Research On Inventory And Transportation Integrated Optimization Based On VMI

Vendor Managed Inventory (VMI) is a new inventory management strategy under supply chain management environment. It gives the upstream enterprise privilege of inventory decision making of the downstream enterprise, and provides a new chance for integrated optimization the transportation and inventory of upstream and downstream enterprises to overcome the"trade-off" problem between transportation and inventory, and to reduce logisties costs.At present, researches on inventory and transportation integrated optimization are foucsed on the integrated optimization of single-stage inventory and transportation. This paper analyzes the characteristics and content of the inventory and transportation integrated optimization in VMI, and studies a two-stage inventory and transportation integrated optimization problem, seeking to minimize the entire supply chain system cost.Firstly, this paper analyzes the main content and target of inventory optimization as well as transportation optimization under VMI strategy, and describes the characteristics and connotation of inventory and transportation integrated optimization problems based on VMI.Secondly, comprehensively considering the constraints of warehouse capacities of the suppliers and retailers, vehicle volumes and the customer service levels, this paper constructs a two-stage inventory and transportation integrated optimization model which contains one supplier and multiple retailers.Thirdly, analyzing the characteristics of the model and comparing the existing algorithm,we choose to use heuristic algorithm to solve the problem. We constructs a heuristic algorithm which contains two adaptive genetic algorithms.Finally, the papper uses the matlab programming to solution the example, and analyzes the results to verify the effectiveness of the model and algorithm.