By inducing the typical inventory control problem - the bullwhip effect, this paper presents vendor managed inventory (VMI) control methods on the basis of traditional methods of inventory management methods, construc...By inducing the typical inventory control problem - the bullwhip effect, this paper presents vendor managed inventory (VMI) control methods on the basis of traditional methods of inventory management methods, constructs a VMI mathematics model, and analyzes the influence of VMI on inventory cost and channel profit. Finally, a special case is studied to verify that VMI is an effective supply chain strategy that can not only increase channel profit of supplier and customer but also improve full channel coordination, thereby reducing the bullwhip effect.展开更多
Approximately 35.0% of annual hospitals budget is spent on buying materials and supplies, including medicines. We can bring about substantial improvement in the hospital inventory and expenditures by the inventory con...Approximately 35.0% of annual hospitals budget is spent on buying materials and supplies, including medicines. We can bring about substantial improvement in the hospital inventory and expenditures by the inventory control techniques. Objective: To identify the categories of drugs which need stringent management control. Material and Method: The ABC and VED analysis of the medical store of a Neuropsychiatry hospital at Delhi, India was conducted for the year 2008-2009 to identify the categories of items needing stringent management control. Results: The total number of the drugs at the medical store was 145 drugs. The total annual drug expenditure (ADE) on these drug items was Rs. 19219594.79. ABC analysis revealed 3.45%, 6.9% and 89.65% items as A, B and C category items, respectively, accounting for 70.5%, 19.68% and 9.83% of ADE of the medical store. VED analysis showed 32.41%, 61.38% and 6.2% items as V, E, and D category items, respectively, accounting for 70.9%, 28.72% and 0.38% of ADE of the medical store. On ABC-VED matrix analysis, 33.8%, 60% and 6.2% items were found to be category I, II and III items, respectively, accounting for 92.33%, 7.29% and 0.38% of ADE of the medical store. Conclusion: It is suggested by the study that the management of Category I drugs should be done by the top management resulting in stringent control on the annual expenses. The Category II should be managed by the middle management level and Category III at lower managerial level.展开更多
In this work, the dynamics of networked goods distribution systems subject to the control of a continuous-review order-up-to inventory policy are investigated. In the analytical study, as opposed to the earlier models...In this work, the dynamics of networked goods distribution systems subject to the control of a continuous-review order-up-to inventory policy are investigated. In the analytical study, as opposed to the earlier models constrained to the serial and arborescent interconnection structures, an arbitrary multiechelon topology is considered. This external, uncertain demand,following any distribution, may be imposed on all network nodes,not just conveniently selected contact points. As in the physical systems, stock relocation to refill the reserves is subject to nonnegligible delay, which poses a severe stability threat and may lead to cost-inefficient decisions. A state-space model is created and used as the framework for analyzing system properties. In particular, it is formally demonstrated that despite unpredictable demand fluctuations, a feasible(nonnegative and bounded)reserves replenishment signal is generated at all times, and the stock gathered at the nodes does not surpass a finite, precisely determined level. The theoretical content is illustrated with a case study of the Chinese oil supply system.展开更多
To improve the inventory control strategy for enterprise and optimize inventory control parameters of existing external and interior reverse logistics, a multi-resource inventory control model is proposed to better si...To improve the inventory control strategy for enterprise and optimize inventory control parameters of existing external and interior reverse logistics, a multi-resource inventory control model is proposed to better simulate the logistics fact, which is aimed at periodic inventory checking and pull mode of inventory control strategy, based on the return product arrival time obeying Poisson distribution, the return product employing lotsize process and the nonzero lead time of manufaeturinge/remanufacturing. The rational cost function with multiple constraints is employed to describe the inventory model. The genetic algorithm is employed to solve the inventory cost function to obtain the optimal solution of inventory checking periods, safe inventory point, product lot-sizes and process lot-sizes of return product. An example is presented to prove the feasibility and validity of the proposed method. Moreover, the influence of manufacturing/remanufacturing lead time and reuse rate of return production on the inventory control strategy of enterprise is analyzed.展开更多
