An inventory model with unidirectional lateral transshipments
(2010) In European Journal of Operational Research 200(3). p.725-732- Abstract
- This paper deals with a continuous review inventory system with Poisson demand, in which lateral transshipments are allowed. In case of a shortage at a location, another location acts as a supplier, if it is possible. A common assumption in earlier papers is that transshipments are allowed between all locations. This network configuration may, however, not be the best choice for many reasons. one such reason is that it may be difficult to establish contracts between locations regarding the design of the transshipment policy. Another reason is that a system with many transshipment links is much more complex than a system with few transshipment links. In this paper, we study a system where transshipments are allowed only in one direction.... (More)
- This paper deals with a continuous review inventory system with Poisson demand, in which lateral transshipments are allowed. In case of a shortage at a location, another location acts as a supplier, if it is possible. A common assumption in earlier papers is that transshipments are allowed between all locations. This network configuration may, however, not be the best choice for many reasons. one such reason is that it may be difficult to establish contracts between locations regarding the design of the transshipment policy. Another reason is that a system with many transshipment links is much more complex than a system with few transshipment links. In this paper, we study a system where transshipments are allowed only in one direction. This may be a reasonable policy if the locations have very different backorder/lost sales costs. Our approach is relatively simple and fast, and works well in most cases. (C) 2009 Elsevier B.V. All rights reserved. (Less)
Please use this url to cite or link to this publication:
https://lup.lub.lu.se/record/1535783
- author
- Olsson, Fredrik LU
- organization
- publishing date
- 2010
- type
- Contribution to journal
- publication status
- published
- subject
- keywords
- Inventory, Lateral transshipments, Stochastic demand
- in
- European Journal of Operational Research
- volume
- 200
- issue
- 3
- pages
- 725 - 732
- publisher
- Elsevier
- external identifiers
-
- wos:000270701200010
- scopus:69749084264
- ISSN
- 0377-2217
- DOI
- 10.1016/j.ejor.2009.01.024
- language
- English
- LU publication?
- yes
- id
- 12620f9c-145c-4a92-8e94-9880039303ef (old id 1535783)
- date added to LUP
- 2016-04-01 10:53:01
- date last changed
- 2022-04-20 07:10:04
@article{12620f9c-145c-4a92-8e94-9880039303ef,
abstract = {{This paper deals with a continuous review inventory system with Poisson demand, in which lateral transshipments are allowed. In case of a shortage at a location, another location acts as a supplier, if it is possible. A common assumption in earlier papers is that transshipments are allowed between all locations. This network configuration may, however, not be the best choice for many reasons. one such reason is that it may be difficult to establish contracts between locations regarding the design of the transshipment policy. Another reason is that a system with many transshipment links is much more complex than a system with few transshipment links. In this paper, we study a system where transshipments are allowed only in one direction. This may be a reasonable policy if the locations have very different backorder/lost sales costs. Our approach is relatively simple and fast, and works well in most cases. (C) 2009 Elsevier B.V. All rights reserved.}},
author = {{Olsson, Fredrik}},
issn = {{0377-2217}},
keywords = {{Inventory; Lateral transshipments; Stochastic demand}},
language = {{eng}},
number = {{3}},
pages = {{725--732}},
publisher = {{Elsevier}},
series = {{European Journal of Operational Research}},
title = {{An inventory model with unidirectional lateral transshipments}},
url = {{http://dx.doi.org/10.1016/j.ejor.2009.01.024}},
doi = {{10.1016/j.ejor.2009.01.024}},
volume = {{200}},
year = {{2010}},
}