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    Please use this identifier to cite or link to this item: http://tkuir.lib.tku.edu.tw:8080/dspace/handle/987654321/19768

    Title: An Example of Disbenefits of Centralized Stocking
    Authors: 陳淼勝;Chen, Miao-sheng;Lin, Chin-tsai
    Contributors: 淡江大學經營決策學系
    Keywords: inventory;newsboy
    Date: 1990-03-01
    Issue Date: 2009-11-30 12:21:18 (UTC+8)
    Publisher: Palgrave Macmillan
    Abstract: This paper deals with a single-period, single-product inventory model. It is a multilocation problem with an opportunity for centralization. In the centralized system, the location's demands are satisfied from one central warehouse whose orders are processed on a first come, first served basis. The inventory size will be constrained to meet a specific maximum probability of being out of stock at each location. Under these assumptions, Stulman argues that a centralized system requires a lower total starting inventory than the equivalent decentralized one. We shall present a counter example showing that, under conditions where an 86% probability of stockouts is the maximum acceptable, a higher total starting inventory may be required by centralizing two locations' stock-holdings.
    Relation: Journal of the operational research society 41(3), pp.259-262
    DOI: 10.1057/jors.1990.42
    Appears in Collections:[管理科學學系暨研究所] 期刊論文

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