Inventory Optimization in Supply Chains

2011 ◽  
Vol 66-68 ◽  
pp. 1305-1310
Author(s):  
Feng Shan Pan ◽  
Chun Ming Ye ◽  
Jiao Yang
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Inventory Management ◽  
Management Theory ◽  
Scientific Management ◽  
Practical Case ◽  
Management Models ◽  
Inventory Optimization ◽  
Management Method

This paper reviews joint inventory management models and discusses its contribution to improve the overall supply chain competitiveness, after discussing suppliers and agents’ plan model respectively. Further, based on the background of Company F, and combined the modern scientific management theory of supply chain inventory with practical case, it improves the inventory management method. Finally, the conclusion of calculation is presented in detail.

scholarly journals Challenges and Features of Warehousing Operations with Respect to Logistics Warehouse Companies in Chennai

2019 ◽  
Vol 9 (1) ◽  
pp. 3304-3308
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Inventory Management ◽  
Cost Minimization ◽  
Cold Chain ◽  
Chain Management ◽  
Inventory Optimization ◽  
Current Trends ◽  
Warehouse Operations ◽  
Logistic Functions

Supply chain processes involved in this like sourcing, transportation, warehousing, inventory management, replenishment, cold chain management. Warehousing is the segment of enterprise logistic functions responsible for the storage space and managing of the inventories beginning with suppliers receipt and ending with the consumption point. Warehouse operations cover a number of significant areas, from the receiving, organization, fulfillment, and supply processes and areas including Receiving of goods, integrating and maintaining tracking software. Goal of warehouse operations is to satisfy customer’s desires and necessities whereas utilizing house, equipment, and labor effectively. The current trends and pressures on provide chain and logistics-forever increasing client examine levels, inventory optimization, time solidity and cost minimization have predictably changed the structure of supply chains and the location site and working of warehouses within the supply chains network .Supply Chain Management encompasses scheduling and organization of all activities involved in sourcing, procurement, conversion, and logistics managing activities. The business contains each variety of warehouses and the trendy multi-purpose supply centers furthermore because the ancient storage facilities called godowns.

scholarly journals Interdependence between Inventory Management and Employees’ Satisfaction

2013 ◽  
Vol 25 (3) ◽  
pp. 245-254
Author(s):  
Dubravko Tomašić ◽  
Dragan Peraković ◽  
Marinko Jurčević
Keyword(s):  
Supply Chain ◽  
Inventory Management ◽  
Added Value ◽  
Service Users ◽  
Competitive Advantages ◽  
Inventory Optimization ◽  
Interaction Processes ◽  
Synergy Effects ◽  
Employees Satisfaction ◽  
New Knowledge

The study determines the correlation between the application of advanced models and methods of inventory optimisation in the supply chain in relation to the satisfaction of employees who are responsible for managing the inventory optimisation processes. The previous studies confirm that the optimisation of inventory management in the supply chain insures competitive advantages on the market. There is space for further research of impact of the achieved inventory optimisation in the supply chain on the change of the employees’ satisfaction. The paper establishes the interrelation of the interdependence of the achieved inventory optimisations on the satisfaction of the employees and the related synergy effects of acquiring added value of the companies on the market oriented to the satisfaction of the buyers and service users. The research has defined new knowledge in interdependence of inventory management optimisation on the change of indicators of employees’ satisfaction. Based on the performed research an assumption has been created for the design of an application package (so-called XaaS-based services) for the management of interaction processes of inventory optimization in the supply chain, satisfaction of service users and employees.

Bertelsmann China: Supply Chains for Books (A)

2018 ◽  
pp. 1-22
Author(s):  
Stephan M. Wagner ◽  
Viviane Heldt ◽  
Katrin Lentschig ◽  
Jennifer Meyer
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Management Theory ◽  
International Context ◽  
Supply Chain Strategy ◽  
Fast Growing ◽  
Media Companies ◽  
Performance Drivers ◽  
And Performance

The case of Bertelsmann China: Supply Chain for Books (A) focuses on one the world's leading media companies to illustrate a widespread problem in the supply chain strategy in extremely fast growing markets. Students learn about the basic challenges of supply chain strategy in an international context. The case covers important fields of management theory. Supply chain designs well as cost and performance drivers are revised by the use of frameworks.

