Lead Time Reduction

Replenishment and acquiting meter conclusivenesss in manufacturerretailer chains Shu-Lu Hsu a,*, Chun Chen Lee b a Department of perplexity development Systems, National Chiayi University, Taiwan b Department of Accounting, Soochow University, Taiwan Department of Management Information Systems, National Chiayi University, 580 Sinmin Rd., Chiayi 600, Taiwan a r t i c l e i n f o Article history: Received 17 June 2008 Received in revised form 6 September 2008 Accepted 13 October 2008 Keywords: Inventory Integrated mannequin Lead cadence Distribution free demand a b s t r a c t This say investigates the decisions of replenishment and lead- eon reduction for a singlemanufacturer multiple-retailer integrated size up organisation in which the probability distribution of demand for each retailer is foreigner but its mean and variance are given. A decision model is presented and a minimax distribution free procedure is applied to determine the lead time, the common shipment cycle time, the target levels of replenishments and the number of shipments per takings cycle so that the expected total system cost dismiss be minimized. A decision support system has been implement on a personal computer to illustrate the application of the model.  2008 Elsevier Ltd. both rights reserved. 1.

Introduction Many companies have recognized the significance of response time as a competitive weapon and have utilise time as a means of differentiating themselves in the marketplace. Lead time is the elapsed time between releasing an order and receiving it. By shortening lead time, suppliers can lower the safety stock, quash the out-of-stock loss, and improve the customer service level. In many literatures, lead time is regarded as a decision variable and can be shortened at an extra crashing cost. Liao and Shyu (1991) first developed an inventory model in which lead time was the unique decision variable. Ben-Daya and Raouf (1994) extended the previous model by including both lead time... If you want to get a full essay, order it on our website: Ordercustompaper.com

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