A MULTIECHELON PROVISIONING AND RESUPPLY DECISION PROCEDURE.

Abstract

A Polaris type multiechelon supply system consisting of a depot and k tenders is considered. Items can be stored at the tenders and at the depot. Replenishment of the tenders and the depot is made periodically. Emergency shipment between the depot and a tender is made when a unit is demanded from a tender with no remaining stock. No intertender shipments are permitted. With the appropriate cost structure on optimal multiechelon inventory procedure is a critical vector y, such that at the beginning of an order period the jth stock point orders to bring its stock up to y sub j where y sub j is the jth component of the vector y. An algorithm with which to compute y has been formulated and illustrated with a system composed of a depot and 3 tenders. Optimal inventory procedures for various combinations of unit cost, shortage cost, emergency shipment cost, discount factor and failure probability have been computed and tabulated.

Document Details

Document Type
Technical Report
Publication Date
Dec 01, 1964
Accession Number
AD0611175

Entities

People

  • Stuart A. Bessler

Tags

DTIC Thesaurus Topics

  • Algorithms
  • Emergencies
  • Inventory
  • Probability
  • Replenishment

Readers

  • Logistics and Supply Chain Management.
  • Statistical inference.