Forthcoming articles


International Journal of Supply Chain and Inventory Management


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International Journal of Supply Chain and Inventory Management (3 papers in press)


Regular Issues


  • Inventory and credit decisions under day-terms credit and stock-dependent demand   Order a copy of this article
    by K.K. Aggarwal, Arun Kumar Tyagi 
    Abstract: Selling on credit is used by the firm as a marketing strategy to stimulate their demand. Credit period through its influence on demand becomes a determinant of inventory decision and inventory sold on credit-terms gets converted to accounts receivable. Hence, inventory and credit-terms decisions are interrelated which should be coordinated and determined simultaneously. Moreover, in addition to credit period the inventory-levels would also have a stimulating effect on demand. Thus, in an inventory system with credit-linked demand the impact of stock-dependent demand phenomenon which arises naturally due to customers psychology must also be considered in order to obtain optimal inventory and credit granting decisions. Consequently, in this article, a mathematical model is developed to jointly determine optimal inventory and credit decisions in an inventory system when demand is dependent on day-terms credit period as well as on instantaneous inventory-level. The model is developed using discounted cash flow approach and the objective is to maximize the present value of net profit per unit time. Finally, numerical example and sensitivity analysis have been presented to illustrate the effectiveness of the proposed model.
    Keywords: inventory; credit; accounts receivable; credit linked demand; stock dependent demand; discounted cash flow; DCF;.

  • Modeling and Optimization of Multiproduct Multi-Echelon Inventory Problem   Order a copy of this article
    by Debabrata Das, Moumita Tewary, Nirmal B. Hui 
    Abstract: The purpose of the present paper is to determine the optimum lot-sizes and re-order intervals at all installations for the minimum cost of a 3-echelon supply chain system. The mathematical model is built based on Roundys PO2 policy and integer policy of ordering, treating it as an operation research problem by applying suitable constraints. Finally the problem is found to be a non-linear integer programming problem (NLIPP). For illustration purpose, we took two problems involving single and fifty products of a three-echelon distribution system under deterministic condition. Both the problems are solved with exhaustive search method initially on spreadsheet and later through Matlab programming. We conclude from the results that though PO2 policy simplifies the problem and gives a few solutions faster but many a times it fails to find optimal solutions and even sometimes, any feasible solution. On the other hand, integer policy gives all the feasible solutions including optimal solution and PO2 solutions. Result shows that our proposed model and the algorithm applied have superiority on reducing the total cost of the multi-product multi-echelon inventory system. Moreover, it illustrates the feasibility and the effectiveness of the model and simple method of solution. Further, the products are grouped based on reorder interval using joint replenishment strategy.
    Keywords: Multi-echelon; Supply Chain System; Roundy’s PO2 Policy; Exhaustive Search Method; Joint Replenishment Strategy.

  • A Comparative Study on the Application of Evolutionary Algorithms to Multi-Objective Multi-Stage Supply Chain Network Design   Order a copy of this article
    by Ferdous Sarwar 
    Abstract: This paper deals with a multi-objective multi-stage supply chain network formulation and application of various evolutionary algorithms like particle swarm optimization (PSO) and genetic algorithm (GA) to solve the formulated problem. As we all know, in recent days, the supply chain network tends to be very complex with lots of suppliers and customers in the value chain. The aim of this paper is to establish a way to optimize a complex multi-stage supply chain network by minimizing both costs and lead time under some given constraints while applying both PSO and GA techniques to find out the best solutions available by comparing them. The algorithm techniques were modified to obtain the desired solutions while keeping the entire parameters standard. A numerical real-life example was introduced to check the validity of our assumptions and effectiveness of the techniques used in the paper. Mainly, the Pareto optimal solutions were compared.
    Keywords: Evolutionary Algorithm; Particle Swarm Optimization; Genetic Algorithm; Supply Chain; Multi-objective; Optimization; Multi-stage; Pareto-optimal.