produksi dimulai, saat proses produksi berlangsung maupun setelah proses produksi selesai. Pengendalian persediaan dalam suatu perusahaan harus dilakukan seoptimal mungkin. Kekurangan maupun kelebihan persediaan akan dapat menimbulkan kerugian bagi perusahaan. Biaya penyimpanan akan menjadi besar bila terjadi kelebihan persediaan. Dengan adanya manajemen persediaan dapat mengantisipasi lonjakan permintaan dari konsumen. Manajemen persedian juga berguna untuk mengoptimalkan persediaan seoptimal mungkin guna mengurangi biaya persediaan. Pada skripsi ini, di lakukan analisis penentuan kuantitas produksi kue brownies yang optimal dengan menggunakan model periode tunggal. Pada model ini harus menentukan level inventory, biaya simpan, dan biaya kekurangan persediaan. setelah ditentukan maka dapat dilihat hasil produksi kue brownies yang optimal. Berdasarkan hasil analisis data kuantitas produksi kue brownies yang optimal sebanyak 8 pack atau 200 pcs dengan ekspektasi ongkos total Rp. Rp. 12.825.540.

scholarly journals Analisis Penentuan Persediaan Singkong Sebagai Bahan Baku Tape Singkong Pada Agroindustri Peuyeum Abas Sawargi, Kecamatan Cimenyan, Kabupaten Bandung

2018 ◽  
Vol 6 (1) ◽  
pp. 10
Author(s):  
Kuswarini Kusno ◽  
Annisaa Punjul Rahayu ◽  
Eti Suminartika ◽  
Anne Charina
Keyword(s):  
Inventory Management ◽  
Secondary Data ◽  
Raw Material ◽  
Primary Data ◽  
Total Cost ◽  
Inventory Costs ◽  
The People ◽  
Long Run ◽  
Total Inventory

Cassava as the third staple food for the people of Indonesia after rice and corn, is the raw material for making ‘tape singkong”. Agroindustry Peuyeum Abas Sawargi located in District Cimenyan, Bandung Regency buy cassava almost every day to make “tape singkong”. It's not economical and inefficient; therefore good cassava inventory management is required. The purpose of this research was to determine the amount of economical cassava inventory and to know when to re-order the cassava so that the total cost of inventory to be a minimum, as well as comparing the actual cost of inventory to those based on economical cassava inventory. The research design was qualitative with case study technique. The collected data consists of primary data year 2017 and secondary data which were analyzed descriptively and quantitatively by Economic Order Quantity (EOQ) and Reorder Point (ROP) methods.. The results showed that the amount of cassava inventory that must be available was 3,264 kg with the frequency of ordering 61 times a year, while the re-ordering of cassava must be carried out when the remaining cassava stock of 2,240 kg. As a result, total inventory costs decreased by almost 48% within a year.  Thus, the production process becomes more efficient and in the long run the agroindustry can be expected to be more competitive. 

scholarly journals The Inventory Routing Problem with Demand Moves

2021 ◽  
Vol 2 (1) ◽  
Author(s):  
Annelieke C. Baller ◽  
Said Dabia ◽  
Guy Desaulniers ◽  
Wout E. H. Dullaert
Keyword(s):  
Urban Areas ◽  
Research Literature ◽  
Inventory Routing ◽  
Routing Problem ◽  
Inventory Routing Problem ◽  
Solution Approach ◽  
Holding Cost ◽  
Inventory Holding Cost ◽  
Problem Instances ◽  
Inventory Holding

AbstractIn the Inventory Routing Problem, customer demand is satisfied from inventory which is replenished with capacitated vehicles. The objective is to minimize total routing and inventory holding cost over a time horizon. If the customers are located relatively close to each other, one has the opportunity to satisfy the demand of a customer by inventory stored at another nearby customer. In the optimization of the customer replenishments, this option can be included to lower total costs. This is for example the case for ATMs in urban areas where an ATM-user that wants to withdraw money could be redirected to another ATM. To the best of our knowledge, the possibility of redirecting end-users is new to the operations research literature and has not been implemented, but is being considered, in the industry. We formulate the Inventory Routing Problem with Demand Moves in which demand of a customer can (partially) be satisfied by the inventory of a nearby customer at a service cost depending on the quantity and the distance. We propose a branch-price-and-cut solution approach which is evaluated on problem instances from the literature. Cost improvements over the classical IRP of up to 10% are observed with average savings around 3%.

Sign in / Sign up

Export Citation Format

Share Document