Railway seat inventory control strategies play a crucial role in the growth of profit and train load factor. The railway passenger seat inventory control problem in China was addressed. Chinese passenger railway opera...Railway seat inventory control strategies play a crucial role in the growth of profit and train load factor. The railway passenger seat inventory control problem in China was addressed. Chinese passenger railway operation features and seat inventory control practice were analyzed firstly. A dynamic demand forecasting method was introduced to forecast the coming demand in a ticket booking period. By clustering, passengers' historical ticket bookings were used to forecast the demand to come in a ticket booking period with least squares support vector machine. Three seat inventory control methods: non-nested booking limits, nested booking limits and bid-price control, were modeled under a single-fare class. Different seat inventory control methods were compared with the same demand based on ticket booking data of Train T15 from Beijing West to Guangzhou. The result shows that the dynamic non-nested booking limits control method performs the best, which gives railway operators evidence to adjust the remaining capacity in a ticket booking period.展开更多
The paper discusses how the inventory control of army equipment material runs sytematically under the two-level maintenance system,and establishes the inventory control model based on system dynamics.On the basis of m...The paper discusses how the inventory control of army equipment material runs sytematically under the two-level maintenance system,and establishes the inventory control model based on system dynamics.On the basis of modeling and simulation,the influence of different inventory upper limit on the whole system is studied,and the optimal inventory control mechanism under the model condition is foud.In addition,through the simulation of two replenishment strategies(s,S) and(T,s,S),the advantages and disadvantages and feasibility of each replenishment strategy are analyzed.展开更多
This paper studied a continuous-time model of a production maintenance system in which a manufacturing firm produces a single product selling some and stocking the remaining. The problem of adaptive control of a produ...This paper studied a continuous-time model of a production maintenance system in which a manufacturing firm produces a single product selling some and stocking the remaining. The problem of adaptive control of a production-maintenance system with unknown deterioration has been presented. Using Liapunov technique, the production rate and updating rule of deterioration rate are derived as non-linear functions of inventory level perturbation. Numerical analysis for the system has been presented for a set of parameter values and demand rate.展开更多
For most firms,especially the small-and medium-sized ones,the operational decisions are affected by their internal capital and ability to obtain external capital.However,the majority of the current studies on dynamic ...For most firms,especially the small-and medium-sized ones,the operational decisions are affected by their internal capital and ability to obtain external capital.However,the majority of the current studies on dynamic inventory control ignore the firm’s financial status and financing issues completely.An important question that arises is:what are the dynamic optimal inventory and financing policies for firms with limited capital and limited access to external capital?In this paper,we review some of the latest developments in this area.After a brief review of single period models,we focus on multi-period dynamic control of the firm who aims to optimize its xpected terminal wealth.Two cases are discussed in detail:self-finance and short term finance.In the first case,the firm has to rely on its own capital for all ordering decisions,while in the second,the firm can borrow short term loan from lenders.A detailed characterization of the optimal policy is presented and its managerial insights are discussed.Several possible extensions are suggested.展开更多
From the mathematical point of view,the flexible inventory control model is proved in the practical problem application and the rationality of the capacity parameter selection and calculation.The purpose is to activel...From the mathematical point of view,the flexible inventory control model is proved in the practical problem application and the rationality of the capacity parameter selection and calculation.The purpose is to actively respond to demand fluctuations when there is a demand forecast error or a missing part of the demand information,and to avoid the risk of passive variable demand forecasting to set the immutable inventory capacity.At the same time,the game is controlled by the flexible and variable inventory control strategy and the customer’s willingness to demand.The paper mainly studies the influence of the setting of capacity parameters on the booking-limit decision and its benefits under the control of flexible space with variable total capacity.Through the two trends of capacity increase flexibility and capacity reduction flexibility in the flexible inventory control model,the mathematical performance and marginal utility methods are introduced to change the performance of the booking-limit control decision model under different scenarios.The correlation analysis between the capacity limit level and the return under the optimal Bookinglimit decision,and the above two flexibility parameters are obtained.展开更多
A complex autonomous inventory coupled system is considered. It can take, for example, the form of a network of chemical or biochemical reactors, where the inventory interactions perform the recycling of by-products b...A complex autonomous inventory coupled system is considered. It can take, for example, the form of a network of chemical or biochemical reactors, where the inventory interactions perform the recycling of by-products between the subsystems. Because of the flexible subsystems interactions, each of them can be operated with their own periods utilizing advantageously their dynamic properties. A multifrequency second-order test generalizing the p-test for single systems is described. It can be used to decide which kind of the operation (the static one, the periodic one or the multiperiodic one) will intensify the productivity of a complex system. An illustrative example of the multiperiodic optimization of a complex chemical production system is presented.展开更多
