• Title/Summary/Keyword: Inventory Modeling

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Dynamic Modeling and Control of Production/Inventory System

  • Kim, Hwan-Seong;Tran, Xuan-Thuong
    • Proceedings of the Korean Institute of Navigation and Port Research Conference
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    • 2011.11a
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    • pp.162-163
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    • 2011
  • This paper presents the system dynamics methodology for modeling and control the production/inventory system. Under system dynamics point of view, we can apply some production/inventory policies as if we use the control laws for dynamics systems, then the behavior of system is analyzed and evaluated to improve the performance of production/inventory system. We also utilize the hybrid modeling method for the dynamic of production system with the combination of Matlab/Simulink and Matlab/Sateflow. Finally, the numerical simulation results are carried out in Matlab/Simulink environment and compare with the results from other works. It is shown that our approach can obtain some good performances (such as operational cost, stability of inventory, customer service level).

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Study on the Validity of Inventory Sharing System for the Strategic Cooperation of Outsourcing Companies (아웃소싱 업체의 전략적 제휴를 위한 재고 공유 시스템 타당성 연구 - 제조업체 재고 및 판매 중심으로 -)

  • 김경섭;박진원;정석재;송일윤
    • Journal of the Korea Society for Simulation
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    • v.12 no.4
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    • pp.61-71
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    • 2003
  • Recently, a matter of the highest priority that the company must do for the satisfaction of customer service is that the company ensure the competitive power throughout the strategic cooperation in the market environment changing rapidly In this situation, one of allied strategies is the supply chain management and the outsourcing is one of the supply chain management strategies. In this paper, the inventory sharing system is introduced as the method to solve two inconsistency problem such as inventory and customer service. This paper also suggests how to increase customer service and to decrease inventory throughout construction of the inventory sharing system among outsourcing companies. For this, we experimented the effect of the inventory sharing system on the supply chain dynamics by using the simulation modeling and analyzed the validity about construction of the inventory sharing system presented in this study. The simulation is designed by Vensim(Process simulation package) and has some feedback loops.

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A study on a partial selling model for ameliorating items (증식되는 제품의 물류재고모델의 연구)

  • 황흥석
    • Proceedings of the Korean Operations and Management Science Society Conference
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    • 1996.10a
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    • pp.53-56
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    • 1996
  • The conventional inventory models are concerned with the items of which utilities and amount of numbers are constant over time. But in practice the items in inventory systems are increasing or decreasing. This study is concerned with the development of ameliorating inventory models. The ameliorating inventory is the inventory of goods whose utility increases over the time by ameliorating activation. The term ameliorating inventory is used in this paper at least, since the terminology is not standard well known. This study is performed according to areas; one is an economic order quantity(EOQ) model for the items whose utility is ameliorating in accordance with Weibull distribution, and the other is a partial selling quantity(PSQ) model developed for selling surplus inventory accumulated by ameliorating activation. Computer programs are developed to obtain the optimal ordering and selling quantity. Numerical examples to illustrate the effect of ameliorating rate on inventory polices are shown at the end of this paper.

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A Study on an Inventory Model for Fish Culture Items with Weibull Ameliorating (증식률을 고려한 양식어류의 적정 물류재고모델의 연구)

  • 황흥석
    • The Journal of Fisheries Business Administration
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    • v.27 no.1
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    • pp.57-65
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    • 1996
  • This paper is concerned with the development of ameliorating inventory models. The ameliorating inventory is the inventory of goods whose utility increases over the time by ameliorating activation. The term ameliorating inventory is used in this paper at least, since the terminology is not standard well known. This study is performed according to areas; one is an economic order quantity(EOQ) model for the items whose utility is ameliorating in accordance with Weibull distribution, and the other is a partial selling quantity(PSQ) model developed for selling the surplus inventory accumulated by ameliorating activation. The proposed models cannot be solved directly in a closed form, thus we used a computer program and a graphical solution method to obtain the optimal ordering and setting quantity in this paper. Numerical examples to illustrate the effect of ameliorating rate on inventory polices are shown at the end of this paper.

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Determination of Economic Inventory Quantity under Probabilistic Demands and Cancellation of Orders in Production System with Two Different Production Speeds (이중생산속도를 가지는 생산시스템에서 확률적인 수요와 주문취소를 고려한 경제적 재고량 결정)

  • Lim, Si Yeong;Hur, Sun;Park, You-Jin
    • Journal of Korean Institute of Industrial Engineers
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    • v.40 no.3
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    • pp.313-320
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    • 2014
  • We consider the problem to find economic inventory quantity of a single commodity under stochastic demands and order cancellation. In contrast to the traditional economic production quantity (EPQ) model, we assume that once the amount of inventory reaches to a predetermined level of quantity then the production is not halted but its production speed decreases until the inventory level drops to zero. We establish two probabilistic models representing the behaviors of both the high-production period and low-production period, respectively, and derive the relationship between the level of inventory and costs of production, cancellation, and holding, from which the quantity of economic inventory is obtained.

Adaptive Inventory Control Models in a Supply Chain with Nonstationary Customer Demand (비안정적인 고객수요를 갖는 공급사슬에서의 적응형 재고관리 모델)

  • Baek, Jun-Geol;Kim, Chang Ouk;Jun, Jin
    • Journal of Korean Institute of Industrial Engineers
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    • v.31 no.2
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    • pp.106-119
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    • 2005
  • Uncertainties inherent in customer demand patterns make it difficult for supply chains to achieve just-in-time inventory replenishment, resulting in loosing sales opportunity or keeping excessive chain wide inventories. In this paper, we propose two intelligent adaptive inventory control models for a supply chain consisting of one supplier and multiple retailers, with the assumption of information sharing. The inventory control parameters of the supplier and retailers are order placement time to an outside source and reorder points in terms of inventory position, respectively. Unlike most extant inventory control approaches, modeling the uncertainty of customer demand as a stationary statistical distribution is not necessary in these models. Instead, using a reinforcement learning technique, the control parameters are designed to adaptively change as customer demand patterns change. A simulation based experiment was performed to compare the performance of the inventory control models.

