ABSTRACT

In Chapters 4 through 9, we were primarily focused on single-item, single-location inventory systems. In Chapter 10, we extended the discussion to multiple items, and the issues associated with coordinating their ordering or production. In this chapter, we extend our treatment to another level of complexity-multiple locations. Specifically, we examine inventory control across the entire supply chain. As we will see, the solution approaches are somewhat more complex, but a student with solid understanding of the single-location models treated elsewhere in the book should be well prepared for this complexity. In this chapter, we focus on the multilocation setting where there is a single decision maker controlling inventory. We further investigate the important situation where decisions cross organizational boundaries in Chapter 12.