Journal
INTERNATIONAL JOURNAL OF PRODUCTION ECONOMICS
Volume 112, Issue 1, Pages 255-263Publisher
ELSEVIER SCIENCE BV
DOI: 10.1016/j.ijpe.2006.08.023
Keywords
inventory routing; vendor-managed inventory; cyclic planning; delivery scheduling; column generation
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This paper proposes a practical solution approach for the challenging optimization problem of minimizing overall costs in an integrated distribution and inventory control system. Constant customer demand rates are assumed and therefore a long-term, cyclic planning approach is adopted. The concept of distribution patterns, consisting of vehicles performing multiple tours with possibly different frequencies, is used to extend the traditional concept of a single tour per vehicle. A heuristic is proposed that is capable of solving a cyclical distribution problem involving real-life features, such as customer capacity restrictions, loading and unloading extra times and prespecified minimum times between consecutive deliveries. (c) 2007 Elsevier B.V. All rights reserved.
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