Managing Inventory Level and Bullwhip Effect in Multi Stage Supply Chains with Perishable Goods: A New Distributed Model Predictive Control Approach

Beatrice Ietto; Valentina Orsini

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Paper

Managing Inventory Level and Bullwhip Effect in Multi Stage Supply Chains with Perishable Goods: A New Distributed Model Predictive Control Approach

Topics: Supply Chain Management

In Proceedings of the 12th International Conference on Operations Research and Enterprise Systems ICORES - Volume 1, 229-236, 2023 , Lisbon, Portugal

Authors: Beatrice Ietto ¹ and Valentina Orsini ²

Affiliations: ¹ DIMA, UNIVPM, Ancona, Italy ; ² DII, UNIVPM, Ancona, Italy

Keyword(s): Supply Chain Management, Inventory Control, Bullwhip Effect, Model Predictive Control.

Abstract: We consider the inventory control problem for multi stage Supply Chains (SC) whose dynamics is characterized by uncertainties on the perishability factor of stocked goods and on the customer forecast information. The control problem is to define a replenishment policy keeping the inventory level as close as possible to a desired value and mitigating the Bullwhip Effect (BE). The solution we propose is based on Distributed Robust Model Predictive Control (DRMPC) approach. This implies solving a constrained min-max optimization problem. To drastically reduce the numerical complexity of this problem, the control signal is parametrized using B-spline functions.

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Paper citation in several formats:

Ietto, B. and Orsini, V. (2023). Managing Inventory Level and Bullwhip Effect in Multi Stage Supply Chains with Perishable Goods: A New Distributed Model Predictive Control Approach. In Proceedings of the 12th International Conference on Operations Research and Enterprise Systems - ICORES; ISBN 978-989-758-627-9; ISSN 2184-4372, SciTePress, pages 229-236. DOI: 10.5220/0011885300003396

@conference{icores23,
author={Beatrice Ietto. and Valentina Orsini.},
title={Managing Inventory Level and Bullwhip Effect in Multi Stage Supply Chains with Perishable Goods: A New Distributed Model Predictive Control Approach},
booktitle={Proceedings of the 12th International Conference on Operations Research and Enterprise Systems - ICORES},
year={2023},
pages={229-236},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0011885300003396},
isbn={978-989-758-627-9},
issn={2184-4372},
}

TY - CONF

JO - Proceedings of the 12th International Conference on Operations Research and Enterprise Systems - ICORES
TI - Managing Inventory Level and Bullwhip Effect in Multi Stage Supply Chains with Perishable Goods: A New Distributed Model Predictive Control Approach
SN - 978-989-758-627-9
IS - 2184-4372
AU - Ietto, B.
AU - Orsini, V.
PY - 2023
SP - 229
EP - 236
DO - 10.5220/0011885300003396
PB - SciTePress