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A supplement to "A generalized algebraic model for optimizing inventory decisions in a centralized or decentralized multi-stage multi-firm supply chain"

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  • Francis Leung, Kit Nam

Abstract

In this supplement, a number of integrated models under the integer multiplier coordination mechanism is generalized by allowing complete backorders penalized by not only linear but also fixed costs for some/all retailers. The optimal solution to such a three-stage generalized model is algebraically derived, from which optimal expressions for some well-known models are deduced. In addition, an expression for sharing the coordination benefits is modified, and a numerical example for illustrative purposes is presented. A ready future research work involving extension of the generalized model is suggested to conclude the supplement.

Suggested Citation

  • Francis Leung, Kit Nam, 2011. "A supplement to "A generalized algebraic model for optimizing inventory decisions in a centralized or decentralized multi-stage multi-firm supply chain"," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 47(5), pages 778-790, September.
  • Handle: RePEc:eee:transe:v:47:y:2011:i:5:p:778-790
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