Considering the Difference of Pre-set Service Level and Actual Service Level in a Safety-stock Based SPIRP

Yadollahi, Ehsan; Aghezzaf, El‐Houssaine; Walraevens, Joris; Raa, Birger

doi:10.1016/j.promfg.2017.07.337

Cited by 3 publications

(1 citation statement)

References 10 publications

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“…In addition, the review period can be optimized and not assumed as a known parameter. Other authors have integrated the determination of SS levels with expediting and transport decisions (Tempelmeier and Bantel 2015;Yadollahi et al 2017;Zahraei and Teo 2017).…”

Section: Introductionmentioning

confidence: 99%

Determination of dynamic safety stocks for cyclic production schedules

Bahroun

Belgacem

2019

Oper Manag Res

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Safety stocks are necessary to accommodate supply or demand uncertainties. Typically, safety stocks are held constant throughout the management horizon. In this paper, we study the determination of dynamic safety stock levels under cyclic production schedules. Currently, companies often operate according to contract orders with fixed and cyclic delivery dates and varying quantities. In this context, companies have attempted to implement cyclic production modes for their cyclic delivery requirements. Indeed, cyclic production scheduling has many benefits, such as respecting just-in-time principles by synchronising production with demand and improving shop floor control. The objectives of this paper are twofold: (1) to propose a new dynamic approach for determining safety stock levels that is adapted to cyclic production and (2) to demonstrate the limitations of traditional approaches under nonstationary demands. Our dynamic approach is based on modelling a repetitive production sequence comprising many manufacturing orders. Our model estimates the dynamic safety stock levels necessary to accommodate cyclic manufacturing orders with uncertain quantities and start dates using a Monte Carlo simulation approach. For the case in which all demands follow normal probability distributions, we validated the results of our simulation model by comparing them to numerically approximated theoretical results. We then compared the proposed dynamic simulation approach with the traditional approach. The results demonstrate that the dynamic approach is more efficient in terms of simultaneously minimizing the required safety stocks and improving the service level by decreasing the probability of stock outs. Finally, we applied our simulation approach to a case in which all demands follow uniform probability distributions.

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Section: Introductionmentioning

confidence: 99%

Determination of dynamic safety stocks for cyclic production schedules

Bahroun

Belgacem

2019

Oper Manag Res

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Modelos logísticos estocásticos aplicados a la cadena de suministro: una revisión de la literatura

Cruz

Bernal

Castro

2022

Ing.

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Contexto: El análisis de la complejidad de los sistemas conlleva la evolución de los modelos de representación de la realidad, la logística ha avanzado de un contexto empresarial a la cadena de suministro, los modelos básicos de logística con parámetros determinísticos requieren representar el comportamiento real estocástico. En este sentido, aparecen la combinación de los modelos de inventario, la localización y el ruteo con enfoque estocástico aplicados a cadenas de suministro. Método: Se desarrolló una revisión sistemática de la literatura en las bases de datos bibliográficas ScienceDirect, ScholarGoogle, SpringerLink, Scopus, SemanticScholar y Scielo, así como en ResearchGate. De los 79 artículos referenciados, el 65 % comprenden entre el 2015 y 2019. Resultados: Se identifican y describen los modelos, a partir de lo cual se propone una taxonomía en cuatro combinaciones, tres de modelos diádicos: LIP, IRP, LRP y un modelo tríadico: LIRP. Se identifican los parámetros estocásticos utilizados en los modelos, los tipos de modelos, los métodos de solución, las funciones objetivo contempladas y el número de eslabones de la cadena contemplados, a partir de los cuales se proponen taxonomías de los diferentes tipos de modelos. Por último, se presentan líneas de trabajo para futuras investigaciones. Conclusiones: La evolución de modelos determinísticos a estocásticos representa un incremento en la complejidad, lo que obliga a desarrollar nuevos métodos de solución con capacidad de encontrar soluciones factibles. Ha sido de reciente interés el desarrollo de modelos y problemas con medidas de desempeño ambiental, social y riesgo humanitario, en el último periodo toman relevancia modelos tríadicos multiproducto y multiperiodo.

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Determination of Inventory System Service Level by Simulation in Cases of Constant and Variable Demand and Lead Time

Aslan

2023

Advances in Logistics, Operations, and Management Science

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Service level and standard deviation of demand and/or lead time is considered while calculating reorder point with safety stock if the demand and/or lead time vary. This study explores whether reorder point provides desired service level. To answer the question, a simulation model is developed in MS Excel for three different cases of constant/variable demand and lead time. The model has been executed for certain periods, and service level is calculated as 1 (number of backorders/number of order cycles). It is found that the calculated service level for Case 1 was significantly higher than the desired service level, while the calculated service level for Case 2 and Case 3 was slightly lower than the desired service level. The reason for the difference in Case 1 is investigated. After eliminating factors from the model, a mechanism was added to the discrete model to simulate the continuity of the system. This minimized the difference in Case 1, but the difference in Case 2 and Case 3 increased slightly.

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Considering the Difference of Pre-set Service Level and Actual Service Level in a Safety-stock Based SPIRP

Cited by 3 publications

References 10 publications

Determination of dynamic safety stocks for cyclic production schedules

Determination of dynamic safety stocks for cyclic production schedules

Modelos logísticos estocásticos aplicados a la cadena de suministro: una revisión de la literatura

Determination of Inventory System Service Level by Simulation in Cases of Constant and Variable Demand and Lead Time

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