Sharif University of Technology
Scientia Iranica
1026-3098
13
1
2006
01
01
Cost Evaluation of a Two-Echelon Inventory System with Lost Sales and Approximately Normal Demand
2568
EN
M.R.
Akbari Jokar
Department of Industrial Engineering,Sharif University of Technology
Journal Article
2006
08
13
The inventory system under consideration consists of one central warehouse and an arbitrary number of retailers controlled by a continuous review inventory policy (R,Q). Independent Poisson demands are assumed with constant transportation times for all retailers and a constant lead time for replenishing orders from an external supplier for the warehouse. Unsatisfied demands are assumed to be lost in the retailers and unsatisfied retailer orders are backordered in the warehouse. An approximate cost function is developed to find optimal reorder points for given batch sizes in all installations and the related accuracy is assessed through simulation.
http://scientiairanica.sharif.edu/article_2568_994db5dcac4b7a038245967cf53816de.pdf