The effect of Inventory Record Inaccuracy in Information Exchange Supply Chains

Cannella, Salvatore; Framiñán, José M.; Bruccoleri, Manfredi; Barbosa‐Póvoa, Ana Paula; Relvas, Susana

doi:10.1016/j.ejor.2014.11.021

Cited by 65 publications

(46 citation statements)

References 100 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Operational causes include demand forecasting (Syntetos et al, 2009;Trapero et al, 2012), order batching (Potter and Disney 2006), price fluctuation (Ma et al, 2013;Lu et al, 2012), rationing and shortage gaming, lead time, inventory policy, replenishment policy, improper control system Syntetos et al, 2011), lack of transparency (Cannella et al, 2014b;Hussain et al, 2012), number of echelons Paik and Bagchi, 2007), multiplier effect, lack of synchronization (Ciancimino et al, 2012), misperception of feedback (Gonçalvez et al, 2005), local optimization without global vision (Disney and Lambrecht, 2008), company processes (Holweg et al, 2005, Cannella et al 2014c) and capacity limits (Crespo-Marquez, 2010). The behavioral causes cover neglecting time delays in making ordering decisions (Wu and Katok, 2006), lack of learning and/or training (Akkerman andVoss, 2013, Bruccoleri et al, 2014), and fear of empty stock/customers' baulking behavior (Croson and Donohue, 2006;Lin et al, 2014a).…”

Section: Literature Reviewmentioning

confidence: 98%

The impact of the supply chain structure on bullwhip effect

Domínguez

Cannella

Framiñán

2015

Applied Mathematical Modelling

Self Cite

View full text Add to dashboard Cite

show abstract

Section: Literature Reviewmentioning

confidence: 98%

The impact of the supply chain structure on bullwhip effect

Domínguez

Cannella

Framiñán

2015

Applied Mathematical Modelling

Self Cite

View full text Add to dashboard Cite

show abstract

“…This research showed the bullwhip effect and how the inventory variance increased and amplified when a periodic review order-up-to level policy was applied, noting that more benefits were generated when coordination started at downstream echelons. More recently, Cannella et al [42], by applying the SD model, quantified the impact of inventory record inaccuracy on the dynamics of collaborative supply chains in terms of both operational performance (i.e., order and inventory stability) and customer service level.…”

Section: System Dynamics-based Simulationmentioning

confidence: 99%

The Economic Effect of Virtual Warehouse-Based Inventory Information Sharing for Sustainable Supplier Management

Jung

Jeong

2018

Sustainability

View full text Add to dashboard Cite

Abstract:With the rapid development of information and communication technologies, inventory information sharing between a manufacturer and its suppliers is becoming easier than ever. In line with this trend, we focus on the virtual warehouse where only inventory information on all of the material provided by the suppliers can be stored and shared. Unlike traditional supplier management, the manufacturer constructs and operates this virtual warehouse to check the inventory levels of all the required material at the same time, but each supplier can access only the information about its inventory. This virtual warehouse-based approach can foster a tight relationship between the manufacturer and its suppliers and can handle suppliers as a single company without a large investment in constructing a physical warehouse. The virtual warehouse-based approach seems to be more economically sustainable. To investigate the effect of inventory information sharing via the virtual warehouse, we developed and analyzed a system dynamics-based simulation model. The experiment results show that sharing the inventory information of the suppliers via the virtual warehouse can help manufacturers to achieve better operational performance on several important measures, such as the reduction of finished goods inventory, parts purchasing quantity, degree of backlogs, and total cost.

show abstract

“…Specifically, these studies have dealt with the inventory errors from different sources, such as temporary shrinkage [22,23], transaction errors [24], and misplaced inventory [25,26]. The other stream mainly investigates the effect of inventory inaccuracy on supply chain performance [27][28][29], among which several studies have analyzed the effect of inventory inaccuracy on collaborative Supply Chains [6,30,31]. This study belongs to the first stream of literature and focuses on the misplaced inventory problem.…”

Section: Literature Reviewmentioning

confidence: 99%

Risk Analysis of a Two-Level Supply Chain Subject to Misplaced Inventory

Zhu

Lee

2017

Applied Sciences

View full text Add to dashboard Cite

Abstract:Misplaced inventory is prevalent in retail stores and may lead to the overall poor performance of the supply chain. We explore the impact of misplaced inventory on a two-level supply chain, which consists of a risk-neutral supplier and a risk-averse retailer. The supplier decides the wholesale price to maximize her profit, whereas the retailer decides the order quantity to maximize his utility. Under the Conditional Value-at-Risk (CVaR) criterion, we formulate the problem as a Stackelberg game model and obtain the equilibrium solutions in three cases: (i) information asymmetry about inventory errors exists; (ii) the retailer shares information about inventory errors with the supplier; and (iii) in order to reduce misplaced inventory, the supply chain deploys Radio-Frequency Identification (RFID) technology. The benefits of information sharing and RFID implementation are explored. A revenue and cost sharing contract is proposed to coordinate the supply chain and to allocate the cost savings from RFID implementation among supply chain participants. Finally, we provide managerial insights for risk-averse decision makers that are considering investing in the RFID technology.

show abstract

The effect of Inventory Record Inaccuracy in Information Exchange Supply Chains

Cited by 65 publications

References 100 publications

The impact of the supply chain structure on bullwhip effect

The impact of the supply chain structure on bullwhip effect

The Economic Effect of Virtual Warehouse-Based Inventory Information Sharing for Sustainable Supplier Management

Risk Analysis of a Two-Level Supply Chain Subject to Misplaced Inventory

Contact Info

Product

Resources

About