A simulation framework for real-time management and control of inventory routing decisions

Authors:
Shrikant Jarugumilli;Scott E. Grasman;Sreeram Ramakrishnan
Affiliations:
University of Missouri - Rolla, Rolla, MO;University of Missouri - Rolla, Rolla, MO;University of Missouri - Rolla, Rolla, MO
Venue:
Proceedings of the 38th conference on Winter simulation
Year:
2006

Citing 8
Cited 2

Simulation Modeling and Analysis

Simulation Modeling and Analysis
The Stochastic Inventory Routing Problem with Direct Deliveries

Transportation Science
Price-Directed Replenishment of Subsets: Methodology and Its Application to Inventory Routing

Manufacturing & Service Operations Management
Dynamic Programming Approximations for a Stochastic Inventory Routing Problem

Transportation Science
Rendezvous Search on the Labeled Line

Operations Research
Efficient Insertion Heuristics for Vehicle Routing and Scheduling Problems

Transportation Science
A Price-Directed Approach to Stochastic Inventory/Routing

Operations Research
A Decomposition Approach for the Inventory-Routing Problem

Transportation Science

Combining Monte Carlo simulation with heuristics for solving the inventory routing problem with stochastic demands

Proceedings of the Winter Simulation Conference
A local search method for periodic inventory routing problem

Expert Systems with Applications: An International Journal

Quantified Score

Hi-index	0.00

Visualization

Abstract

We consider a logistics network where a single warehouse distributes a single item to multiple retailers. Retailers in the network participate in a Vendor Managed Inventory (VMI) program with the warehouse, where the warehouse is responsible for tracking and replenishing the inventory at various retailer locations. The information update occurs every time a vehicle reaches a location and the decision on the delivery quantity and the next location to visit is made. For a small increase of locations in the network, the state space for the solution increases exponentially, making this problem NP-hard. Thus, we propose a solution methodology where in the size of the state space is reduced at each stage. In this work, we use simulation to develop the framework for the real-time control and management of inventory and routing decisions, given this scenario.