Research on Decision-making of Supply Chain Inventory under Random Time-varying Demand

摘要

Based on model derivation, the decision-making equation of local and global optimization of base inventory level at retailer and distributor is obtained. The numeral analyses on cost performance of global optimization of base inventory level and influence of time-varying demand is made so as to obtain important conclusion that the inventory cost of supply chain decreases significantly after global optimization. In numerical examples, supply chain inventory cost decreases about 8.8%.