Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
481333 | European Journal of Operational Research | 2009 | 6 Pages |
Abstract
Time-based item fill rates, or “channel” fill rates, are the building blocks needed to evaluate steady-state compliance with time-based customer service agreements. Exact computation of channel fill rates is both difficult and time-consuming, yet their accurate assessment is essential for system-wide inventory optimization. We describe and validate a practical method for computing channel fill rates in a multi-item, multi-echelon service parts distribution system. A simulation study is presented which shows that, in a three-echelon setting, our estimation errors are very small over a wide range of base stock level vectors. A more accurate, though less efficient, approximation method is also evaluated for comparison.
Keywords
Related Topics
Physical Sciences and Engineering
Computer Science
Computer Science (General)
Authors
Kathryn E. Caggiano, Peter L. Jackson, John A. Muckstadt, James A. Rappold,