The Research About Inventory Delivery Model Of Considering Reverse Logistics Under VMI

With the rapid development of China’s economy, it also generates immeasurable logistics costs in the 21st century. China’s total logistics costs account for 18% of GDP in 2013, while reverse logistics costs account for 25% of logistics costs. inventory costs is an important part of reverse logistics costs, the inventory costs of reverse product will consume about 40% of the logistics costs in general industrial entities, the proportion will be higher in the automotive and electronics industry. VMI is more mature inventory management ideas in recent years and have been widely applied to the study of forward logistics inventory delivery model, but these studies rarely consider the impact of adverse flow factors. In view of this, the paper researches inventory delivery model on the introduction of the reverse flow factors based on the related studies of forward logistics.Based on the consideration of single product, and the market demand of the product subject to independent Poisson distribution, the product after recovering can instantaneously updated with new products, this paper constructs two inventory systems that consider a fixed recovery and random recovery. The system considering a fixed recovery includes one inventory delivery model based on time and do not allow be out of stock and other inventory delivery model using real-time delivery. The system considering a random recovery contains the reverse logistics inventory delivery model based on time under VMI, the reverse logistics inventory delivery model based on number under VMI, and the blended inventory delivery model based on outsourcing strategy under VMI. The various models in this paper are unified data base, and then concluded four points through numerical analysis. First, based on the traditional forward logistics inventory delivery model, the paper takes into account the factors affecting of reverse logistics and build two systems considering static recovery and random recovery in accordance with the difference of recovery state. On the basis of random-recovery, this paper builds advancing gradually delivery model depending on the different shipping method. Second, the model assumptions of the text are continually tightening and gradually in line with the actual. In order to the comparison between models, each model in the paper verifies the numerical using data from the classical theory of Cetinkaya. Third, the paper finds that under the assumption conditions that the reflow products are economic, reverse flow factors can effectively play the role of a substitute, and achieve the purpose of reducing the average total cost, and also can optimize the related optimal variables. Fourth, For the delivery model based on number and mixed strategies, the costs will be the lowest when the quantity of the optimal delivery and the optimal order is equal, the optimal delivery cycle corresponding to reverse flow factor is the lowest at that time, because when the quantity of the optimal delivery and the optimal order is equal, the situation that a delivery is able to meet the market demand will happen, which can acquire the largest economies of scale.