A preliminary study on safety stock placement in capacitated supply chains

Carles Sitompul*, El Houssaine Aghezzaf, Huan Chen, Wout Dullaert

*Corresponding author for this work

Research output: Chapter in Book / Report / Conference proceedingConference contributionAcademicpeer-review

Abstract

The issue of safety stock placement is one of the challenging problems in the area of supply chain design. Safety stocks play a significant role in supply chains since they assure the service level and the smoothness of the flow of materials throughout the chain. Some special models of the problem have been solved efficiently, especially in the case of uncapacitated serial or tree chains. This paper discusses some existing models and their limitations. Computer experiments are used to identify possible solution strategies for safety stock placement problem for capacitated serial chains.

Original languageEnglish
Title of host publication12th IFAC Symposium on Information Control Problems in Manufacturing, INCOM 2006, and Associated Industrial Meetings: EMM'2006, BPM'2006, JT'2006
Volume12
EditionPART 1
Publication statusPublished - 2006
Event12th IFAC Symposium on Information Control Problems in Manufacturing, INCOM 2006, and Associated Industrial Meetings: EMM'2006, BPM'2006, JT'2006 - Saint - Etienne, France
Duration: 17 May 200619 May 2006

Conference

Conference12th IFAC Symposium on Information Control Problems in Manufacturing, INCOM 2006, and Associated Industrial Meetings: EMM'2006, BPM'2006, JT'2006
CountryFrance
CitySaint - Etienne
Period17/05/0619/05/06

Keywords

  • Capacity constraint
  • Multi stage
  • Periodic review
  • Safety stock
  • Stochastic demand
  • Supply chain

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