Optimal multiple delivery schedule for demand in logistic model

Optimal multiple delivery schedule for demand in logistic model

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Article ID: iaor20022115
Country: Netherlands
Volume: 73
Issue: 3
Start Page Number: 241
End Page Number: 249
Publication Date: Jan 2001
Journal: International Journal of Production Economics
Authors: ,
Keywords: newsboy problem
Abstract:

Traditional analysis for determining inventory levels assumes constant or normally distributed demand over the period of analysis, which is not suitable for products of short life-cycles as commonly found in fashion-related products. This paper utilizes a logistic growth function and a logistic substitution function to model the growth, saturation, and decline of such products with varying yet dependent demands. A heuristic that finds the minimum cost single-order multiple deliveries schedule for the logistic demand is developed to facilitate the use of the logistic model.

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