The full text of this article

 

Managing inventory through (Q, r) policy for a VMI programme with freshness clause
by Shihua Ma; Danfeng Ying; Xu Guan; Kun Huang
International Journal of Applied Management Science (IJAMS), Vol. 5, No. 2, 2013

 

Abstract: This paper considers the inventory management in a VMI programme consisting of a vendor, a retailer and a VMI warehouse near the retailer. Specifically, the vendor is authorised to manage the inventory of the VMI warehouse through (Q, r) policy, and the retailer controls the service level of the warehouse by setting a minimum inventory level z. Besides, to reduce the vendor's high inventory cost, a freshness clause is introduced. Our main finding is that under a given freshness clause, there exist the optimal (Q*, r*) for the vendor, and z* for the retailer. Based on this, we derive the conditions satisfied with (Q*, r*) and propose an iterative algorithm for solving z*. Furthermore, the freshness clause's impact on each participant's optimal decisions and the managerial implications are illustrated via numerical analysis.

Online publication date: Sun, 05-May-2013

 

is only available to individual subscribers or to users at subscribing institutions.

 
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.

 
Pay per view:
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.

 
Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Applied Management Science (IJAMS):
Login with your Inderscience username and password:

 

    Username:        Password:         

Forgotten your password?


 
Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.

 
If you still need assistance, please email subs@inderscience.com