Please use this identifier to cite or link to this item: http://hdl.handle.net/10397/1832
Title: Two-echelon spare parts inventory system subject to a service constraint
Authors: Caglar, D
Li, CL 
Simchi-Levi, D
Keywords: Integrated manufacturing systems
Logistics
Manufacturing engineering
Manufacturing engineering design
Operations management
Operations research
Production systems
Quality control & reliability
Reliability & risk analysis
Supply chain management
Issue Date: Jul-2004
Publisher: Taylor & Francis
Source: IIE transactions, July 2004, v. 36, no. 7, p. 655-666 How to cite?
Journal: IIE transactions 
Abstract: In this paper, we consider a spare parts inventory problem faced by a manufacturer of electronic machines with expensive parts that are located at various customer locations. The parts fail infrequently according to a Poisson process. To serve customers when a failure occurs, the manufacturer operates a central warehouse and many field depots that stock spare parts. The central warehouse acts as a repair facility and replenishes stock at the field depots. There is a centralized decision-maker who manages the inventory in both the central warehouse and the field depots. We develop a continuous review, base stock policy for this two-echelon, multi-item spare parts inventory system. We formulate a model to minimize the system-wide inventory cost subject to a response time constraint at each field depot. We present an efficient heuristic algorithm and study its computational effectiveness.
URI: http://hdl.handle.net/10397/1832
ISSN: 0740-817X
EISSN: 1545-8830
DOI: 10.1080/07408170490278265
Rights: © 2004 “IIE”.
This is an electronic version of an article published in D. Caglar, C.-L. Li and D. Simchi-Levi (2004), IIE Transactions, 36(7), 655-666. IIE Transactions is available online at: http://www.informaworld.com, the open URL of the article: http://www.informaworld.com/openurl?genre=article&issn=0740-817X&volume=36&issue=7&spage=655.
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