A capacitated multi-echelon joint location-inventory model for supply chain management

Rany Metry Deskoores, Ali Diabat

Research output: Chapter in Book/Report/Conference proceedingConference contribution

Abstract

In this paper we impose a capacity restriction on a multi-echelon joint location-inventory model. The setting is that of a single product manufacturer distributing its product to a number of warehouses, each of which is assigned to a number of retailers. There is no lateral supply between warehouses and they do not share retailers. The model simultaneously makes decisions on location and inventory policy for both warehouses and retailers, and restricts the capacity of the warehouses to a point where it satisfies the sum of the reorder point and the reorder quantity. The model is then solved in GAMS, and a numerical study is carried out to show that the model outperforms separate models. In addition the sensitivity of the capacity constraint is analyzed.

Original languageEnglish (US)
Title of host publication41st International Conference on Computers and Industrial Engineering 2011
Pages80-85
Number of pages6
StatePublished - Dec 1 2011
Event41st International Conference on Computers and Industrial Engineering 2011 - Los Angeles, CA, United States
Duration: Oct 23 2011Oct 25 2011

Publication series

Name41st International Conference on Computers and Industrial Engineering 2011

Other

Other41st International Conference on Computers and Industrial Engineering 2011
CountryUnited States
CityLos Angeles, CA
Period10/23/1110/25/11

Keywords

  • Facility location
  • Integer-programming
  • Location-inventory
  • Supply chain

ASJC Scopus subject areas

  • Computer Science (miscellaneous)
  • Industrial and Manufacturing Engineering

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  • Cite this

    Deskoores, R. M., & Diabat, A. (2011). A capacitated multi-echelon joint location-inventory model for supply chain management. In 41st International Conference on Computers and Industrial Engineering 2011 (pp. 80-85). (41st International Conference on Computers and Industrial Engineering 2011).