Inventory optimization considering the vehicle capacity and specifics of cash flows at rental storage sites

2020 ◽  
pp. 77-90
Author(s):  
V.D. Gerami ◽  
I.G. Shidlovskii
Keyword(s):  
Supply Chain ◽  
Inventory Management ◽  
Sufficient Conditions ◽  
Cash Flows ◽  
Management Systems ◽  
Cargo Capacity ◽  
Special Modification ◽  
The Cost ◽  
Necessary And Sufficient ◽  
Vehicle Capacity

The article presents a special modification of the EOQ formula and its application to the accounting of the cargo capacity factor for the relevant procedures for optimizing deliveries when renting storage facilities. The specified development will allow managers to take into account the following process specifics in the format of a simulated supply chain when managing inventory. First of all, it will allow considering the most important factor of cargo capacity when optimizing stocks. Moreover, this formula will make it possible to find the optimal strategy for the supply of goods if, also, it is necessary to take into account the combined effect of several factors necessary for practice, which will undoubtedly affect decision-making procedures. Here we are talking about the need for additional consideration of the following essential attributes of the simulated cash flow of the supply chain: 1) time value of money; 2) deferral of payment of the cost of the order; 3) pre-agreed allowable delays in the receipt of revenue from goods sold. Developed analysis and optimization procedures have been implemented to models of this type that are interesting and important for a business. This — inventory management systems, the format of which is related to the special concept of efficient supply. We are talking about models where the presence of the specified delays for the outgoing cash flows allows you to pay for the order and the corresponding costs of the supply chain from the corresponding revenue on the re-order interval. Accordingly, the necessary and sufficient conditions are established based on which managers will be able to identify models of the specified type. The purpose of the article is to draw the attention of managers to real opportunities to improve the efficiency of inventory management systems by taking into account these factors for a simulated supply chain.

scholarly journals First and second order optimality conditions for the control of Fokker-Planck equations

2021 ◽  
Vol 27 ◽  
pp. 15
Author(s):  
M. Soledad Aronna ◽  
Fredi Tröltzsch
Keyword(s):  
Control Variable ◽  
Sufficient Conditions ◽  
Planck Equation ◽  
Second Order ◽  
Optimal Controls ◽  
Main Emphasis ◽  
The Cost ◽  
Necessary And Sufficient ◽  
Fokker Planck Equations ◽  
Fokker Planck

In this article we study an optimal control problem subject to the Fokker-Planck equation ∂tρ − ν∆ρ − div(ρB[u]) = 0 The control variable u is time-dependent and possibly multidimensional, and the function B depends on the space variable and the control. The cost functional is of tracking type and includes a quadratic regularization term on the control. For this problem, we prove existence of optimal controls and first order necessary conditions. Main emphasis is placed on second order necessary and sufficient conditions.

Enterprise Inventory Management and Simulation

2014 ◽  
Vol 933 ◽  
pp. 874-878
Author(s):  
Yun Rui Wang
Keyword(s):  
Computer Simulation ◽  
Supply Chain ◽  
Inventory Management ◽  
Simulation Software ◽  
Total Cost ◽  
The Third ◽  
Inventory Strategy ◽  
One Year ◽  
The Cost ◽  
Operation Cost

Inventory is an important link in supply chain, according to characteristics and objectives of inventory control, the reasonable safety inventory, order point, the highest inventory and inventory strategy were determined based on historical sales data. Using Witness simulation software, the optimal strategy was selected from nine inventory strategies by running simulation model for one year. If goods shortage was allowing, the seventh schemes (72000,158100) was better ,the minimum total cost was 888158 yuan ; considering allowing a small amount of shortage, the cost of eighth schemes ( 82000,158100) was least of 1095167; the third scenarios (92000,138100) was selected if without shortage, and the minimum total cost was 1254909 yuan. This shows, the application of computer simulation to assist in the management of inventory is scientific and feasible, it can help enterprises to save the order and operation cost.

scholarly journals Robust Output Controllability Analysis and Control Design for Incomplete Boolean Networks with Disturbance Inputs

