Uniform distribution of inventory positions in two-echelon periodic review systems with batch-ordering policies and interdependent demands

Frank Y. Chen, Youyi Feng, David Simchi-Levi

Research output: Journal Publications and ReviewsRGC 21 - Publication in refereed journalpeer-review

16 Citations (Scopus)

Abstract

We consider a two-level inventory system in which there are one supplier and multiple retailers. The retailers face stochastic, interdependent customer demands. Each location employs a periodic-review (R,nQ), or lot-size reorder point, inventory policy. We show that each location's inventory positions are stationary and the stationary distribution is uniform and independent of any other's. © 2002 Elsevier Science B.V. All rights reserved.
Original languageEnglish
Pages (from-to)648-654
JournalEuropean Journal of Operational Research
Volume140
Issue number3
DOIs
Publication statusPublished - 1 Aug 2002
Externally publishedYes

Research Keywords

  • Inventory/production
  • Stochastic multi-echelon inventory systems with dependent demands

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