Impact On Supply Chain’s Performance Under Different Ordering Policy With Penalty Cost

With the rapid development of social economy, in order to satisfy the high-speeddevelopment of the social demand, more and more scholars begin to pay closeattention to the supply chain. This thesis treats distribution supply chain as an objectto research supply chain’s performance under a special supply chain contracts(schedule policy distribution). Not only could the research of distribution supply chainincrease the profits of the business, but also own some significance to the healthydevelopment of the national economy.Started from the study of the theory of sched ule order strategies, this thesisintroduces the definition of schedule ordering policy and we make a literature reviewabout relevant research. Taking a supplier and two retailers component of the twolevels of distribution supply chain as an example, we analyze how the supplier useschedule ordering strategies to deal with variational consumer demand fluctuation.Without setup cost, we analyzes the effect of two scheduled ordering strategy--FreeOrdering Policy and Schedule Balance Ordering Policy in reducing the cost of allenterprises in the supply chain with penalty cost. Also from two aspects, consumerdemand fully independent and completely related in, we analyze the effect of scheduleordering policy for comparison and get the inventory level of supplier and retailersbased on two schedule ordering strategy. To make the model more close to reality, weadd penalty cost to the model; Finally, in order to verify the validity of the model andthe influence of some important variables to supply chain cost, we add the numericalanalysis parts with Matlab program. The results of the study show that, in reducinginventory cost of retailers and suppliers, SBOP is much better than FOP.