Approximate Continuous Review Inventory Models with the Consideration of Purchase Dependence
0
조회
0
다운로드
0
인용
0
참고문헌
키워드
초록
This paper introduces the existence of purchase dependence that was identified during the analysis of inventory operations practice at a sales agency of dealing with spare parts for ship engines and generators. Purchase dependence is an important factor in designing an inventory replenishment policy. However, it has remained mostly unaddressed. Purchase dependence is different from demand dependence. Purchase dependence deals with the purchase behavior of customers, whereas demand dependence deals with the relationship between item-demands. In order to deal with purchase dependence in inventory operations practice, this paper proposes (Q, r) models with the consideration of purchase dependence. Through a computer simulation experiment, this paper compares performance of the proposed (Q, r) models to that of a (Q, r) model ignoring purchase dependence. The simulation experiment is conducted for two cases : a case of using a lost sale cost and a case of using a service level. For a case of using a lost sale cost, this paper calculates an order quantity, Q and a reorder point, r using the iterative procedure. However, for a case of using a service level, it is not an easy task to find Q and r. The complexity stems from the interactions among inventory replenishment policies for items. Thus, this paper considers the genetic algorithm (GA) as an optimization method. The simulation results demonstrates that the proposed (Q, r) models incur less inventory operations cost (satisfies better service levels) than a (Q, r) model ignoring purchase dependence. As a result, the simulation results supports that it is important to consider purchase dependence in the inventory operations practice.
Abstract
This paper introduces the existence of purchase dependence that was identified during the analysis of inventory operations practice at a sales agency of dealing with spare parts for ship engines and generators. Purchase dependence is an important factor in designing an inventory replenishment policy. However, it has remained mostly unaddressed. Purchase dependence is different from demand dependence. Purchase dependence deals with the purchase behavior of customers, whereas demand dependence deals with the relationship between item-demands. In order to deal with purchase dependence in inventory operations practice, this paper proposes (Q, r) models with the consideration of purchase dependence. Through a computer simulation experiment, this paper compares performance of the proposed (Q, r) models to that of a (Q, r) model ignoring purchase dependence. The simulation experiment is conducted for two cases : a case of using a lost sale cost and a case of using a service level. For a case of using a lost sale cost, this paper calculates an order quantity, Q and a reorder point, r using the iterative procedure. However, for a case of using a service level, it is not an easy task to find Q and r. The complexity stems from the interactions among inventory replenishment policies for items. Thus, this paper considers the genetic algorithm (GA) as an optimization method. The simulation results demonstrates that the proposed (Q, r) models incur less inventory operations cost (satisfies better service levels) than a (Q, r) model ignoring purchase dependence. As a result, the simulation results supports that it is important to consider purchase dependence in the inventory operations practice.
참고문헌 (21)
- Bala, P. K., "Identification of purchase dependencies in retail sale", International Journal of Strategic Management, 8(2), pp.75~83 (2008)
- Bala, P. K., "Association rule for purchase dependence in multi-item inventory", Production Planning and Control, 21(3), pp.274~285 (2010)
- 장석화, "단일 공급자 다수 구매자 공급체인에서 통합 생산 및 재고 모형", 산업경영시스템학회지, 38(3), pp.117~126 (2015), 한국산업경영시스템학회
- Choi, J.Y., "A continuous review (S-1, S)inventory policy in which depletion is due to demand and loss of units", Journal of the Korea Society for Quality Managemet, 15(1), pp.55~62 (1987)
- Corbett, C.J., "A generalization of the inventory pooling effect to nonnormal dependent demand", Manufacturing and Service Operations Management, 8(4), pp.351~358 (2006)
- Dong, L., "Optimal policies and approximations for a serial multiechelon inventory system with time-correlated demand", Operations Research, 51(6), pp.969~980 (2003)
- Eppen, G. D., "Effects of centralization on expected costs in a multi-location newsboy problem", Management Science, 25(5), pp.498~501 (1979)
- Hadly, G., "Analysis of Inventory Systems" (1963), Prentice-Hall
- Johnson, G.D., "Optimality of myopic inventory policies for certain dependent demand processes", Management Science, 21(11), pp.1303~1307 (1975)
- Larsen, C., "The Q(s, S) control policy for the joint replenishment problem extended to the case of correlation among item-demands", International Journal of Production Economics, 118(1), pp.292~297 (2009)
- Lee, L.H., "A dynamic joint replenishment policy with auto-correlated demand", European Journal of Operational Research, 165(3), pp.729~747 (2005)
- Liu, L., "Coordinated replenishments in inventory systems with correlated demands", European Journal of Operational Research, 123(3), pp.490~503 (2000)
- Roiger, R.J., "Data Mining : A Tutorial-Based Primer" (2003), Addison Wesley
- Urban, T. L., "A periodic-review model with serially- correlated, inventory-level-dependent demand", International Journal of Production Economics, 95(3), pp.287~295 (2005)
- Urban, T. L., "Reorder level determination with serially correlated demand", Journal of the Operational Research Society, 51(6), pp.762~768 (2000)
- Veinott, A. F., "Optimal policy for a multi-product, dynamic, non-stationary inventory problem", Management Science, 12(3), pp.206~222 (1965)
- Wong, R. C., "Data mining for inventory item selection with cross-selling considerations", Data Mining and Knowledge Discovery, 11(1), pp.81~112 (2005)
- Yan, X. S., "Inventory performance under pack size constraints and spatially-correlated demand", International Journal of Production Economics, 117(2), pp.330~337 (2009)
- Zhang, R., "An extension of partial backordering EOQ with correlated demand caused by cross-selling considering multiple minor items", European Journal of Operational Research, 220, pp.876~881 (2012)
- Zhang, R., "Deterministic EOQ with partial backordering and correlated demand caused by cross-selling", European Journal of Operational Research, 210, pp.537~551 (2010)
- Zhang, R., "Model and heuristic algorithm of the joint replenishment problem with complete backordering and correlated demand", International Journal of Production Economics, 139(1), pp.33~41 (2012)