Multiechelon Inventory Systems Using Continuous Systems Analysis and Simulation

Urban Meyer · Mikell P. Groover

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Supply Chain and Inventory Management Simulation Techniques and Applications Complex Systems and Decision Making

Abstract

A methodology based on analysis and simulation techniques, normally used to study control systems, is applied in the analysis of multiechelon inventory systems. First, the inventory systems are modeled as continuous linear systems. From an analytic point of view, the linear models are advantageous because linear systems analysis can be used to reduce the models to transfer functions or input/ output relationships. Second, the restriction of linearity is removed and the resulting nonlinear inventory models are studied by means of a continuous system simulator. Included in this methodology is a procedure for incorporating inventory costs in the dynamic analysis of the system.

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References

1968Metric: A Multi-Echelon Technique for Recoverable Item Control 1969A Backlogging Model and a Multi-Echelon Model of a Dynamic Economic Lot Size Production System—A Network Approach 1952On the Application of Servomechanism Theory in the Study of Production Control 1955Application of Discrete Variable Servo Theory to Inventory Control 1966A Deterministic Multiproduct, Multi-Facility Production and Inventory Model 1966Optimal policy for a dynamic multi‐echelon inventory model

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