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.