A two-step transshipment model with fuzzy demands and service level constraints

Saïd, Lamjed Ben; Hmiden, Mohamed; Ghédira, Khaled

doi:10.2507/ijsimm09(1)4.142

Cited by 5 publications

(2 citation statements)

References 27 publications

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“…They just repeat five basic activities in their supply chain: buy, make, move, store and sell. Simulation is a very powerful and widely used management science technique [4][5][6] for the analysis and study of supply chains. The most important types are: spreadsheet simulation, system dynamics, discrete-event simulation, and business games.…”

Section: Introductionmentioning

confidence: 99%

Analysis of a Three-Stage Supply Chain with Level Constraints

Buchmeister¹,

Friscic²,

Lаlić³

et al. 2012

Int. j. simul. model.

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Many companies have enjoyed a significant success due to the unique ways in which they have organized their supply chains, which are one of the best ways to compete in today's marketplaces. For make-to-stock production systems the production plans and activities are based on demand forecasting. This is one of the key causes of the bullwhip effect. The bullwhip effect (BE) is the inherent increase in demand fluctuation up the supply chain. In the paper we experimented (by simulating) with a special case of a simple three-stage supply chain using seasonal and deseasonalized time series of the market demand data in order to identify, illustrate and discuss the impacts of different level constraints on the BE. The results are presented for different overall equipment effectiveness (OEE) and constrained inventory policies. At higher OEE level there is less variability in production processes, but at inventory limitations the impact is more complex.

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Section: Introductionmentioning

confidence: 99%

Analysis of a Three-Stage Supply Chain with Level Constraints

Buchmeister¹,

Friscic²,

Lаlić³

et al. 2012

Int. j. simul. model.

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“…The contract could not only induce retailers to choose order quantities of traditional retail channels which maximized the profit of the entire supply chain, but also divides extra profits created by the transshipment based on the bargaining power of traditional retail channels. Ben et al [6] considered the transshipment issue with fuzzy demand and service level constraints. Tiacci and Saetta [7] considered the transshipment strategy based on inventory availability and the transshipment strategy based on inventory equalization, and found that both transshipment strategies were more effective than the non-lateral transshipment strategy under certain conditions.…”

Section: Literature Reviewmentioning

confidence: 99%

Cooperative Inventory Strategy in a Dual-Channel Supply Chain with Transshipment Consideration

Yang¹,

Zhang²,

Zhang³

2016

Int. j. simul. model.

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Aimed at the possibility of stock-out of the traditional retail channel under stochastic demand in a dual-channel supply chain, we propose a cooperative inventory strategy, in which the excess demand of the traditional retail channel is complemented by the excess inventory of the manufacturer's direct channel through transshipment. We establish a newsboy model to analyse each supply chain member's order quantity decision making process, and prove the unique existence of pure-strategy Nash equilibrium under the uncooperative inventory strategy and the cooperative inventory strategy. We go on to discuss the impacts of the wholesale price, the channel substitution rate and the transshipment cost on optimal order quantities under each inventory strategy. Numerical simulation shows that when values of the wholesale price and the transshipment price satisfy certain conditions, the cooperative inventory strategy can not only lead to an increased supply chain profit but also achieve Pareto improvements of both the manufacturer and the retailer.

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