TY - BOOK

T1 - A replenishment policy for a perishable inventory system based on estimated aging and retrieval behavior

AU - Broekmeulen, R.A.C.M.

AU - Donselaar, van, K.H.

PY - 2007

Y1 - 2007

N2 - So far the literature on inventory control for perishable products has mainly focused on (near-)
optimal replenishment policies for a stylized environment, assuming no leadtime, no lot-sizing,
stationary demand, a first in first out retrieval policy and/or product life time equal to two
periods. This literature has given fundamental insight in the behavior and the complexity of
inventory systems for perishable products. In practice, many grocery retailers have recently
automated the inventory replenishment for non-perishable products. They recognize they may
need a different replenishment logic for perishable products, which takes into account e.g. the
age of the inventory in the system. Due to new information technologies like RFID, it now also
becomes more economically feasible to register this type of information. This paper suggests a
replenishment policy for perishable products which takes into account the age of inventories and
which requires only very simple calculations. It will be shown that in an environment, which
contains important features of the real-life retail environment, this new policy leads to substantial
cost reductions compared with a base policy that does not take into account the age of
inventories.

AB - So far the literature on inventory control for perishable products has mainly focused on (near-)
optimal replenishment policies for a stylized environment, assuming no leadtime, no lot-sizing,
stationary demand, a first in first out retrieval policy and/or product life time equal to two
periods. This literature has given fundamental insight in the behavior and the complexity of
inventory systems for perishable products. In practice, many grocery retailers have recently
automated the inventory replenishment for non-perishable products. They recognize they may
need a different replenishment logic for perishable products, which takes into account e.g. the
age of the inventory in the system. Due to new information technologies like RFID, it now also
becomes more economically feasible to register this type of information. This paper suggests a
replenishment policy for perishable products which takes into account the age of inventories and
which requires only very simple calculations. It will be shown that in an environment, which
contains important features of the real-life retail environment, this new policy leads to substantial
cost reductions compared with a base policy that does not take into account the age of
inventories.

M3 - Report

SN - 978-90-386-1069-6

T3 - BETA publicatie : working papers

BT - A replenishment policy for a perishable inventory system based on estimated aging and retrieval behavior

PB - Technische Universiteit Eindhoven

CY - Eindhoven

ER -