Multi-product joint delivery planning in a retailers’ network under resource constraints

The main objective of the JRP (joint replenishment problem) is to build a delivery programme so as to satisfy local demands while minimising the total cost including ordering and storage costs. The classical nonlinear formulation of this problem can be seen as a multi-product and multi-site extension of the economic order quantity (EOQ) problem. If demand rates are fixed and known, the problem allows a periodic solution, in which an optimal delivery programme repeats indefinitely. In the unconstrained case, the delivery plan has two levels of periodicity: a global periodicity for the delivery sequence and a particular periodicity for each product and site. The main purpose of this paper is to combine in the same model grouping, transportation, and storage issues. Constraints on transportation capacity and routing are introduced in a linear reformulation of the problem, leading to a better coordination of delivery schedules with respect to products and sites. The superiority of the proposed method is that ...

[1]  M. K. Starr,et al.  Inventory control: Theory and practice , 1962 .

[2]  B. C. Cha,et al.  The joint replenishment problem with resource restriction , 2006, Eur. J. Oper. Res..

[3]  Rommert Dekker,et al.  An efficient optimal solution method for the joint replenishment problem with minimum order quantities , 2003, Eur. J. Oper. Res..

[4]  Awi Federgruen,et al.  The Joint Replenishment Problem with General Joint Cost Structures , 1992, Oper. Res..

[5]  S. Goyal,et al.  Multi-item inventory grouping with dependent set-up cost and group overhead cost , 1986 .

[6]  Ciro Alberto Amaya,et al.  A heuristic framework based on linear programming to solve the constrained joint replenishment problem (C-JRP) , 2013 .

[7]  A simple algorithm for determining the optimum policy for jointly replenished items , 1987 .

[8]  Hui-Ming Wee,et al.  An Innovative Heuristic for Joint Replenishment Problem with Deterministic and Stochastic Demand , 2010, Int. J. Electron. Bus. Manag..

[9]  Yong-Hyuk Kim,et al.  A genetic algorithm for joint replenishment based on the exact inventory cost , 2009, Comput. Oper. Res..

[10]  Suresh Kumar Goyal,et al.  Joint replenishment inventory control: Deterministic and stochastic models , 1989 .

[11]  Vui Ann Shim,et al.  Evolutionary algorithms for solving multi-objective travelling salesman problem , 2011 .

[12]  Marielle Christiansen,et al.  Industrial aspects and literature survey: Combined inventory management and routing , 2010, Comput. Oper. Res..

[13]  Suresh Kumar Goyal.  Determining the optimum production-packaging policy for jointly replenished items , 1989 .

[14]  Qing Li.  Solving the multi-buyer joint replenishment problem with the RAND method , 2004, Comput. Ind. Eng..

[15]  Meir J. Rosenblatt,et al.  Note---A Dynamic Programming Algorithm for Joint Replenishment Under General Order Cost Functions , 1985 .

[16]  William J. Cook,et al.  Solution of a Min-Max Vehicle Routing Problem , 2002, INFORMS Journal on Computing.

[17]  Jean Charles Gilbert,et al.  Numerical Optimization: Theoretical and Practical Aspects , 2003 .

[18]  Tsung-Hui Chen,et al.  The multi-item replenishment problem in a two-echelon supply chain: the effect of centralization versus decentralization , 2005, Comput. Oper. Res..

[19]  Ming-Jong Yao,et al.  A global optimum search algorithm for the joint replenishment problem under power-of-two policy , 2003, Comput. Oper. Res..

[20]  M. A. Hoque,et al.  An optimal solution technique for the joint replenishment problem with storage and transport capacities and budget constraints , 2006, Eur. J. Oper. Res..

[21]  Hui Xu,et al.  An Algorithm for the Joint Replenishment Problem with Multiple Resource Constraints , 2007, 2007 International Conference on Wireless Communications, Networking and Mobile Computing.

[22]  Di Huang.  Erratum to "Solving the multi-buyer joint replenishment problem with the RAND method" [Computers & Industrial Engineering 46 (2004) 755-762] , 2010, Comput. Ind. Eng..

[23]  Suresh Goyal,et al.  A review of the joint replenishment problem literature: 1989-2005 , 2008, Eur. J. Oper. Res..

[24]  Tao Lu,et al.  A modified RAND algorithm for multi-buyer joint replenishment problem with resource constraints , 2010, The 2nd International Conference on Information Science and Engineering.

[25]  M. V. Eijs.  A Note on the Joint Replenishment Problem under Constant Demand , 1993 .

[26]  Bernard K.-S. Cheung,et al.  Solving the Multi-Buyer Joint Replenishment Problem with a Modified Genetic Algorithm , 1999 .

[27]  Meir J. Rosenblatt,et al.  On the economic ordering quantity for jointly replenished items , 1991 .

[28]  R.E. Wildeman,et al.  An efficient optimal solution method for the joint replenishment problem , 1997 .

[29]  Gilbert Laporte,et al.  The inventory-routing problem with transshipment , 2012, Comput. Oper. Res..