In this work,the dynamics and operation of the totally reboiled reactive distillation columns are visualized in terms of transfer function based process models.This kind of processes is found to be characterized by un...In this work,the dynamics and operation of the totally reboiled reactive distillation columns are visualized in terms of transfer function based process models.This kind of processes is found to be characterized by underdamped step responses due to the special topological configuration and the intricate interplay between the reaction operation and the separation operation involved.The under-dampness can be substantially alleviated through the tight inventory control of bottom reboiler and this presents beneficial effects to process dynamics and operation.Two totally reboiled reactive distillation columns,separating,respectively,a hypothetical synthesis reaction from reactants A and B to product C,and a real decomposition reaction from 1,4-butanediol to tetrahydrofuran and water,are employed to demonstrate these uncommon behaviors.The results obtained give full support to the above qualitative interpretation.Despite the strong influences of reaction kinetics and thermodynamic properties of the reacting mixtures,the totally reboiled reactive distillation columns are generally considered to present such unique behaviors and require tight inventory control of bottom reboiler to facilitate their control system development.展开更多
Traditional inventory control methods generally emphasize minimizing costs. Under current thinking, we not only consider cost control, but also tie inventory management directly into production scheduling. This system...Traditional inventory control methods generally emphasize minimizing costs. Under current thinking, we not only consider cost control, but also tie inventory management directly into production scheduling. This system, called "Just-in-Time delivery", is based on having inventory arrive at the factory door just as it is needed on the assembly line. This inventory management technique of essential zero raw material inventory speeds inventory turnover rate and greatly reduces holding cost. This paper analyzes and compares all aspects related to both traditional and JIT systems, and explores ways of reducing inventory costs. The result is the elimination of waste, the speed-up of inventory turnover and the increase in productivity, all with the objective of maximizing profitability. Using advanced logistics (physical distribution methods) will enhance the business image, strengthen international competitive ability and contribute greatly to increase gross domestic product.展开更多
This paper analyzes the uncertainties of air cargo and applies revenue management to solve the problem of air cargo capacity control.A robust capacity allocation model for a multiple-leg with multiple shipment types i...This paper analyzes the uncertainties of air cargo and applies revenue management to solve the problem of air cargo capacity control.A robust capacity allocation model for a multiple-leg with multiple shipment types is established,which describe uncertainty of these parameters as a number of discrete scenarios,and obtain the optimal allocation with Mutation Particle Swarm Optimization.Simulation experiments show that this method can balance uncertainty of the model effectively and accord with actual situation.展开更多
文摘By inducing the typical inventory control problem - the bullwhip effect, this paper presents vendor managed inventory (VMI) control methods on the basis of traditional methods of inventory management methods, constructs a VMI mathematics model, and analyzes the influence of VMI on inventory cost and channel profit. Finally, a special case is studied to verify that VMI is an effective supply chain strategy that can not only increase channel profit of supplier and customer but also improve full channel coordination, thereby reducing the bullwhip effect.
文摘Approximately 35.0% of annual hospitals budget is spent on buying materials and supplies, including medicines. We can bring about substantial improvement in the hospital inventory and expenditures by the inventory control techniques. Objective: To identify the categories of drugs which need stringent management control. Material and Method: The ABC and VED analysis of the medical store of a Neuropsychiatry hospital at Delhi, India was conducted for the year 2008-2009 to identify the categories of items needing stringent management control. Results: The total number of the drugs at the medical store was 145 drugs. The total annual drug expenditure (ADE) on these drug items was Rs. 19219594.79. ABC analysis revealed 3.45%, 6.9% and 89.65% items as A, B and C category items, respectively, accounting for 70.5%, 19.68% and 9.83% of ADE of the medical store. VED analysis showed 32.41%, 61.38% and 6.2% items as V, E, and D category items, respectively, accounting for 70.9%, 28.72% and 0.38% of ADE of the medical store. On ABC-VED matrix analysis, 33.8%, 60% and 6.2% items were found to be category I, II and III items, respectively, accounting for 92.33%, 7.29% and 0.38% of ADE of the medical store. Conclusion: It is suggested by the study that the management of Category I drugs should be done by the top management resulting in stringent control on the annual expenses. The Category II should be managed by the middle management level and Category III at lower managerial level.
