VMI (Vendor Managed Inventory) system is known as an effective mechanism to reduce the bullwhip effect between suppliers and buyers, by switching the responsibility of inventory management from buyers to suppliers. Although most attempts of VMI implementation have been successful, there were some failure cases such as in South Korea. VMI system was beneficial only to the buyer and hurt the long...

T article studies a single-location inventory model with random leadtimes. Inventory is replenished by a single supplier who, at the time a replenishment order is received, knows exactly when the order will be delivered. In other words, the supplier knows the leadtime for every replenishment order. Suppose the singlelocation inventory system is managed by a retailer. The objective of this artic...

We consider supply chain networks composed of several centrally managed production facilities as well as external suppliers. We design effective heuristics for inventory positioning, order sequencing, and short and reliable due-date quotation for this supply chain. We perform extensive computational testing to assess the effectiveness of our algorithms, and we explore the impact of supply chain...

We consider supply chain networks composed of several centrally managed production facilities as well as external suppliers. We design effective heuristics for inventory positioning, order sequencing, and short and reliable due date quotation for this supply chain. We perform extensive computational testing to assess the effectiveness of our algorithms, and we explore the impact of supply chain...

Reducing inventory levels is a major supply chain management challenge in automobile industries. With the development of information technology new cooperative supply chain contracts emerge such as Vendor-Managed Inventory (VMI). This research aims to look at the literature of information management of VMI and the Internet of Things, then analyzes information flow model of VMI system. The paper...

In this paper, we develop approximations that yield insight into the joint optimization of capacity and inventory, and how the optimal inventory policy varies with capacity investment in a single-product, single-station, make-to-stock manufacturing system in which inventory is managed through a base-stock policy. We allow for a correlated demand stream as we analyze our models in an asymptotic ...

An effective supply chain management practice improves the profitability and responsiveness of organizations. Like multinationals, small-scale enterprises are also capitalizing this feat. This paper presents a case study of a two level supply chain setting. Here a small enterprise i.e. vendor manages the inventory of the retailer. Vendor develops the forecasts and a database for replenishment d...

In a supplier-customer relationship, Vendor Managed Inventory (VMI) is currently used to monitor the customer’s inventory replenishment. However the integration of VMI implies consequences on the collaboration process that links the different planning processes of each partner. This paper proposes a unified view of the VMI: beyond the short term pull system inventory replenishment, partners hav...

We explore the management of inventory for stochastic-demand systems, where the product’s supply is randomly disrupted for periods of random duration, and demands that arrive when the inventory system is temporarily out of stock become a mix of backorders and lost sales. The stock is managed according to the following modified (s , S) policy: If the inventory level is at or below s and the supp...

We consider a single item Production-Inventory-Routing problem with a single producer/supplier and multiple retailers. Inventory management constraints are considered both at the producer and at the retailers, following a vendor managed inventory approach, where the supplier monitors the inventory at retailers and decides on the replenishment policy for each retailer. We assume a constant produ...