Development of Integrated Inventory Management Model and Determination Inventory Replenishment Period in SCM
Myoung-Hun Kim, Dong-Kyu An
Abstract
Myoung-Hun Kim, Dong-Kyu An
Abstract
We consider supply chain which consist of one manufacturer, one distributor and N retailers for a single product. This paper determines inventory replenishment period of supply chain using heuristic method and propose order policy through re-coordination of inventory replenishment. Also, We develops inventory management model to calculate total cost of supply chain under assumptions of constant demand. The computational results show that the proposed inventory replenishment period and inventory management model is efficient.
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We consider supply chain which consist of one manufacturer, one distributor and N retailers for a single product. This paper determines inventory replenishment period of supply chain using heuristic method and propose order policy through re-coordination of inventory replenishment. Also, We develops inventory management model to calculate total cost of supply chain under assumptions of constant demand. The computational results show that the proposed inventory replenishment period and inventory management model is efficient.
Key concepts: Inventory management, Inventory theory, Supply chain, Inventory cost, Perpetual inventory, Economic order quantity, Heuristic, Supply chain management