Vendor managed inventory system considering deteriorating items and probabilistic demand for a three-layer supply chain
This paper proposes a Vendor Managed Inventory model for a three-layer supply chain comprised of multiple suppliers, manufacturers, and retailers. During the production and storage of products, rates of defective and deteriorated products are generated, respectively. The imperfect quality and deteri...
- Autores:
-
Salas-Navarro, Katherinne
Romero-Montes, Juan M.
Acevedo-Chedid, Jaime
Ospina-Mateus, Holman
Florez, Whady F.
Cárdenas-Barrón, Leopoldo Eduardo
- Tipo de recurso:
- Fecha de publicación:
- 2023
- Institución:
- Universidad Tecnológica de Bolívar
- Repositorio:
- Repositorio Institucional UTB
- Idioma:
- eng
- OAI Identifier:
- oai:repositorio.utb.edu.co:20.500.12585/12149
- Acceso en línea:
- https://hdl.handle.net/20.500.12585/12149
- Palabra clave:
- Deteriorating item
Probabilistic demand
Supply chain
Vendor managed inventory
- Rights
- openAccess
- License
- http://creativecommons.org/licenses/by-nc-nd/4.0/
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Vendor managed inventory system considering deteriorating items and probabilistic demand for a three-layer supply chain |
| title |
Vendor managed inventory system considering deteriorating items and probabilistic demand for a three-layer supply chain |
| spellingShingle |
Vendor managed inventory system considering deteriorating items and probabilistic demand for a three-layer supply chain Deteriorating item Probabilistic demand Supply chain Vendor managed inventory |
| title_short |
Vendor managed inventory system considering deteriorating items and probabilistic demand for a three-layer supply chain |
| title_full |
Vendor managed inventory system considering deteriorating items and probabilistic demand for a three-layer supply chain |
| title_fullStr |
Vendor managed inventory system considering deteriorating items and probabilistic demand for a three-layer supply chain |
| title_full_unstemmed |
Vendor managed inventory system considering deteriorating items and probabilistic demand for a three-layer supply chain |
| title_sort |
Vendor managed inventory system considering deteriorating items and probabilistic demand for a three-layer supply chain |
| dc.creator.fl_str_mv |
Salas-Navarro, Katherinne Romero-Montes, Juan M. Acevedo-Chedid, Jaime Ospina-Mateus, Holman Florez, Whady F. Cárdenas-Barrón, Leopoldo Eduardo |
| dc.contributor.author.none.fl_str_mv |
Salas-Navarro, Katherinne Romero-Montes, Juan M. Acevedo-Chedid, Jaime Ospina-Mateus, Holman Florez, Whady F. Cárdenas-Barrón, Leopoldo Eduardo |
| dc.subject.keywords.spa.fl_str_mv |
Deteriorating item Probabilistic demand Supply chain Vendor managed inventory |
| topic |
Deteriorating item Probabilistic demand Supply chain Vendor managed inventory |
| description |
This paper proposes a Vendor Managed Inventory model for a three-layer supply chain comprised of multiple suppliers, manufacturers, and retailers. During the production and storage of products, rates of defective and deteriorated products are generated, respectively. The imperfect quality and deteriorating items are removed from the lot size. The decision variables include the replenishment cycles and production rates of finished products, order times, and raw materials production rates. It is assumed that deteriorating rates are constant, and the demand rates of retailers are probabilistic. A joint optimization model is developed to maximize the benefit function of the supply chain. Cost of order, deterioration, holding, screening, production, disposal, fixed, labor, purchasing, and others. A collaborative approach is considered among the chain members where the manufacturers lead the inventory policies to avoid risks associated with deterioration items. Moreover, the Taylor series expansion approximates the exponential terms, and a solution procedure is proposed to find the optimal solutions. A case study of the Dairy Industry for highly perishable products is provided to apply the VMI model and perform a sensitivity analysis. This collaboration scheme is developed according to confidentiality policies to share information related to sales forecast, operational cost, storage strategies, quality conditions, and increased product rotation to reduce deterioration. The results show greater participation of the retailers and manufacturers in the benefits of the chain, which is consistent with the VMI policy. Finally, the conclusion, managerial implications, and future research are presented. |
