A Two-Echelon Supply Chain Inventory Model For Single Vendor and Multi-Buyer With Common Replenishment Epoch  

Oleh:

Sholihah, Sita Aniisah ; Bahagia, Senator Nur

Jenis: Article from Proceeding
Dalam koleksi: APCOMS 2009: The 2nd Asia-Pacific Conference on Manufacturing System: Reconfigurable Manufacturing System for Facing Turbulent Manufacturing Environment, November 4th-5th, 2009, Yogyakarta, Indonesia, page III.3-6.
Topik: Common Replenishment Epoch; Echelon Inventory; Discount Price
Fulltext: APCOMS G3-1.pdf (236.16KB)

Isi artikel

Common Replenishment Epoch (CRE) is one of coordination type in supply chain management, where buyer’s replenishment happened at period of vendor’s replenishment. Compensation for applying CRE is given to every buyer a discount price. Many research about CRE have been conducted. Viswanathan and Piplani (2001) developed CRE model which concept is one replenishment for one order. Besides that, Wen-Jen and Chih-Hung (2002) applied CRE which there are several replenishment process with batch delivery for one ordering process. The weakness from both models are that the level of compensation given directly by the management is equals to 100S% for buyer losses and total cost is considered as the only cost of vendor. So that, to ascertain both side vendor and buyers profitted, this model developed with integrated approach to maximize saving cost system considering vendor’s and buyer’s cost. The solution of model using optimization and heuristic method. Optimization used to find compensation discount price amount Zi for every buyer and period of vendor’s replenishment, while heuristic method used to find combination of order’s and replenishment’s period at buyer i. Using the same numerical example, this model is resulting saving cost system about $1,123,197.00 or 0.53 percent compared to without CRE.

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