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Solution Method for the Inventory Distribution Problem

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Operations Research Proceedings 2013

Part of the book series: Operations Research Proceedings ((ORP))

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Abstract

Previous research on inventory distributions between local warehouses or retailers (bases) has focused separately on either of two types of stock transshipment policies: preventive lateral transshipments or emergency lateral transshipments. Each of these has its advantages and disadvantages, and combining these policies may well enable merchandisers to achieve higher service levels. Thus, the combined use of these policies is the focus of the present study. A stochastic programming problem is formulated with demand as a stochastic variable, and the policy of using both preventive and emergency lateral transshipment is examined for its effectiveness while solution methods are examined for their efficiency.

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Author information

Authors and Affiliations

  1. Chiba Institute of Technology, 2-17-1 Tsudanuma, Narashino, Chiba, 275-0016, Japan

    Takayuki Shiina

Authors
  1. Takayuki Shiina
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Correspondence to Takayuki Shiina .

Editor information

Editors and Affiliations

  1. Econometric Institute, Erasmus School of Economics, Erasmus University Rotterdam, Rotterdam, The Netherlands

    Dennis Huisman

  2. Erasmus School of Economics, Erasmus University Rotterdam, Rotterdam, The Netherlands

    Ilse Louwerse

  3. Erasmus School of Economics, Erasmus University Rotterdam, Rotterdam, The Netherlands

    Albert P.M. Wagelmans

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Shiina, T. (2014). Solution Method for the Inventory Distribution Problem. In: Huisman, D., Louwerse, I., Wagelmans, A. (eds) Operations Research Proceedings 2013. Operations Research Proceedings. Springer, Cham. https://doi.org/10.1007/978-3-319-07001-8_60

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