Managing Perishable Multi-product Inventory with Supplier Fill-Rate, Price Reduction and Substitution
Abstract
Order-sizing in replenishment planning and control for perishable products is studied in grocery retail context. There is a need for age-based policies that consider multiple products, the impact from price reduction (due to close-to-expiration), and product substitution in order to reduce waste, increase availability and improve freshness. This study develops a theoretical extension to known EWA-models considering positive and/or negative interdependence in substitution between products, impact from price reduction and expired products, as well as the inventory impact from other products safety stocks.
Domains
Computer Science [cs]Origin | Explicit agreement for this submission |
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