Strategies of Consignment Inventory in Supply Chain

This book is focused on the development and analysis of different consignment inventory strategies of supply chain in stochastic environment to minimize joint total expected costs of vendor and buyers. Four different types of consignment inventory policies such as, basic consignment inventory, consignment inventory with delay delivery, consignment inventory with information sharing and delay delivery and consignment inventory with controllable lead time are developed. The consignment inventory management policy with information sharing with delay delivery, controllable lead time are found to be suitable for facing new supply chain management challenges with stochastic demand. The controllable lead time model total cost depends on the lead time components and is controllable with added suitable crashing cost. In case of more than three buyers, the proposed models are solved using heuristic algorithms. The fixation of production to demand ratio is found to be crucial and is very sensitive to total costs apart from other variables. An extensive analysis has been made in this case and finally fixed at p/D ratio of 3.2 . The proposed models are more suitable to industries