We investigate how capacity limitations in the transportation system affect the dynamic behaviour of supply chains. We are interested in the more recently defined, ‘backlash’ effect. Using a system dynamics simulation approach, we replicate the well known Beer Game supply chain for different transport capacity management scenarios. The results indicate that transport capacity limitations negati...

Most supply chain works suppose retailers can credibly communicate costs to suppliers. But honest cost disclosure can be untenable because stores can shift the inventory burden upstream by inflating marginal costs (e.g., they can reduce stockout rates by exaggerating the goodwill lost to unsatisfied demand). So suppliers may not receive true cost estimates, preventing them from instituting opti...

Product returns from market to the manufacturer can happen because of the motivation to capture the value content of the product after use or the obligation from legislation and the environmental concerns. A manufacturing system capable of integrating both the manufacturing and remanufacturing activities can help the recovery of value content in the products after the end of product’s use life....

in the recent decade, special attention is paid to reverse logistic due to economic benefits of recovery and recycling of used products as well as environmental legislation and social concerns. on the other hand، many researches claim that separately and sequential planning of forward and reverse logistic causes sub-optimality. effective transport activities are also one of the most important c...

Inventory control is a fundamental activity in closed loop supply chains, particularly for remanufacturing processes. Several models have been developed in the literature where the aim is mostly to optimize cost or profit and to find the optimal order quantity for an integrated production and remanufacturing system. In this study, we explore a System Dynamics approach in order to model an inven...

Multi-echelon inventory systems are one of the most important and attractive areas in modelling supply chain management so that several researches and studies have been done about. In this paper, the total cost function of a two-echelon inventory system with central warehouse and many identical retailers controlled by continuous review inventory policy is estimated. We have assumed the demand i...

We provide a review of the types of equilibria typically found in operations management inventory papers and a discussion on when the commonly used stationary infinite-horizon (open-loop) equilibrium may be sufficient for study. We focus particularly on order-up-to and basestock equilibria in the context of inventory duopolies. We give conditions under which the stationary infinite-horizon equi...

The successful implementation of supply chain management depends on many soft issues (strategic/behavioural) such as organizational resistance to change, inter-functional conflicts, joint production planning, profit sharing, team oriented performance measures, channel power shift, information sharing, real time communication, inventory and technical compatibility (Min & Zhou 2002). Many of the ...