Modeling and Evaluating Inventory Replenishment for Short Life-cycle Products

  • Wang, Ching-Ho;Lint, Shih-Wei;Chou, Shuo-Yan;Tsai, Chun-Hsiang
    • Journal of Korean Institute of Industrial Engineers
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    • v.34 no.4
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    • pp.386-397
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    • 2008
  • Due to the rapid advancement of technologies, a growing number of innovative products with a short life-cycle have been introduced to the market. As the life-cycles of such products are shorter than those of durable goods, the demand variation during the life-cycle adds to the difficulty of inventory management. Traditional inventory planning models and techniques mostly deal with products that have long life-cycles. The assumptions on the demand pattern and subsequent solution approaches are generally, not suitable for dealing with products with short life-cycles. In this research, inventory replenishment problems based on the logistic demand model are formulated and solved to facilitate the management of products with short life-cycles. An extended Wagner- Whitin approach is used to determine the replenishment cycle, schedules and lot-sizes.

A Recently Improved Approach to Develop Effective Emission Inventory for Air Quality Planning in US (미국의 대기질 관리계획 수립 시 활용성 강화를 위한 배출량 목록 산정에 대한 최근 접근 방안)

  • Kim, Byeong-Uk;Kim, Hyun Cheol;Kim, Soontae
    • Journal of Korean Society for Atmospheric Environment
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    • v.34 no.2
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    • pp.342-355
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    • 2018
  • Emission inventory (EI) is often recognized as a foundational pillar for air quality planning. In this manuscript, we reviewed national emission inventory (NEI) development processes in United States(US) and made recommendations for South Korean emission inventory development for the future. First, we examined history of emission inventory development in US while focusing on what has been success and failure. We noticed that, in general, emission reductions led to air pollution abatement although efficacy of same degree of reduction may not result in similar air quality improvement. Second, we described conventional approaches of developing NEI and differences between NEI and EI for State Implementation Plan which is required for air quality management in US. Last, we analyzed how US Environmental Protection Agency and counterpart agencies in states came up with a new plan for the next major regulatory modeling project. Based on our analysis, we conclude that early and steady participation of local governments will lead to effective and efficient emission inventory development and, in turn, will result in successful air quality planning that is necessary for actual air quality improvement.

Korea Emissions Inventory Processing Using the US EPA's SMOKE System

  • Kim, Soon-Tae;Moon, Nan-Kyoung;Byun, Dae-Won W.
    • Asian Journal of Atmospheric Environment
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    • v.2 no.1
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    • pp.34-46
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    • 2008
  • Emissions inputs for use in air quality modeling of Korea were generated with the emissions inventory data from the National Institute of Environmental Research (NIER), maintained under the Clean Air Policy Support System (CAPSS) database. Source Classification Codes (SCC) in the Korea emissions inventory were adapted to use with the U.S. EPA's Sparse Matrix Operator Kernel Emissions (SMOKE) by finding the best-matching SMOKE default SCCs for the chemical speciation and temporal allocation. A set of 19 surrogate spatial allocation factors for South Korea were developed utilizing the Multi-scale Integrated Modeling System (MIMS) Spatial Allocator and Korean GIS databases. The mobile and area source emissions data, after temporal allocation, show typical sinusoidal diurnal variations with high peaks during daytime, while point source emissions show weak diurnal variations. The model-ready emissions are speciated for the carbon bond version 4 (CB-4) chemical mechanism. Volatile organic carbon (VOC) emissions from painting related industries in area source category significantly contribute to TOL (Toluene) and XYL (Xylene) emissions. ETH (Ethylene) emissions are largely contributed from point industrial incineration facilities and various mobile sources. On the other hand, a large portion of OLE (Olefin) emissions are speciated from mobile sources in addition to those contributed by the polypropylene industry in point source. It was found that FORM (Formaldehyde) is mostly emitted from petroleum industry and heavy duty diesel vehicles. Chemical speciation of PM2.5 emissions shows that PEC (primary fine elemental carbon) and POA (primary fine organic aerosol) are the most abundant species from diesel and gasoline vehicles. To reduce uncertainties in processing the Korea emission inventory due to the mapping of Korean SCCs to those of U.S., it would be practical to develop and use domestic source profiles for the top 10 SCCs for area and point sources and top 5 SCCs for on-road mobile sources when VOC emissions from the sources are more than 90% of the total.

Inventory Management Practices Approach to Reverse Logistics

  • Wang, Dja-Shin;Koo, Tong-Yuan
    • Industrial Engineering and Management Systems
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    • v.9 no.4
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    • pp.303-311
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    • 2010
  • In the last few years growing interest has been dedicated to supply chain management. Modeling complexity is added to supply chain coordination problem by accounting for reverse logistics activities. The objective of this paper is to extend inventory model of manufacturing factory with respect to the production of raw material of forward logistics and recycling material of reverse logistics. The proposed model is applied to a plastic recycling process plant located in Taiwan. The case study improvement scheme shows when the recycling rate of recycling material increases from 15% to 50%, the total inventory cost of manufacturing factory decreases by 12.82%, safety stock volume decreases by 41.19% and the reorder quantity is down by 50.96%. This paper finds whether the results of the model can reach the economic profit through quantitative analysis and encourages companies integrate reverse logistics into the supply chain system.