| publishDate |
2023 |
| dc.date.accessioned.none.fl_str_mv |
2023-07-18T19:35:16Z |
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2023-07-18T19:35:16Z |
| dc.date.issued.none.fl_str_mv |
2023-01-23 |
| dc.date.submitted.none.fl_str_mv |
2023-07 |
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http://purl.org/coar/version/c_b1a7d7d4d402bcce |
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http://purl.org/coar/resource_type/c_2df8fbb1 |
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info:eu-repo/semantics/article |
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info:eu-repo/semantics/draft |
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http://purl.org/coar/resource_type/c_6501 |
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Salas-Navarro, K., Romero-Montes, J. M., Acevedo-Chedid, J., Ospina-Mateus, H., Florez, W. F., & Cárdenas-Barrón, L. E. (2023). Vendor managed inventory system considering deteriorating items and probabilistic demand for a three-layer supply chain. Elsevier - Expert Systems with Applications, 218. https://doi.org/10.1016/j.eswa.2023.119608 |
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https://hdl.handle.net/20.500.12585/12149 |
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10.1016/j.eswa.2023.119608 |
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Universidad Tecnológica de Bolívar |
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Repositorio Universidad Tecnológica de Bolívar |
| identifier_str_mv |
Salas-Navarro, K., Romero-Montes, J. M., Acevedo-Chedid, J., Ospina-Mateus, H., Florez, W. F., & Cárdenas-Barrón, L. E. (2023). Vendor managed inventory system considering deteriorating items and probabilistic demand for a three-layer supply chain. Elsevier - Expert Systems with Applications, 218. https://doi.org/10.1016/j.eswa.2023.119608 10.1016/j.eswa.2023.119608 Universidad Tecnológica de Bolívar Repositorio Universidad Tecnológica de Bolívar |
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https://hdl.handle.net/20.500.12585/12149 |
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eng |
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eng |
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http://creativecommons.org/licenses/by-nc-nd/4.0/ |
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info:eu-repo/semantics/openAccess |
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Attribution-NonCommercial-NoDerivatives 4.0 Internacional |
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Pdf |
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application/pdf |
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Cartagena de Indias |
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Campus Tecnológico |
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Elsevier - Expert Systems with Applications, Vol. 218 (2023) |
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Universidad Tecnológica de Bolívar |
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Salas-Navarro, Katherinned481e85c-2249-47f4-8bfd-a31800417ca1Romero-Montes, Juan M.31b0c3d9-2c25-49e8-a757-82a4bd3aedcdAcevedo-Chedid, Jaime55848f44-62b2-463a-8a80-58f6a2819afeOspina-Mateus, Holmandecb9d82-e4b8-470e-92c8-e2419b479ba0Florez, Whady F.47ba842e-4bf1-44d3-8fa2-64d9a367c077Cárdenas-Barrón, Leopoldo Eduardo1a1ec17e-6d6d-4fba-83e4-603f13aea1b02023-07-18T19:35:16Z2023-07-18T19:35:16Z2023-01-232023-07Salas-Navarro, K., Romero-Montes, J. M., Acevedo-Chedid, J., Ospina-Mateus, H., Florez, W. F., & Cárdenas-Barrón, L. E. (2023). Vendor managed inventory system considering deteriorating items and probabilistic demand for a three-layer supply chain. Elsevier - Expert Systems with Applications, 218. https://doi.org/10.1016/j.eswa.2023.119608https://hdl.handle.net/20.500.12585/1214910.1016/j.eswa.2023.119608Universidad Tecnológica de BolívarRepositorio Universidad Tecnológica de BolívarThis paper proposes a Vendor Managed Inventory model for a three-layer supply chain comprised of multiple suppliers, manufacturers, and retailers. During the production and storage of products, rates of defective and deteriorated products are generated, respectively. The imperfect quality and deteriorating items are removed from the lot size. The decision variables include the replenishment cycles and production rates of finished products, order times, and raw materials production rates. It is assumed that deteriorating rates are constant, and the demand rates of retailers are probabilistic. A joint optimization model is developed to