An adaptive inventory control model for a supply chain with nonstationary customer demands

Jun-Geol Baek, Chang Ouk Kim, Ick Hyun Kwon

Research output: Chapter in Book/Report/Conference proceedingConference contribution

1 Citation (Scopus)

Abstract

In this paper, we propose an adaptive inventory control model for a supply chain consisting of one supplier and multiple retailers with nonstationary customer demands. The objective of the adaptive inventory control model is to minimize inventory related cost. The inventory control parameter is safety lead time. Unlike most extant inventory control approaches, modeling the uncertainty of customer demand as a statistical distribution is not a prerequisite in this model. Instead, using a reinforcement learning technique called action-reward based learning, the control parameter is designed to adaptively change as customer demand pattern changes. A simulation based experiment was performed to compare the performance of the adaptive inventory control model.

Original languageEnglish
Title of host publicationLecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics)
Pages895-900
Number of pages6
Volume4099 LNAI
Publication statusPublished - 2006 Oct 16
Externally publishedYes
Event9th Pacific Rim International Conference on Artificial Intelligence - Guilin, China
Duration: 2006 Aug 72006 Aug 11

Publication series

NameLecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics)
Volume4099 LNAI
ISSN (Print)03029743
ISSN (Electronic)16113349

Other

Other9th Pacific Rim International Conference on Artificial Intelligence
CountryChina
CityGuilin
Period06/8/706/8/11

Fingerprint

Inventory control
Inventory Control
Supply Chain
Adaptive Control
Supply chains
Customers
Equipment and Supplies
Control Parameter
Learning
Model
Statistical Distributions
Statistical Distribution
Reinforcement learning
Reinforcement Learning
Reward
Safety
Uncertainty
Minimise
Costs
Costs and Cost Analysis

ASJC Scopus subject areas

  • Biochemistry, Genetics and Molecular Biology(all)
  • Computer Science(all)
  • Theoretical Computer Science

Cite this

Baek, J-G., Kim, C. O., & Kwon, I. H. (2006). An adaptive inventory control model for a supply chain with nonstationary customer demands. In Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics) (Vol. 4099 LNAI, pp. 895-900). (Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics); Vol. 4099 LNAI).

An adaptive inventory control model for a supply chain with nonstationary customer demands. / Baek, Jun-Geol; Kim, Chang Ouk; Kwon, Ick Hyun.

Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics). Vol. 4099 LNAI 2006. p. 895-900 (Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics); Vol. 4099 LNAI).

Research output: Chapter in Book/Report/Conference proceedingConference contribution

Baek, J-G, Kim, CO & Kwon, IH 2006, An adaptive inventory control model for a supply chain with nonstationary customer demands. in Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics). vol. 4099 LNAI, Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics), vol. 4099 LNAI, pp. 895-900, 9th Pacific Rim International Conference on Artificial Intelligence, Guilin, China, 06/8/7.
Baek J-G, Kim CO, Kwon IH. An adaptive inventory control model for a supply chain with nonstationary customer demands. In Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics). Vol. 4099 LNAI. 2006. p. 895-900. (Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics)).
Baek, Jun-Geol ; Kim, Chang Ouk ; Kwon, Ick Hyun. / An adaptive inventory control model for a supply chain with nonstationary customer demands. Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics). Vol. 4099 LNAI 2006. pp. 895-900 (Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics)).
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