A Simulation Model of a Tandem Coordinated Supply Chain

S. Cannella, E. Ciancimino, J. Ashayeri

Research output: Working paperDiscussion paperOther research output

Abstract

This paper presents a study of a coordinated production inventory-system. In the proposed model, any echelon considers its successors as part of its inventory system and generates the replenishment order on the basis of operational information of its partners. We show that the coordinated decision making allows elimination of information distortion along the chain. Furthermore, we show how the bottom-up transmission of inefficiencies, typical of traditional supply chains, is avoided.
Original languageEnglish
Place of PublicationTilburg
PublisherEconometrics
Number of pages9
Volume2010-132
Publication statusPublished - 2010

Publication series

NameCentER Discussion Paper
Volume2010-132

Keywords

  • Tandem production/inventory
  • collaboration
  • bullwhip effect
  • differential equations
  • statistical analysis
  • continuous simulation

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