Research On Three - Level Inventory Strategy Of Various Cold Chain Products

With the improvement of the social living conditions, people have higher requirementon the diversity and freshness of. In order to meet the needs of the consumers and ensureagricultural products, efficient cold chain logistics become more and more important inthe food industry. With the change of the cold chain product demand, enterprises mustimprove the cold chain logistics operation conditions and strengthen the management ofcold chain logistics operation. Cold chain logistics in China started relatively late. Lack ofsupply chain management concept and the lower level of informationization lead to theupstream and downstream enterprises cannot connect effectively. So the upstreamenterprise response to market demands slowly, increasing the corruption and waste of food.In the current research about cold chain logistics, domestic and foreign scholars have afew studies on supply chain inventory model. What’s more, a single deteriorating item wasconsidered in supply chain inventory models generally. In practical cold-chain logistics,distributors or retailers can’t purchase only one kind of deteriorating item every time, buttake a variety of cold chain product batch order form. According to consumers’ demandand products’ characteristics, the operator overall arrange to order products in order toreduce the order frequency and the associated costs.An integrated inventory model is developed for a variety of cold chain products withconstant deterioration rate with a constant productivity rate and a time-varying demandrate in a limited time period. There are manufacturer, distributor and retailer in the system.In the study, distributor (retailer) adopts joint replenishment strategy and members’inventory changes are described by differential equations. The objective of this model is tomaximize the expected total profit of system and every participant’s profit is required to benonnegative. The optimal inventory procurement strategy can be obtained by solving themodel. A numerical example with exponential is given to illustrate the model which usethe LINGO software to solve the optimal strategy. It provides a scientific basis for supplychain enterprises that involve in purchasing a variety of cold chain products to seek thebest inventory replenishment strategy. Simulation case verifies further the correctness andvalidity of the model.