Research On Policy Of Inventory Shortage In The Distributed Multi-level Storage System

With the development of marketing economic, each joint on the supply chain keeps a number of inventory to cope with the uncertainty of the supply and demand and the decrease of the marketing lot on one side, on the other side the violent competition makes the unit profit become less and less, which makes the cost of supply chain become more in the total cost. The cost of inventory is the most important inspect in the control of the supply chain cost.The main method of controlling the cost of the inventory is to control the amount of the inventory. The amount must be controlled both in precondition of reaching the serving level and by minimizing the cost of the inventory. But insufficiency of the inventory often happens because of the variety and uncertainty of the customers' demands. And the lack of inventory of the main joint will affect the sales of the joints on the backwards position of the supply chain. The best distribution of the inventory is in need under mis condition, which makes the cost of inventory in this inventory system is as little as possible.This paper begins with the basic conceptions of the inventory controlling. It analyzes when the central warehouse of an inventory system, including one central warehouse and several regional warehouse, is lack of inventory, which policy it choose to cope with this condition is best. It puts forward three kinds of methods, which are ordering in emergency, distributing the inventory equally and distributing the inventory according to need. The author constructs three models from three different angles and compares these methods by real case with enumerating searching and EXCEL. At the end of the paper, the author draws the conclusion that which policy is best.