2018 ◽  
Vol 2018 ◽  
pp. 1-9
Author(s):  
Lei Deng ◽  
Shihua Fu ◽  
Ying Li ◽  
Peiyong Zhu
Keyword(s):  
Sufficient Conditions ◽  
Boolean Networks ◽  
Algebraic Form ◽  
Output Control ◽  
Optimal Output ◽  
Product Technique ◽  
Output Controllability ◽  
The Cost ◽  
Necessary And Sufficient ◽  
And Control

This paper addresses the problems of robust-output-controllability and robust optimal output control for incomplete Boolean control networks with disturbance inputs. First, by resorting to the semi-tensor product technique, the system is expressed as an algebraic form, based on which several necessary and sufficient conditions for the robust output controllability are presented. Second, the Mayer-type robust optimal output control issue is studied and an algorithm is established to find a control scheme which can minimize the cost functional regardless of the effect of disturbance inputs. Finally, a numerical example is given to demonstrate the effectiveness of the obtained new results.

scholarly journals Some empirical evidence on the relationship between inventory management and social responsibility

2013 ◽  
Vol 2 (3) ◽  
pp. 98-106 ◽  
Author(s):  
Khaled Elsayed
Keyword(s):  
Supply Chain ◽  
Social Responsibility ◽  
Empirical Evidence ◽  
Inventory Management ◽  
Emerging Market ◽  
Developed Countries ◽  
Listed Firms ◽  
Corporate Social ◽  
The Cost ◽  
The Relationship

Despite the crucial role that inventory plays in supply chain management (SCM), research that examines the relationship between inventory and corporate social responsibility (CSR) is rare. This is surprising given the evidence that inventory represents a huge source of cost, a matter that is often reported as a major impediment in practicing social responsibility in SCM. As such, this paper fills this gape in literature by examining directly the effect of inventory management on CSR. Maximum-likelihood ordered logistic regression was performed on a sample of 38 Egyptian listed firms during the period from 2007 to 2010. The results demonstrate that inventory management exerts a positive and significant coefficient on CSR. Further analysis shows that inventory management cannot be safely dropped from model of analysis. Rather, inventory management does add something unique in explaining differences in CSR. For practitioners interested in optimizing their firms’ values, thinking in managing supply chain imperatives, and specially inventory, in terms of social responsibility may guide them to build up a stock of reputational capital that can be used, in turn, to increase the cost of their rivals. This study, to the best of knowledge, is the first one that offers empirical evidence regarding the effect of inventory management on CSR. Moreover, the paper adds to both SCM and CSR literature by providing empirical evidence from Egypt as an emerging market, where much of the existing evidence reflects experience from developed countries

scholarly journals On the closure of the sum of closed subspaces

2001 ◽  
Vol 26 (5) ◽  
pp. 257-267 ◽  
Author(s):  
Irwin E. Schochetman ◽  
Robert L. Smith ◽  
Sze-Kai Tsui
Keyword(s):  
Hilbert Space ◽  
Quadratic Programming ◽  
Programming Problem ◽  
Sufficient Conditions ◽  
Optimal Solution ◽  
The Other ◽  
Quadratic Programming Problem ◽  
Orthogonal Projections ◽  
The Cost ◽  
Necessary And Sufficient

We give necessary and sufficient conditions for the sum of closed subspaces of a Hilbert space to be closed. Specifically, we show that the sum will be closed if and only if the angle between the subspaces is not zero, or if and only if the projection of either space into the orthogonal complement of the other is closed. We also give sufficient conditions for the sum to be closed in terms of the relevant orthogonal projections. As a consequence, we obtain sufficient conditions for the existence of an optimal solution to an abstract quadratic programming problem in terms of the kernels of the cost and constraint operators.

scholarly journals INVENTORY MANAGEMENT SYSTEMS ON SUPPLY CHAIN PERFORMANCE OF FAST-MOVING CONSUMER GOODS MANUFACTURERS IN KENYA

2021 ◽  
Vol 5 (1) ◽  
pp. 1
Author(s):  
Eric Jepherson Muhalia ◽  
Dr. Patrick Karanja Ngugi ◽  
Dr. Makori Moronge
Keyword(s):  
Supply Chain ◽  
Inventory Management ◽  
Consumer Goods ◽  
Fast Moving ◽  
New Technology ◽  
Management Systems ◽  
Primary Data ◽  
Supply Chain Performance ◽  
Sampling Frame ◽  
Fast Moving Consumer Goods

