This paper considers the performance of a production or distribution-scheduling algorithm termed Automatic Pipeline, Inventory and Order Based Production Control System (APIOBPCS) embedded within a Vendor Managed Inventory (VMI) supply chain where the demand profile is deemed to change significantly over time. A dynamic model of the system using causal loop diagrams and difference equations is ...

Supply chain management is important for companies and organizations to improve their business and enhance competitiveness in the global marketplace. The bullwhip effect problem of supply chain systems with vendor order placement lead time delays in an uncertain environment is addressed in this paper. Among the numerous causes of bullwhip effect, we focus on uncertainties with respect to demand...

Prior studies on performance-based contracting (PBC) for after-sales services have highlighted its advantages over traditional resource-based contracting (RBC), when products are established and their reliability is known to all parties. We develop a game theoretic model to investigate how these insights are affected when the vendor is privately informed about the reliability of a newly develop...

The paper analyses the problem of coordination in supply networks of multiple retailers and a single supplier, where partners have asymmetric, private information of demand and costs. After stating generic requirements like distributedness, truthfulness, efficiency and budget balance, we use the apparatus of mechanism design to devise a coordination mechanism that guarantees the above propertie...

The paper analyses the problem of coordination in supply networks of multiple retailers and a single supplier, where partners have asymmetric, private information of demand and costs. After stating generic requirements like distributedness, truthfulness, efficiency and budget balance, we use the apparatus of mechanism design to devise a coordination mechanism that guarantees the above propertie...

The production routing problem (PRP) considers the coordination of production, inventory, distribution, and routing decisions in a supply chain. In this work, we focus on production routing in the industrial gas business, where the challenge lies in the simultaneous optimization of complex and power-intensive production plants and highly integrated supply chains with vendor-managed inventory (V...

This paper addresses some of the challenges faced by a company which is responsible for delivering coal to its four subsidiaries situated along a river, through river hired or selfowned vessels. We propose to adopt a vendor managed inventory concept that involves establishment of a central warehouse at the port, and apply the Markov Decision Process (MDP) to formulate both ordering and delivery...

In this study, a two phase hybrid heuristic approach was proposed to solve the multi-depot multi-vehicle inventory routing problem (MDMVIRP). Inventory routing problem (IRP) is one of the major issues in the supply chain networks that arise in the context of vendor managed systems (VMI) The MDMVIRP combines inventory management and routing decision. We are given on input a fleet of homogeneous ...

I n this paper we consider a cooperative, two-level supply chain consisting of a retailer and a supplier. As in many practical settings, the supply chain members progressively observe market signals that enable them to explain future demand. The demand itself evolves according to an auto-regressive time series. We examine three types of supply chain configurations. In the first setting, the ret...