Vendor Managed Inventory with Consignment for Deteriorating Itemin Three Echelon Supply Chain

• Main Authors: Desmy Fitra, 費思米
• Other Authors: Hui-Ming Wee
• Format: Others
• Language: en_US
• Published: 2017
• Online Access: http://ndltd.ncl.edu.tw/handle/29061172317831805487

碩士 === 中原大學 === 工業與系統工程研究所 === 105 === Abstract In this research, VMI-C in three-level echelon (i.e. one supplier, one vendor, and one retailer)is investigated.This research analyzes the effect of deteriorating items on the total cost in each echelon and the total cost of supply chain system as a whole.This research goal is to determine the optimal number of replenishment and the lot-size of replenishment that minimizes the total cost. We analyze the sensitivity of the demand, the deterioration rate, and the holding cost rate with respect to the total cost. Based on the research, we can conclude that in VMI-C with deteriorating items results in more cost at thedownstream level. Most of the cost comes from product deterioration in the warehouse. The demand rate and the production rate greatly affect the total cost for each player. The trend is generally increasing. The increasing deterioration rate also affected the total cost of the supply chain. The change of deterioration cost not affected the number of replenishment and the quantity of replenishment which is the decision variable in achieving the minimum total cost. On the other hand, the increasing deterioration cost affected the supply chain total cost. The holding cost has a positive effect to change the total cost.