Purpose: The purpose of this study was to determine the influence of inventory management systems on supply chain performance of fast-moving consumer goods manufacturers in KenyaMethodology: The study adopted descriptive research design. The unit of observation was the operations manager of the 51 FMCG manufacturers located in Nairobi. The sampling frame of the current study consisted of operations managers in the manufacturers of the FMCGs in Nairobi. The study used the census method to select 51 manufacturers of the FMCGs in Nairobi, thus the sample of the study was 51 respondents. Primary data was used in the study. The study used questionnaires to collect data. Mixed methods technique of analyzing data was used where both descriptive and inferential analysis were used. The data collected from the field was analyzed using SPSS 23 program. The questionnaires were referenced and the items in them coded for easier data entry. The presentation of the findings was done using tables.Results: The study found that inventory management systems positively and significantly influences Supply chain performance of FMCG in Kenya. The study found that respondents agreed that inventory management systems promotes improved supplier, vendor, and partner relationships; inventory management systems enables the company to maintain a centralized record of every asset; inventory management systems helps in reduction in storage costs; inventory management systems helps to keep track on current stock levels which enables the company to reorder with greater accuracy; and that inventory management systems promotes better reporting and forecasting capabilities.Unique contribution to theory, practice and policy: The study recommended that the recommends the company to adopt new technology (updated inventory management system) to ensure that the processes in the company are efficient; this can be achieved by upgrading operation standards and implementation of new technology and software. Because of technological itches, it is possible for the company to lose data, therefore it is recommended that the company should always have backup of inventory data.

Cash Hedging in a Supply Chain

2019 ◽  
Vol 65 (8) ◽  
pp. 3928-3947 ◽  
Author(s):  
Panos Kouvelis ◽  
Xiaole Wu ◽  
Yixuan Xiao
Keyword(s):  
Supply Chain ◽  
Cash Flow ◽  
Cost Reduction ◽  
Cash Flows ◽  
Market Size ◽  
Flexibility Effect ◽  
Internal Funds ◽  
Cash Flow Volatility ◽  
The Cost ◽  
The Impact

We study hedging cash-flow risks in a supply chain where firms invest internal funds to improve production efficiencies. We offer a decomposition framework to capture the cost-reduction and flexibility effect of hedging. It allows us to understand how a firm’s hedging choice depends on its supply chain partner’s decision, and how such interaction is affected by supply chain characteristics such as market size, cash-flow volatility, and correlation. When firms’ cash flows are independent of each other, they are more likely to hedge with a larger market size. When cash flows are correlated, the impact of market size and volatility on firms’ hedging decisions presents multiple patterns, contingent on whether their risks amplify or offset each other. This paper was accepted by Gustavo Manso, finance.

scholarly journals OPTIMAL ALLOCATION OF AIRPLANES TO ROUTES

Aviation ◽  
2004 ◽  
Vol 8 (1) ◽  
pp. 3-7 ◽  
Author(s):  
Edgars K. Vasermanis ◽  
Nicholas A. Nechval ◽  
Konstantin N. Nechval
Keyword(s):  
Loss Function ◽  
Transportation Problem ◽  
Optimal Allocation ◽  
Piecewise Linear ◽  
Sufficient Conditions ◽  
Cost Structure ◽  
Different Types ◽  
Sufficient Conditions For Optimality ◽  
The Cost ◽  
Necessary And Sufficient

In this paper, we introduce a model that can assist airline planners in deploying their fleets as efficiently as possible. Specifically, we outline an optimization model that assigns a fleet of aircraft of different types to routes to maximize profits. An algorithm for solving nonlinear transportation problem is suggested. It is based on the use of Lagrange multipliers. We define and illustrate the use of the loss function, the cost structure of which is piecewise linear. The necessary and sufficient conditions for optimality are given. To illustrate the proposed approach, a numerical example is given.

