Research On The Method Of JMI Based Multilevel Inventory Management And System Implementation

With the competitive environment of market becoming fiercer and fiercer, enterprises are required to not only care about themselves, but also care about their upstream and downstream enterprises. And competition between enterprises has turn to competition between the supply chains which the enterprise belongs to. And in the procedure of management, inventory control is found to play an important role in decreasing the cost and increasing service level of supply chain. The theory of Joint Managed Inventory (JMI, for short) is brought up in this foundation. JMI, which emphasizes that enterprises take part in decision-making together, consider relationship between each other, and assume risk together is highly appraised by most enterprises. However, most theory about JMI does not point out an executable method about how to manage a multilevel inventory. Therefore, according to model-Analysis method, the question about how to apply JMI in multilevel inventory management is studied in this paper.Firstly, the core idea and the advantage of JMI is discussed in the paper, and the flow of business before and after JMI applied is studied. Through two cost models'compare, JMI is found to have advantage in saving cost in supply chain management. On the basis of two-level supply chain, the model of multilevel inventory management based on JMI is brought up.Then, the supply strategy under the model is studied. The replenishment problem is divided into two types, and mathematics models are set up according to real world. A Genetic algorithm (GA, for short) is put forward to solve the problem. The algorithm imports a method of two generation's competition to protect excellent chromosome and get the optimal new generation. This method avoids some problems that usually appear in GA and can get a more optimal solution.At last, a detail description of the design and implementation of a multilevel inventory management system is given.