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Publisher DOI: 10.1007/s10479-022-05017-3
Title: Load balancing in a network of queueing-inventory systems
Language: English
Authors: Otten, Sonja 
Keywords: Base stock policy; Inventory control; Product-form steady state; Queueing networks
Issue Date: 19-Oct-2022
Publisher: Springer Science + Business Media B.V
Source: Annals of Operations Research (in Press): (2022)
Abstract (english): 
We study a supply chain consisting of production-inventory systems at several locations which are coupled by a common supplier. Demand of customers arrives at each production system according to a Poisson process and is lost if the local inventory is depleted (“lost sales”). To satisfy a customer’s demand a server at the production system needs raw material from the associated local inventory. The supplier manufactures raw material to replenish the local inventories, which are controlled by a continuous review base stock policy. The routing of items depends on the on-hand inventory at the locations with the aim to obtain “load balancing”. We show that the stationary distribution has a product form of the marginal distributions of the production subsystem and the inventory-replenishment subsystem. For the marginal distribution of the production subsystem we derive an explicit solution and for the marginal distribution of the inventory-replenishment subsystem we deduce an explicit solution or a recursive algorithm for some special cases.
DOI: 10.15480/882.4836
ISSN: 1572-9338
Journal: Annals of operations research 
Institute: Mathematik E-10 
Document Type: Article
Project: Projekt DEAL 
License: CC BY 4.0 (Attribution) CC BY 4.0 (Attribution)
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