Supply chain partnership assessment of a diabetes clinic

2018 ◽  
Vol 31 (6) ◽  
pp. 646-658 ◽  
Author(s):  
Vinaytosh Mishra ◽  
Cherian Samuel ◽  
S.K. Sharma
Keyword(s):  
Supply Chain ◽  
Inventory Management ◽  
Diabetes Management ◽  
Lifetime Cost ◽  
Objective Assessment ◽  
Assessment Framework ◽  
Diabetes Clinic ◽  
Content Type ◽  
Study Approach ◽  
The Cost

Purpose Diabetes is one of the major healthcare challenges in India. The chronic nature of the disease makes the lifetime cost of the treatment exorbitantly high. The medicine cost contributes a major size of expense in diabetes management. To make healthcare available to poorest of the poor, it is imperative to control the rising cost of diabetes treatment. The earlier research works done in this area focuses more on inventory management techniques to control the cost of healthcare. Less interest is shown in the role of better supply chain partnership (SCP) in reducing the cost of procurement of medicine. The purpose of this paper is to develop and use the SCP assessment framework for a diabetes clinic. The approach is generalized enough to be adopted for other similar organization. Design/methodology/approach This paper adopts self-assessment criteria of the European Foundation for Quality Management (EFQM) business excellence model for analysis of SCP in the supply chain of a private diabetes clinic in Varanasi. The paper uses analytic hierarchy process (AHP) method for calculation of weights of criteria. Findings The EFQM-based framework can be adopted as easy-to-use tool to make an objective assessment of the SCP. The proposed model in the study is a balanced model between enablers and results, which includes multiple assessment dimensions. The supply chain performance score of the diabetes clinic under study was found as the Tool Pusher, which means the effort in direction of SCP is not too good. The organization needs to clearly define the SCP goal and analyze the results to identify the gap areas. Originality/value The study is first of its kind and contributes to the literature by providing non-prescriptive and easy-to-use SCP assessment framework, for chronic disease care. The case study approach provides a procedure for the healthcare organization willing to adopt this approach.

scholarly journals CLEARING AND FORWARDING MANAGEMENT SYSTEMS ON SUPPLY CHAIN PERFORMANCE OF FMCG MANUFACTURERS IN KENYA

2021 ◽  
Vol 6 (1) ◽  
pp. 23-32
Author(s):  
Muhalia Jepherson ◽  
Patrick Ngugi ◽  
Makori Moronge
Keyword(s):  
Supply Chain ◽  
Inventory Management ◽  
Data Entry ◽  
Business Environment ◽  
Management Systems ◽  
Primary Data ◽  
Supply Chain Performance ◽  
Unique Contribution ◽  
Sampling Frame ◽  
The Government

Purpose: The purpose of this study was to determine the influence of clearing and forwarding management systems on supply chain performance of FMCG manufacturers in Kenya Methodology: The study adopted descriptive research design. The unit of observation was the operations manager of the 51 FMCG manufacturers located in Nairobi. The sampling frame of the current study consisted of operations managers in the manufacturers of the FMCGs in Nairobi. The study used the census method to select 51 manufacturers of the FMCGs in Nairobi, thus the sample of the study was 51 respondents. Primary data was used in the study. The study used questionnaires to collect data. Mixed methods technique of analyzing data was used where both descriptive and inferential analysis were used. The data collected from the field was analyzed using SPSS 23 program. The questionnaires were referenced and the items in them coded for easier data entry. The presentation of the findings was done using tables. Results: The study found that inventory management systems positively and significantly influences Supply chain performance of FMCG in Kenya. The study also established that there are challenges faced by use of clearing and forwarding in logistics management systems. There is the challenge of cost forwarding; the most common currency used is US dollar which changes at any particular time and therefore affecting the freight cost. This also affects the price of customer goods and the charges by the bank. Another challenge is with service charges and fees. Unique contribution to theory, practice and policy: The study recommended that the government to adjust regulations and create a business environment that allows the process of clearing and forwarding to be efficient, straight forward and quick. here is also need for the government to develop systems and software that allows transparency and ease in submission of documents and therefore reduce the clearing time. It is also important for the government to ensure that there are clear regulations by custom department and ensure that the employees in this department are well knowledgeable of their task and are well organized and motivated to conduct their duties.

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