Options
An Approximate Net Profit Model for a Fixed-life Perishable Product in a Two-echelon Inventory System
Journal
UTCC Engineering Research Papers
Publisher(s)
University of the Thai Chamber of Commerce
Date Issued
2007
Other Contributor(s)
University of the Thai Chamber of Commerce. School of Engineering
Abstract
This paper further extends the existing cost modelfor a fixed-life perishable product in a two-echelon inventoryproblem into the net profit model. The extended model issubsequently evaluated by comparing its results with thoseobtained from OptQuest, a commercial simulationoptimizationpackage. Within a limited but reasonable time,the comparative results do not show a significantimprovement of using OptQuest, but do confirm that theproposed model can already provide quite good quality ofinventory control parameters for this system in a muchshorter computational time. With some simple modificationsto the proposed model, the model for slow-moving Poissondemand distribution for the two-echelon system is alsodeveloped and subsequently evaluated. The comparativeresults show that for the slow-moving demand, the Poissonmodel is more effective than the model with normalityassumption.
Subject(s)
ISSN
1906-1625
Access Rights
public
Rights
This work is protected by copyright. Reproduction or distribution of the work in any format is prohibited without written permission of the copyright owner.
Rights Holder(s)
University of the Thai Chamber of Commerce
Bibliographic Citation
Kanchana Kanchanasuntorn, Anulark Techanitisawad (2007) An Approximate Net Profit Model for a Fixed-life Perishable Product in a Two-echelon Inventory System. UTCC Engineering Research Papers.
File(s)