| Article ID: | iaor200980 |
| Country: | United Kingdom |
| Volume: | 4 |
| Issue: | 1 |
| Start Page Number: | 80 |
| End Page Number: | 97 |
| Publication Date: | Jan 2008 |
| Journal: | International Journal of Logistics Systems and Management |
| Authors: | Zhang Airong, Zhang Zigang, Guo Xiang |
| Keywords: | supply & supply chains |
Recently, Vendor Managed Inventory (VMI) has emerged as a significant development towards collaboration in supply chain management. This paper develops a model to compare the performance of VMI with the performance of decentralised inventory policy. A two-member (vendor and buyer) system implementing (r, Q) replenishment strategy with multi-period, uncertain and price-sensitive customer demand is considered.