DYNAMIC FLOW CONTROL MODEL FOR BALANCING INVENTORY LEVEL

摘要

Lots of prior researches related to the optimal flow control have been focused on the stationary and centralized networks. The ultimate objective of them is to establish the optimized plan combining production plans and forecasted demands based on the internal/external factors. Even though, dynamic programming has been applied considering the market dynamics and uncertainty, the optimized plan cannot meet the customer requirements frequently in the execution phase because of the fundamental uncertainty. In this paper, a heuristic DFCM has been suggested to reduce the cost from the market dynamics. With this model, it is possible to reduce the total inventory cost and stock out cost from the each node. Simultaneously, the inventory level of entire network can be balanced. In order to explain how the proposed model works and the effectiveness of the model, the detailed algorithms and results of the experiment have been shown.