In this paper we show how to exactly evaluate holding and shortage costs for a two-level inventory system with one warehouse and N different retailers. Lead-times (transportation times) are constant, and the retailers face different Poisson demand processes. All facilities apply continuous review (R
✦ LIBER ✦
Exact Analysis of Continuous Review (R, Q) Policies in Two-Echelon Inventory Systems with Compound Poisson Demand
✍ Scribed by Sven Axsäter
- Book ID
- 123709527
- Publisher
- INFORMS
- Year
- 2000
- Tongue
- English
- Weight
- 400 KB
- Volume
- 48
- Category
- Article
- ISSN
- 0030-364X
- DOI
- 10.2307/223023
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We consider an inventory system with one warehouse and Nretailers. All installations apply different order-up-to-S policies. Transportation times are constant and the retailers face compound Poisson demand. We provide a simple recursive procedure for the evaluation of holding and shortage costs for