文摘In this work, the dynamics of networked goods distribution systems subject to the control of a continuous-review order-up-to inventory policy are investigated. In the analytical study, as opposed to the earlier models constrained to the serial and arborescent interconnection structures, an arbitrary multiechelon topology is considered. This external, uncertain demand,following any distribution, may be imposed on all network nodes,not just conveniently selected contact points. As in the physical systems, stock relocation to refill the reserves is subject to nonnegligible delay, which poses a severe stability threat and may lead to cost-inefficient decisions. A state-space model is created and used as the framework for analyzing system properties. In particular, it is formally demonstrated that despite unpredictable demand fluctuations, a feasible(nonnegative and bounded)reserves replenishment signal is generated at all times, and the stock gathered at the nodes does not surpass a finite, precisely determined level. The theoretical content is illustrated with a case study of the Chinese oil supply system.
基金Sponsored by the National High Technology Research and Development Program of China(Grant No.2003AA413210)
文摘To improve the inventory control strategy for enterprise and optimize inventory control parameters of existing external and interior reverse logistics, a multi-resource inventory control model is proposed to better simulate the logistics fact, which is aimed at periodic inventory checking and pull mode of inventory control strategy, based on the return product arrival time obeying Poisson distribution, the return product employing lotsize process and the nonzero lead time of manufaeturinge/remanufacturing. The rational cost function with multiple constraints is employed to describe the inventory model. The genetic algorithm is employed to solve the inventory cost function to obtain the optimal solution of inventory checking periods, safe inventory point, product lot-sizes and process lot-sizes of return product. An example is presented to prove the feasibility and validity of the proposed method. Moreover, the influence of manufacturing/remanufacturing lead time and reuse rate of return production on the inventory control strategy of enterprise is analyzed.
基金Project(2009BAG12A10)supported by the State Technical Support Program of ChinaProject(71201009)supported by National Natural Science Foundation of ChinaProject(RCS2009ZT009)supported by the State Key Laboratory of Rail Traffic Control and Safety,Beijing Jiaotong University,China
文摘Railway seat inventory control strategies play a crucial role in the growth of profit and train load factor. The railway passenger seat inventory control problem in China was addressed. Chinese passenger railway operation features and seat inventory control practice were analyzed firstly. A dynamic demand forecasting method was introduced to forecast the coming demand in a ticket booking period. By clustering, passengers' historical ticket bookings were used to forecast the demand to come in a ticket booking period with least squares support vector machine. Three seat inventory control methods: non-nested booking limits, nested booking limits and bid-price control, were modeled under a single-fare class. Different seat inventory control methods were compared with the same demand based on ticket booking data of Train T15 from Beijing West to Guangzhou. The result shows that the dynamic non-nested booking limits control method performs the best, which gives railway operators evidence to adjust the remaining capacity in a ticket booking period.
文摘The paper discusses how the inventory control of army equipment material runs sytematically under the two-level maintenance system,and establishes the inventory control model based on system dynamics.On the basis of modeling and simulation,the influence of different inventory upper limit on the whole system is studied,and the optimal inventory control mechanism under the model condition is foud.In addition,through the simulation of two replenishment strategies(s,S) and(T,s,S),the advantages and disadvantages and feasibility of each replenishment strategy are analyzed.
文摘This paper studied a continuous-time model of a production maintenance system in which a manufacturing firm produces a single product selling some and stocking the remaining. The problem of adaptive control of a production-maintenance system with unknown deterioration has been presented. Using Liapunov technique, the production rate and updating rule of deterioration rate are derived as non-linear functions of inventory level perturbation. Numerical analysis for the system has been presented for a set of parameter values and demand rate.