maximize the benefit function of the supply chain. Cost of order, deterioration, holding, screening, production, disposal, fixed, labor, purchasing, and others. A collaborative approach is considered among the chain members where the manufacturers lead the inventory policies to avoid risks associated with deterioration items. Moreover, the Taylor series expansion approximates the exponential terms, and a solution procedure is proposed to find the optimal solutions. A case study of the Dairy Industry for highly perishable products is provided to apply the VMI model and perform a sensitivity analysis. This collaboration scheme is developed according to confidentiality policies to share information related to sales forecast, operational cost, storage strategies, quality conditions, and increased product rotation to reduce deterioration. The results show greater participation of the retailers and manufacturers in the benefits of the chain, which is consistent with the VMI policy. Finally, the conclusion, managerial implications, and future research are presented.Pdfapplication/pdfenghttp://creativecommons.org/licenses/by-nc-nd/4.0/info:eu-repo/semantics/openAccessAttribution-NonCommercial-NoDerivatives 4.0 Internacionalhttp://purl.org/coar/access_right/c_abf2Elsevier - Expert Systems with Applications, Vol. 218 (2023)Vendor managed inventory system considering deteriorating items and probabilistic demand for a three-layer supply chaininfo:eu-repo/semantics/articleinfo:eu-repo/semantics/drafthttp://purl.org/coar/resource_type/c_6501http://purl.org/coar/version/c_b1a7d7d4d402bccehttp://purl.org/coar/resource_type/c_2df8fbb1Deteriorating itemProbabilistic demandSupply chainVendor managed inventoryCartagena de IndiasCampus TecnológicoAcevedo-Chedid, J., Salas-Navarro, K., Ospina-Mateus, H., Villalobo, A., Sana, S.S. Production System in a Collaborative Supply Chain Considering Deterioration (2021) International Journal of Applied and Computational Mathematics, 7 (3), art. no. 69. Cited 6 times. https://link.springer.com/journal/40819 doi: 10.1007/s40819-021-00965-zAl-Ameri, T.A., Shah, N., Papageorgiou, L.G. Optimization of vendor-managed inventory systems in a rolling horizon framework (2008) Computers and Industrial Engineering, 54 (4), pp. 1019-1047. Cited 40 times. doi: 10.1016/j.cie.2007.12.003Alfares, H.K., Attia, A.M. A supply chain model with vendor-managed inventory, consignment, and quality inspection errors (2017) International Journal of Production Research, 55 (19), pp. 5706-5727. Cited 32 times. http://www.tandfonline.com/toc/tprs20/current doi: 10.1080/00207543.2017.1330566Borade, A.B., Sweeney, E. Decision support system for vendor managed inventory supply chain: A case study (2015) International Journal of Production Research, 53 (16), pp. 4789-4818. Cited 28 times. http://www.tandfonline.com/toc/tprs20/current doi: 10.1080/00207543.2014.993047Cai, J., Hu, X., Tadikamalla, P.R., Shang, J. Flexible contract design for VMI supply chain with service-sensitive demand: Revenue-sharing and supplier subsidy (Open Access) (2017) European Journal of Operational Research, 261 (1), pp. 143-153. Cited 78 times. https://www.journals.elsevier.com/european-journal-of-operational-research/ doi: 10.1016/j.ejor.2017.01.043Cai, J., Zhong, M., Shang, J., Huang, W. Coordinating VMI supply chain under yield uncertainty: Option contract, subsidy contract, and replenishment tactic (Open Access) (2017) International Journal of Production Economics, 185, pp. 196-210. Cited 57 times. doi: 10.1016/j.ijpe.2016.12.032Cárdenas-Barrón, L.E., Treviño-Garza, G., Wee, H.M. A simple and better algorithm to solve the vendor managed inventory control system of multi-product multi-constraint economic order quantity model (2012) Expert Systems with Applications, 39 (3), pp. 3888-3895. Cited 89 times. doi: 10.1016/j.eswa.2011.09.057Çetinkaya, S., Lee, C.-Y. Stock replenishment and shipment scheduling for vendor-managed inventory systems (2000) Management Science, 46 (2), pp. 217-232. Cited 452 times. doi: 10.1287/mnsc.46.2.217.11923Chen, L.-T., Wei, C.-C. Multi-period channel coordination in vendor-managed inventory for deteriorating goods (2012) International Journal of Production Research, 50 (16), pp. 4396-4413. Cited 45 times. doi: 10.1080/00207543.2011.592159Chen, T.-H. Optimizing pricing, replenishment and rework decision for imperfect and deteriorating items in a manufacturer-retailer channel (2017) International Journal of Production Economics, Part B 183, pp. 539-550. 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