Using VMI to improve supply chain performance of a public enterprise in Thailand Online publication date: Thu, 02-Nov-2017
by Thananya Wasusri; Buntita Pongcheep
International Journal of Logistics Systems and Management (IJLSM), Vol. 28, No. 4, 2017
Abstract: Supply chain management is well recognised and implemented in private sectors, but the beneficial of supply chain management in public sector is limited shown in the literature. This paper presents a comprehensive supply chain simulation study for a real case of Thai public sector focusing on its material supply network. The supply network consists of four stages in inventory system: head office, regional warehouse, main warehouse and service warehouse. This study aims to propose three different strategies according to the combination of purchasing structure and vendor managed inventory (VMI) with targeting to reduce lead time and cost. The discrete event simulation (DES) is a powerful tool used to reveal the supply chain performances. The three strategies result in shorter lead time and cost reduction. The decentralised purchasing with VMI on each echelon to support continuous replenishment offers the best solution. The managerial implication is provided to enable the enterprise to improve the supply chain performance measures.
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.
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 Logistics Systems and Management (IJLSM):
Login with your Inderscience username and 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
Our Blog 
Follow us on Twitter 
Visit us on Facebook