Inventory Management in Competition Environment Based on Customer Service

2011 ◽  
Vol 58-60 ◽  
pp. 2141-2146
Author(s):  
Xiao Di ◽  
Bao Xing
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Customer Service ◽  
Inventory Management ◽  
Demand Uncertainty ◽  
Management Policy ◽  
Management Decision ◽  
Inventory Level ◽  
On Demand ◽  
Optimal Policies

Based on demand uncertainty, the paper studies inventory management decision of two competing supply chains from the perspective of customer service. The paper mainly discusses two different inventory strategies, which are widely used, that is, consignment stock and VMI, and analyzes the optimal policies under three competitive scenarios, which consist of using consignment stock in both supply chains (CC mode), using VMI in both supply chains (DD mode), and using consignment stock in one supply chain but VMI another (VC mode). The paper compares equilibrium inventory level and profit of supply chain in different competitive modes, and concludes that both supply chains use VMI is equilibrium, which means that when manufacturers have right to choose inventory management policy, they prefer VMI. But it isn’t paradoxical with the phenomenon that consignment stock is common in reality, because manufacturers are forced to use consignment by retailer’s channel power.

scholarly journals The Hidden Cost of Supply Chain Disruptions: Case Study of the UK’s Automotive Sector

2020 ◽  
Vol 4 (3) ◽  
pp. 5-19
Author(s):  
Hubert Escaith ◽  
Sangeeta Khorana ◽  
William A. Kerr
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Inventory Management ◽  
Value Added ◽  
Single Market ◽  
Central Feature ◽  
Automotive Sector ◽  
Input Output ◽  
The Uk

As the world economy has become increasingly integrated the spectre of transnational supply chains has become a central feature of globalisation. The smooth and unfettered working of transnational supply chains has facilitated efficiency increasing changes to business operations (such as just in time inventory management). The automotive sector worldwide has been at the forefront of internationally integrated supply systems. The European Union (EU) has, in part, been structured to reduce friction in Europe-wide supply chains through the single market. Transnational supply chains are at the heart of United Kingdom (UK) – EU trade, and the UK’s departure from the EU’s single market (Brexit) will increase friction in international trade. This case study of the UK’s automotive sector uses a social network approach to analyse supply chain linkages between the UK, EU and other trading partners, and how these could be impacted as a result of Brexit. We use data from Trade in Value Added (TiVA) and World Input-Output Database (WIOD) to map supply chains, estimate total value-added in exports and examine how Brexit is likely to impact the competitiveness of UK exports. Results confirm that the UK’s automotive sector is closely integrated with the EU. To offset the loss of UK’s export competitiveness after Brexit, trade facilitation measures complemented with a duty drawback scheme could be an option in the short run. Policy measures are, however, unlikely to replace the benefits of duty-free and frictionless access enjoyed under single market trading arrangements. This suggests that the UK automotive sector, which is primarily comprised of globally active firms, may have to reconfigure supply chain arrangements and in the long run alter how decisions pertaining to locations are made. Keywords: Brexit, global value chains, input-output linkages, WIOD.

Multi-Product of JMI under BOM

2014 ◽  
Vol 6 (4) ◽  
pp. 1-9 ◽  
Author(s):  
Chen Zhi ◽  
Ren Chao ◽  
Shan Miyuan
Keyword(s):  
Supply Chain ◽  
Inventory Management ◽  
Inventory Cost ◽  
Numerical Example ◽  
Model Based ◽  
Profit Allocation ◽  
Management Method

JMI is an advanced inventory management method, how to implement JMI to reduce overall supply chain inventory cost and how to undertake profit allocation is a hot topic in the study of inventory management. But the current study rarely considering BOM, much less BOM's impact on supply chain inventory cost under the multi-product environment. This paper studies the two level supply chain including single manufacturer and multi-supplier of multi-product, and analyzes the BOM of multi-product, then propose a multi-product JMI model based on BOM and use a numerical example to demonstrate its validity.

