International Journal of Production Economics, ( ISI ), No (117), Year (2009-1) , Pages (212-218)

Title : ( Introducing a new ordering policy in a two-echelon inventory system with Poisson demand )

Authors: Rasoul Haji , Mohammadali Pirayesh , Armand Baboli ,

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In this paper we introduce a new ordering policy for inventory control in a two-echelon inventory system consisting of one central warehouse and a number of non-identical retailers. The warehouse uses a regular one-for-one policy, but the retailers apply a new policy which is different from the inventory policies used in the literature of inventory and production control systems. In this system, each retailer constantly places an order for one unit of product to the central warehouse in a pre-determined time interval; i.e., the time interval between any two consecutive orders from each retailer is a fixed number and the quantity of each order is one. We then show how the inventory costs can be determined for this system. The most important advantage of this policy is that the warehouse is facing a uniform and deterministic demand originated by the retailers. Furthermore, a numerical example is provided to compare the performance of our proposed policy with the one-for-one policy in terms of the total system cost.

Keywords

, Inventory control policy, two-echelon, Poisson
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@article{paperid:1007093,
author = {Rasoul Haji and Pirayesh, Mohammadali and Armand Baboli},
title = {Introducing a new ordering policy in a two-echelon inventory system with Poisson demand},
journal = {International Journal of Production Economics},
year = {2009},
number = {117},
month = {January},
issn = {0925-5273},
pages = {212--218},
numpages = {6},
keywords = {Inventory control policy; two-echelon; Poisson demand},
}

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%0 Journal Article
%T Introducing a new ordering policy in a two-echelon inventory system with Poisson demand
%A Rasoul Haji
%A Pirayesh, Mohammadali
%A Armand Baboli
%J International Journal of Production Economics
%@ 0925-5273
%D 2009

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