Research On Inventory Management Model In Cluster Supply Chains Based On System Dynamics

With the continuous improvement of science and technology and productivity, themarket competition is intensifying day by day, and combined with China’s accession to theWTO, China has become a "world factory". So in order to improve their competitiveness,many small and medium-sized enterprises gathered in a geographical area, and formedindustrial clusters. And with the development of industrial clusters, c luster supply chainbecame a new kind of enterprise network organization forms which couple of industrialclusters and supply chain. However, due to the low development level, the lack of reasonableplanning and scientific management, many advantages of industrial clusters are not obvious,and high inventory levels are always restricts the development of cluster supply chain. So theinventory coordination problem of cluster supply chain becomes one of the key points in thestudy of the theory of cluster supply chain. But most of the researches on inventorycoordination of cluster supply chain only focus on horizontal cooperation in different singlechains, while ignored the vertical cooperation in one single chain. Therefore, this paperintroduces the method of supply chain inventory management into the cluster supply chain,and puts forward the implementation of supply chain inventory management strategy underthe circumstance of cluster supply chain.The paper firstly discusses the applicability of applying system dynamics to theinventory study of cluster supply chain, and then respectively analyzes the behavior patternsof cluster supply chain CPFR, VMI and JMI system model. According to the point, the clustersupply chain CPFR, VMI and JMI inventory management model are established. After aseries of tests on the system models, system model validity is certificated. Then are thesimulation analysis stages of three inventory mode under the different demand conditions, andresults show that, cluster supply chain CPFR model is the optimal inventory coordinationmodel in terms of the customer satisfaction rate and total inventory. Finally, this paper usesthe town of Guzhen in Zhongshan city as the professional background of the actual cases, andcompares the cluster supply chain traditional and CPFR inventory management model, to test the applicationof the cluster supply chainCPFR inventory management model. What’s more,the paper optimizes the Guzhen cluster supply chain CPFR model by adding across-chaininventory coordination.