Title: Inventory planning for a multi-echelon supply chain
Authors: Srikanta Routroy, Prasad Sanisetty
Addresses: Mechanical Engineering Group, Birla Institute of Technology and Science, Pilani, Rajasthan, 333 031, India. ' TATA Consultancy Services, Chennai, 600 086, India
Abstract: Inventory planning is the significant operational issue in supply chain management. In this paper, a mathematical model is developed for multi-echelon supply chain inventory planning to determine ordering/production quantity and reorder point while minimising the Total Supply Chain Cost (TSCC) (i.e., supply chain inventory capital, supply chain ordering/set-up cost and supply chain inventory stock out cost). Differential Evolution algorithm is used for multi-echelon supply chain inventory planning. One case situation is elucidated in order to reinforce the salient features of the concept. A sensitivity analysis is also carried out to show the effect of input parameters on the TSCC.
Keywords: supply chains; inventory planning; differential evolution algorithms; multi-echelon; operational research.
International Journal of Operational Research, 2007 Vol.2 No.3, pp.269 - 283
Published online: 19 Mar 2007 *
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