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Author: | Xu, K. Evers, P.T. Fu, M.C. |
Title: | Estimating customer service in a two-location continuous review inventory model with emergency transshipments |
Journal: | European Journal of Operational Research
2003 : MAR 16, VOL. 145:3, p. 569-584 |
Index terms: | Distribution Inventory control Logistics |
Freeterms: | Emergency transshipments |
Language: | eng |
Abstract: | In this paper, an approximate analytical two-location inventory transshipment model is developed that combines the popular order-quantity, reorder-point (Q,R) continuous review ordering policy with a third parameter, the hold-back amount, which limits the level of outgoing transshipments. The degree to which transshipments improve both Type I (non-stockout probability) and Type II (fill rate) customer service levels can be calculated using the model. |
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