Please use this identifier to cite or link to this item:
|標題:||Demand switching criteria for multiple products: An inventory cost analysis||作者:||Hsieh, Ying-Jiun||關鍵字:||Demand switching;Risk pooling;Safety stocks;Cost-benefit analysis||出版社:||Elsevier Ltd.||Project:||Omega, Volume 39, Issue 2, Page(s) 130-137.||摘要:||
In this paper, we consider the problem of demand switching and show how a firm can take advantage of the risk-pooling effect to gain more profit. We examine the case of three products under various switching criteria; a model based on the heuristic approach is developed to determine the switching paths and the corresponding switching rates that yield the optimal profit. A constrained model with limited amount of the switched demand is also developed. In general, the profit increases as a result of higher profit margin or smaller demand variation and correlation. Our result indicates that the profit does not necessarily increase as the switching rate increases; in some cases the profit may even decrease as a result of demand switching. Numerical examples are also included to illustrate the derived models. The developed analytical approach may help practitioners to gain more insight in demand switching and facilitate inventory related decision-making process as well.
|Appears in Collections:||科技管理研究所|
Show full item record
TAIR Related Article
Items in DSpace are protected by copyright, with all rights reserved, unless otherwise indicated.