A stochastic micro-periodic age-based inventory replenishment policy for perishable goods

Larissa Janssen, Ali Diabat, Jürgen Sauer, Frank Herrmann

    Research output: Contribution to journalArticle

    Abstract

    In this paper, we propose a micro-periodic inventory replenishment policy for quickly perishable goods with fixed and known lifetime of items, deterministic lead time, fixed given order cycle, mixed issuing policies (FIFO and LIFO), age-based stock, imperfect items and target customer service level under random demand. The inventory policy is based on time of day (morning, midday, afternoon or evening). The results of our simulation study show that the proposed micro-periodic inventory policy leads to waste reduction of 66% as well as a partial decrease in cost compared to inventory policy with planning on a daily basis.

    Original languageEnglish (US)
    Pages (from-to)445-465
    Number of pages21
    JournalTransportation Research Part E: Logistics and Transportation Review
    Volume118
    DOIs
    StatePublished - Oct 1 2018

    Fingerprint

    Planning
    Costs
    time of day
    customer
    simulation
    planning
    Inventory policy
    Perishable goods
    Inventory replenishment
    Replenishment policy
    demand
    costs
    Waste reduction
    Random demand
    Customer service
    Simulation study
    Service levels
    LIFO
    Lead time
    time

    Keywords

    • Inventory
    • Micro-periodic
    • Perishable goods
    • Simulation study
    • Stochastic demand
    • Waste reduction

    ASJC Scopus subject areas

    • Business and International Management
    • Civil and Structural Engineering
    • Transportation

    Cite this

    A stochastic micro-periodic age-based inventory replenishment policy for perishable goods. / Janssen, Larissa; Diabat, Ali; Sauer, Jürgen; Herrmann, Frank.

    In: Transportation Research Part E: Logistics and Transportation Review, Vol. 118, 01.10.2018, p. 445-465.

    Research output: Contribution to journalArticle

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