Title: Single vendor and multiple buyers integrated inventory system when demand is quadratic

Authors: Nita H. Shah, Ajay S. Gor, Chetan Jhaveri

Addresses: Department of Mathematics, Gujarat University, Ahmedabad – 380009, Gujarat, India. ' Pramukh Swami Science and H.D. Patel Arts College, Kadi – 382715, Gujarat, India. ' S.L. Institute of Business Administration, Ahmedabad – 380009, Gujarat, India

Abstract: In this research paper, an integrated inventory policy for single vendor and multiple buyers is developed. The demand of a product is assumed to be quadratic. A numerical example is shown to validate the results of the proposed development. It is established numerically that the integrated approach results in significant decrease in the total cost compared with the independent decision approach by all the buyers. The sensitivity analysis is carried out for all the parameters. To settle beneficial sharing, a negotiation factor is incorporated.

Keywords: inventory policies; single suppliers; multi buyers; quadratic demand; single vendors; multiple buyers; product demand; integrated approaches; integration; inventories; cost reduction; independent decisions; sensitivity analysis; beneficial sharing; negotiation factors; business performance; SCM; supply chain management; operations research; engineering management; ICOREM.

DOI: 10.1504/IJBPSCM.2010.036168

International Journal of Business Performance and Supply Chain Modelling, 2010 Vol.2 No.2, pp.171 - 182

Received: 30 Mar 2010
Accepted: 01 Sep 2010
Published online: 25 Oct 2010 *

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