Analysis of Financial Returns and Risks of Implementing RFID for Supply Chains

2010 ◽  
pp. 89-124
Author(s):  
Ertunga C. Özelkan ◽  
Agnes Galambosi
Keyword(s):  
Sensitivity Analysis ◽  
Supply Chain ◽  
Radio Frequency ◽  
Supply Chains ◽  
Inventory Management ◽  
Radio Frequency Identification ◽  
Return On Investment ◽  
Financial Risks ◽  
Financial Returns ◽  
Frequency Identification

Radio Frequency Identification (RFID) is believed to change how supply chains operate today. While RFID’s promise for improved inventory visibility and automation in inventory management is making many supply chain players hopeful for increased sales and reduced operating costs, these benefits do come at a cost and involve risks. This paper presents a financial returns analysis that captures RFID’s costs and benefits, and quantifies the financial risks of implementing RFID for various business sizes and products with different unit profits to understand when RFID makes business sense. More precisely, the returns analysis is performed using an econometric model to understand how break-even sales volumes, unit profits, tag prices, return on investment, and risks vary between a manufacturer and a retailer in a supply chain. The results are extended to multi-product cases as well. A sensitivity analysis is also performed to understand the returns in pessimistic and optimistic scenarios.

When Does RFID Make Business Sense for Managing Supply Chains?

2010 ◽  
pp. 1250-1283
Author(s):  
Ertunga C. Özelkan ◽  
Agnes Galambosi
Keyword(s):  
Sensitivity Analysis ◽  
Supply Chain ◽  
Radio Frequency ◽  
Supply Chains ◽  
Inventory Management ◽  
Radio Frequency Identification ◽  
Return On Investment ◽  
Operating Costs ◽  
Financial Risks ◽  
Frequency Identification

Radio frequency identification (RFID) is believed to change how supply chains operate today. While RFID’s promise for improved inventory visibility and automation in inventory management is making many supply chain players hopeful for increased sales and reduced operating costs, these benefits do come at a cost and involve risks. This article presents financial returns analysis that captures RFID’s costs and benefits, and quantifies the financial risks of implementing RFID for various business sizes and products with different unit profits to understand when RFID makes business sense. More precisely, the returns analysis is performed using an econometric model to understand how break-even sales volumes, unit profits, tag prices, return on investment, and risks vary between a manufacturer and a retailer in a supply chain. The results are extended to multiproduct cases as well. A sensitivity analysis is also performed to understand the returns in pessimistic and optimistic scenarios.

The Study on the Model of Vendor Management Inventory in Supply Chain

2014 ◽  
Vol 644-650 ◽  
pp. 6105-6108
Author(s):  
Li Li Dong
Keyword(s):  
Supply Chain ◽  
Inventory Management ◽  
Optimal Solution ◽  
Management Theory ◽  
Inventory Problem ◽  
Inventory Cost ◽  
Chain Management ◽  
Management Level ◽  
Vendor Management Inventory ◽  
Vendor Management

In order to reduce inventory cost effectively, the vendor management inventory (VMI) is studied in this paper. The inventory problem of supply chain is described, the model of VMI is established, and the optimal solution is obtained. The research in this paper can enrich the supply chain management theory, and help enterprises improve inventory management level.

scholarly journals Exiting the COVID-19 pandemic: after-shock risks and avoidance of disruption tails in supply chains

2021 ◽  
Author(s):  
Dmitry Ivanov
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Inventory Management ◽  
Supply Chain Coordination ◽  
Discrete Event ◽  
Inventory Costs ◽  
Event Simulation ◽  
Inventory Dynamics ◽  
Disruption Recovery ◽  
The Impact

AbstractEntering the COVID-19 pandemic wreaked havoc on supply chains. Reacting to the pandemic and adaptation in the “new normal” have been challenging tasks. Exiting the pandemic can lead to some after-shock effects such as “disruption tails.” While the research community has undertaken considerable efforts to predict the pandemic’s impacts and examine supply chain adaptive behaviors during the pandemic, little is known about supply chain management in the course of pandemic elimination and post-disruption recovery. If capacity and inventory management are unaware of the after-shock risks, this can result in highly destabilized production–inventory dynamics and decreased performance in the post-disruption period causing product deficits in the markets and high inventory costs in the supply chains. In this paper, we use a discrete-event simulation model to investigate some exit strategies for a supply chain in the context of the COVID-19 pandemic. Our model can inform managers about the existence and risk of disruption tails in their supply chains and guide the selection of post-pandemic recovery strategies. Our results show that supply chains with postponed demand and shutdown capacity during the COVID-19 pandemic are particularly prone to disruption tails. We then developed and examined two strategies to avoid these disruption tails. First, we observed a conjunction of recovery and supply chain coordination which mitigates the impact of disruption tails by demand smoothing over time in the post-disruption period. Second, we found a gradual capacity ramp-up prior to expected peaks of postponed demand to be an effective strategy for disruption tail control.

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