This paper presents a mathematical model for an inventory control system in which customers’ demands and suppliers’ service time are considered as stochastic parameters. The proposed problem is solved through queuing theory for a single item. In this case, transitional probabilities are calculated in steady state. Afterward, the model is extended to the case of multi-item inventory systems. The...

This study dives deep into a lateral supply chain network for perishable food products and aims to determine optimal re-order order up levels multiple e-groceries within common using simulation-based optimization technique. The algorithm minimize the average inventory carried while accounting parameters like reduced wastage, improved customer satisfaction level, limited number of replenishments.

The modern business environment is highly unpredictable. An anticipation approach in a real case study is presented to cope with such instability and minimize the total inventory cost without stock-outs occurring and inventory capacity being exceeded. The anticipation concept is performed using simulation models supported by inventory control algorithms on a selected sample of representative it...

Typical models of the production inventory systems assume that lot sizes of raw materials and final products are treated separately which leads to suboptimization production process. In this paper, a unified inventory model of an integrated production inventory system, where each of production, demand and deterioration rates are general functions of time, is considered. Shortage for the final p...

This paper deals with two warehouse inventory model of determining the optimal replenishment policy for non-instantaneous deteriorating items partial backlogging and stock-dependent demand. In the model, shortages are allowed and the backlogging rate is variable and dependent on the waiting time for the next replenishment. The necessary and sufficient conditions of the existence and uniqueness ...

This paper provides a dynamic optimization model of durable good inventories to study the interactions between investment demand and production of capital goods. There are three major findings: First, capital suppliers’ inventory behavior makes investment demand more volatile in equilibrium; Second, equilibrium price of capital is characterized by downward stickiness; Third, the responses of th...

In this work, we propose a hybrid simulation optimization approach that addresses the problem of supply chain management. We formulated the problem as a mathematical model which minimizes the summation of production cost, transportation cost, inventory holding and shortage costs, subject to capacity and inventory balance constraints and propose a hybrid approach combining mathematical programmi...

In this paper we introduce a robust optimization approach to solve the milk run system with time window with inventory uncertainty. This approach yields routes that minimize transportation costs while satisfying all inventory in a given bounded uncertainty set. The idea of Milk Run problem has been used in the context of logistic and supply chain problems in order to manage the transportation o...