Font Size: a A A

Research On Coordination Of Inventory In Supply Chain

Posted on:2006-05-25Degree:MasterType:Thesis
Country:ChinaCandidate:M X RenFull Text:PDF
GTID:2166360155954758Subject:Management Science and Engineering
Abstract/Summary:PDF Full Text Request
In the environment of the supply chain management, the inventory coordination is important factor that affects a cooperative relation and the cooperation efficiency between supplier and manufactory. Conflicts between the enterprise in supply chain exists in the inventory management. The performance of the conflict is the compulsion among the supply chain partners including the compulsion of downstream node of the SC on the upstream node of the SC, the compulsion of the more powerful node of the SC on the less powerful node of the SC etc, the main compulsion is price-compulsion, cost-compulsion and inventory quantity compulsion .The result is the profit-compulsion and living space compulsion. For example, the manufacturer with the monopolization power minimize its cost by transferring its raw material inventory or finished goods to the supplier(retailer). This kind of compulsion can bring the adverse effects not only on the supply but also on the less powerful enterprise. In generally, it also can increase the cost of the supply chain and influence the competition power of the SC. The lack of coordination and cooperate among the supply chain partner is a general problem in the SC management. One of the most important in supply chain management is lack of the concept of unit, coordinate and corporation. The partners in the dispersive control SC make decision base on the rules which maximizing their interests. The most satisfied desire of the SC node-enterprise can not reach simultaneously. Conflict and competition exist among the SC partners. The optimal goal to the individual may be independent of the SC goals,,even may conflict with system goal which result in the inefficient inferior state of SC system. Supply Chain is a unit. The optimal operation performance can be obtain. Inventory is important node of SC. The scale of inventory cost affects the performance of SC management. The inventory coordination among the SC partners is the key to realizing the coordination of SC nodes and integration of SC. In generally, the aim of SC inventory coordination is develop the SC system advantages through all kinds of means on the condition suppose of the consumer service standard, so that reduce the inventory quantity both SC partners and the system .Many factors affect the SC inventory coordination, such as the transfer price when manufacturer sell the goods to the retailers. Transfer price directly affect the benefits of manufacturer and the benefits of retailer with sacrificing another's benefits. Whether the contract made by the manufacturer and retailers permitted the return of goods item also can affect both sides benefits. Permitting the return of good can lower retailer's risk significantly, in other words, which affect the both sides'benefits. If permitting the return of good , how to decide the price of return goods which can be original or discount price, and how to decide the ratio of discount can influence both sides benefits. The payment method is another important influence factor. The cash sale can reduce the funds cost for the manufacturer compare with credit sale; Still a more important influence factor is batch quantity of retails order toward manufacturer. The difference of patch cost and unit inventory cost between manufacturer and retailer course the difference of economic lot size and economic order quantity. The more batch quantity tilt to one side, the more advantageous the side have. Transfer price, order time and order quantity is most three important factors among the mentioned influence factors. This paper focus on these three factors taking no account of other factors. The inventory coordination policy among the supply chain partner Is to provide an incentive to other member enterprise ,that is ,take use of certain coordination means to reduce supplier's/ manufacturer's inventory cost or increase supplier's/ manufacturer's profit without increase the supply chain system cost on the mean time. There are many coordination means in the practice such as quantity discounts, batch quantity discount, batch discount, price discount and common replenishment epoch etc. This paper research the inventory model base on the quantity discount and common replenishment epoch. This text builds up two kinds inventory coordination model. One model is to adopt discount quantity ,which exist in the practice extensively, as the coordination policy and combine price-making, produce batch quantity and order quantity policy aiming at increasing the market demand and decreasing the inventory relevant cost(holding cost, order cost).Asymmetric information influence the decision significantly ,even essentially. This paper discusses the establish-ment of the inventory coordination strategy respectively under the condition of symmetric information and asymmetric information . First we got the equilibrium solution(Stackelberg) of the wholesale price and the order quantity independently non-cooperatively with symmetric information. Comparing with the cooperative equilibrium solution, coordination policy can increase system profit. The adoption of quantity discount as the coordinationpolicy (the or manufacturer' the s incentive to retailer) influence the retailer' s order behavior. Study the result enunciation, the quantity discounts is one valid coordination means, making the system profits have the increment, making the dealer order the batch quantity big in his EOQ( the economy orders the batch quantity), from here, lowered the related cost of the both parties' stock on the other hand, on the other hand raised the market demand. The result of research is that quantity discount is a effective coordination policy, which can increase the supply chain profit and enhance the order quantity larger than the EOQ. Thus, lowered the both parties' inventory relevant cost on the one hand, raised the market demand on the other hand. Price-making combined with the quantity under symmetric information is the traditional the supply chain inventory optimal and coordination model and methods. This paper studies a single buyer-single manufacturer two epoch supply chain inventory coordination model base on price-making with quantity discounts under the asymmetric information. We analysis and give the optimal contract with asymmetric information. Moreover, the general assumption on the demand is fixed in traditional quantity discounts model , and the purpose of discount plant is lowering the relevant cost of inventory in the supply system. The demand assumption of this paper is price sensitive , and the purpose of discount plan is lowering the relevant cost of inventory in the supply system and drawing on more demand at the same time. The second model of this paper established is inventory coordination model base on common replenishment epochs. The model studied inventory coordination mechanism of single supplier and single retailer in the dispersive decision system base on common replenishment policy and transfer price discount. In order to lower the order deal cost and inventory cost, supplier hope the retailer adopt common replenishment order policy, but this order policy makes the dealerthe percentage of the income of voice communication serving among the total income has decreased to 0.7%.The leadership hasn't thought much of the voice communication serving because of it's low income. furthermore, the condition that the developers feel satisfaction at the actuality, also result in that voice communication serving's content is humdram and lack of innovation. Aiming at the questions above, first, we partition the type of voice communication serving and the user particularly. Based on the partition, we advanced the strategy of the difference. Including the strategy ab...
Keywords/Search Tags:supply chain management, inventory coordination, common replenishment epochs
PDF Full Text Request
Related items