基金Supported by National Natural Science Foundation of China(Grant No.71390330)
文摘For most firms,especially the small-and medium-sized ones,the operational decisions are affected by their internal capital and ability to obtain external capital.However,the majority of the current studies on dynamic inventory control ignore the firm’s financial status and financing issues completely.An important question that arises is:what are the dynamic optimal inventory and financing policies for firms with limited capital and limited access to external capital?In this paper,we review some of the latest developments in this area.After a brief review of single period models,we focus on multi-period dynamic control of the firm who aims to optimize its xpected terminal wealth.Two cases are discussed in detail:self-finance and short term finance.In the first case,the firm has to rely on its own capital for all ordering decisions,while in the second,the firm can borrow short term loan from lenders.A detailed characterization of the optimal policy is presented and its managerial insights are discussed.Several possible extensions are suggested.
文摘From the mathematical point of view,the flexible inventory control model is proved in the practical problem application and the rationality of the capacity parameter selection and calculation.The purpose is to actively respond to demand fluctuations when there is a demand forecast error or a missing part of the demand information,and to avoid the risk of passive variable demand forecasting to set the immutable inventory capacity.At the same time,the game is controlled by the flexible and variable inventory control strategy and the customer’s willingness to demand.The paper mainly studies the influence of the setting of capacity parameters on the booking-limit decision and its benefits under the control of flexible space with variable total capacity.Through the two trends of capacity increase flexibility and capacity reduction flexibility in the flexible inventory control model,the mathematical performance and marginal utility methods are introduced to change the performance of the booking-limit control decision model under different scenarios.The correlation analysis between the capacity limit level and the return under the optimal Bookinglimit decision,and the above two flexibility parameters are obtained.
文摘A complex autonomous inventory coupled system is considered. It can take, for example, the form of a network of chemical or biochemical reactors, where the inventory interactions perform the recycling of by-products between the subsystems. Because of the flexible subsystems interactions, each of them can be operated with their own periods utilizing advantageously their dynamic properties. A multifrequency second-order test generalizing the p-test for single systems is described. It can be used to decide which kind of the operation (the static one, the periodic one or the multiperiodic one) will intensify the productivity of a complex system. An illustrative example of the multiperiodic optimization of a complex chemical production system is presented.
基金Supported by The National Natural Science Foundation of China(21076015,21376018,and 21576014)The Fundamental Research Funds for the Central Universities(ZY1503)
文摘In this work,the dynamics and operation of the totally reboiled reactive distillation columns are visualized in terms of transfer function based process models.This kind of processes is found to be characterized by underdamped step responses due to the special topological configuration and the intricate interplay between the reaction operation and the separation operation involved.The under-dampness can be substantially alleviated through the tight inventory control of bottom reboiler and this presents beneficial effects to process dynamics and operation.Two totally reboiled reactive distillation columns,separating,respectively,a hypothetical synthesis reaction from reactants A and B to product C,and a real decomposition reaction from 1,4-butanediol to tetrahydrofuran and water,are employed to demonstrate these uncommon behaviors.The results obtained give full support to the above qualitative interpretation.Despite the strong influences of reaction kinetics and thermodynamic properties of the reacting mixtures,the totally reboiled reactive distillation columns are generally considered to present such unique behaviors and require tight inventory control of bottom reboiler to facilitate their control system development.
文摘Traditional inventory control methods generally emphasize minimizing costs. Under current thinking, we not only consider cost control, but also tie inventory management directly into production scheduling. This system, called "Just-in-Time delivery", is based on having inventory arrive at the factory door just as it is needed on the assembly line. This inventory management technique of essential zero raw material inventory speeds inventory turnover rate and greatly reduces holding cost. This paper analyzes and compares all aspects related to both traditional and JIT systems, and explores ways of reducing inventory costs. The result is the elimination of waste, the speed-up of inventory turnover and the increase in productivity, all with the objective of maximizing profitability. Using advanced logistics (physical distribution methods) will enhance the business image, strengthen international competitive ability and contribute greatly to increase gross domestic product.
文摘This paper analyzes the uncertainties of air cargo and applies revenue management to solve the problem of air cargo capacity control.A robust capacity allocation model for a multiple-leg with multiple shipment types is established,which describe uncertainty of these parameters as a number of discrete scenarios,and obtain the optimal allocation with Mutation Particle Swarm Optimization.Simulation experiments show that this method can balance uncertainty of the model effectively and accord with actual situation.