Supply Chain Inventory Optimization Based On Random Ordering Lead-time

Intensifing competition, advanced technology and complicated customer demand make competition model changed. From 1990s, time-based competition model has been a strategic competitive weapon. Around the entire market environment, products (service) quality and price has almost the same as each other, the key competitive factors shift to the time. So condesing lead-time puts in force urgently, compression lead-time can reduce inventory, lower costs, but simply emphasizing rapid response of one aspects have no practical significance, from the supply chain perspective to shorten the supply chain response time on each link, and then to establish feasible and effective inventory management, ultimately win the market competitiveness of customer market.By lead time, response of supply chain connects to all level member of supply chain,length of lead time directly affects costs and performance of the entire supply chain. In this paper, based on existed literature, first assume that one unit of retailer demand (1 day) obey N(μ,σ2), then the retailer demand during lead-time submit to N(Lμ,Lσ2), retailer's demand is the supplier's ordering, with coincidence to Poisson nature, Poisson distribution assumed, then the demand during lead time obeys Poisson distribution, establishes supply chain inventory model based onfixed lead-time, Stochastic lead-time separately, retailer's lead-time and supplier's amout out of stock have function connection in the model, obtained by case analysis, based on the principle of cost minimization to control and manage lead-time,can lower supply chain cost utmostly caused by stochastic lead-time;At the same time, by comparing stock,shortage and cost of the retailer and the supplier based on fixed lead time and random lead-time, finds that random lead time is indeed give a great risk to inventory management, which is actual proof of correctness and rationality of the model. Finally, with above quantitative analysis, from the perspective of the entire supply chain, using Collaborative Planning, Forecasting and Replenishment and basic multi-echelon inventory control strategy which are supply chain inventory management methods to control lead-time around the supply chain conrner,and then gives actual measures and performance flow,which is executable.