A PRELIMINARY STUDY ON SAFETY STOCK PLACEMENT IN CAPACITATED SUPPLY CHAINS

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

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

Abstract

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 publicationInformation control problems in manufacturing
EditorsA. Dolgui, G. Morel, C.E. Pereira
PublisherElsevier Science
Pages623-628
Number of pages6
Volume2
ISBN (Print)978-0-08-044654-7
DOIs
Publication statusPublished - 2006

Keywords

  • capacity constraint
  • multi stage
  • periodic review
  • safety stock
  • stochastic demand
  • supply chain

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