Joint location-two-echelon-inventory supply chain model with stochastic demand

Malek Abu Alhaj, Ali Diabat

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

    Abstract

    Existing supply chain location-inventory models optimize over inventory policies and distribution center locations, but use a deterministic approach that does not take into consideration the uncertainty of demand. We present an extension to the deterministic multi-echelon joint location-inventory model that adds uncertainty by including a new variable that reflects the probability of different scenarios. We test the model using three different demand scenarios. To compare the results for the stochastic case with those of the deterministic case, the model is solved as a deterministic model under one scenario, and the cost of assuming a scenario other than the true scenario is calculated.

    Original languageEnglish (US)
    Title of host publication41st International Conference on Computers and Industrial Engineering 2011
    PublisherComputers and Industrial Engineering
    Pages25-30
    Number of pages6
    Volume2011-January
    ISBN (Print)9781627486835
    StatePublished - Jan 1 2011
    Event41st International Conference on Computers and Industrial Engineering 2011 - Los Angeles, CA, United States
    Duration: Oct 23 2011Oct 25 2011

    Other

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

    Fingerprint

    Supply chains
    Costs
    Uncertainty

    Keywords

    • Integer programming
    • Location problem
    • Supply chains
    • Uncertainty modeling

    ASJC Scopus subject areas

    • Computer Science (miscellaneous)
    • Industrial and Manufacturing Engineering

    Cite this

    Alhaj, M. A., & Diabat, A. (2011). Joint location-two-echelon-inventory supply chain model with stochastic demand. In 41st International Conference on Computers and Industrial Engineering 2011 (Vol. 2011-January, pp. 25-30). Computers and Industrial Engineering.

    Joint location-two-echelon-inventory supply chain model with stochastic demand. / Alhaj, Malek Abu; Diabat, Ali.

    41st International Conference on Computers and Industrial Engineering 2011. Vol. 2011-January Computers and Industrial Engineering, 2011. p. 25-30.

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

    Alhaj, MA & Diabat, A 2011, Joint location-two-echelon-inventory supply chain model with stochastic demand. in 41st International Conference on Computers and Industrial Engineering 2011. vol. 2011-January, Computers and Industrial Engineering, pp. 25-30, 41st International Conference on Computers and Industrial Engineering 2011, Los Angeles, CA, United States, 10/23/11.
    Alhaj MA, Diabat A. Joint location-two-echelon-inventory supply chain model with stochastic demand. In 41st International Conference on Computers and Industrial Engineering 2011. Vol. 2011-January. Computers and Industrial Engineering. 2011. p. 25-30
    Alhaj, Malek Abu ; Diabat, Ali. / Joint location-two-echelon-inventory supply chain model with stochastic demand. 41st International Conference on Computers and Industrial Engineering 2011. Vol. 2011-January Computers and Industrial Engineering, 2011. pp. 25-30
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