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| Author: | Gavirneni, S. |
| Title: | Benefits of co-operation in a production distribution environment |
| Journal: | European Journal of Operational Research
2001 : MAY 1, VOL. 130:3, p. 612-622 |
| Index terms: | SUPPLY CHAIN MANAGEMENT INVENTORY CONTROL INFORMATION TRANSFER |
| Language: | eng |
| Abstract: | This paper models cooperation in a typical production distribution setting that contains one capacitated supplier producing and distributing a single product to many identical retailers who are facing i.i.d. end term demands from the consumers. It consider three inventory allocation mechanisms, representing varying degrees of co-operation, at the supplier: (1) the orders from the retailers are filled in a predetermined time; (2) the orders from the retailers are filled are filled after taking into account their current inventories; and (3) the orders from the retailers are filled assuming that the product can also be shipped from one retailer to another. It estimates the benefits due to co-operation in this supply chain and study the effect of various system parameters on these benefits. |
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