Simple Solution Procedures for a Class of Two-Echelon Inventory Problems

1 February 1990

journal article
Published by Institute for Operations Research and the Management Sciences (INFORMS) in Operations Research

Vol. 38 (1) , 64-69
https://doi.org/10.1287/opre.38.1.64

Abstract

We consider an inventory system with one warehouse and N retailers. Lead times are constant and the retailers face independent Poisson demand. Replenishments are one-for-one. We provide simple recursive procedures for determining the holding and shortage costs of different control policies.

Keywords

PROCEDURES
RETAILERS
POISSON DEMAND
INVENTORY SYSTEM
SIMPLE RECURSIVE
TWO ECHELON
FACE INDEPENDENT
ECHELON INVENTORY
LEAD TIMES

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