Article ID: | iaor20041456 |
Country: | United States |
Volume: | 51 |
Issue: | 4 |
Start Page Number: | 668 |
End Page Number: | 672 |
Publication Date: | Jul 2003 |
Journal: | Operations Research |
Authors: | Ou Jihong, Teo Chung-Piaw, Lim Wei-Shi |
Keywords: | warehouse management |
Consolidation of warehouses is a new trend in global logistics management, and the reduction in order processing and inventory costs is often cited as one of the main motivations. In this note we show that when retailers face constant demand rates and their ordering costs are independent of the warehouse that services them, consolidated systems are