Multi-periodic Joint Replenishment Planning Method for Various All-unit Discounts

Agathe Métaireau, Agathe Métaireau, Rabin Sahu, Simon Delecourt, Alexandre Gerussi, Manuel Davy

2022

Abstract

This paper aims at developing a multiperiodic joint replenishment optimization method to tackle all-unit discounts. In many industrial contexts, there exist multi-item constraints that can’t be treated by single-item optimization. For example, suppliers can charge a fixed ordering cost or offer a discount above a given ordered quantity. To tackle such constraints, we set in place a model based on ordering blocks. This modeling enables to reduce the search-space by predetermining a given set of possible order quantities. The model is then solved using an Integer Linear Program that outputs the ordering plan for a given time horizon. This Integer Linear Program searches for the ordering block combination that gives the minimal cost. The cost function includes single-item costs like purchase or inventory costs as well as multi-item costs. The methodology was tested on twenty generated instances and compared with a single-period single-item replenishment engine. We show that our multiperiodic joint replenishment approach allows a reduction of the costs and an increase in the service level.

Paper Citation

in Harvard Style

Métaireau A., Sahu R., Delecourt S., Gerussi A. and Davy M. (2022). Multi-periodic Joint Replenishment Planning Method for Various All-unit Discounts. In Proceedings of the 11th International Conference on Operations Research and Enterprise Systems - Volume 1: ICORES, ISBN 978-989-758-548-7, pages 86-93. DOI: 10.5220/0010986800003117

in Bibtex Style

@conference{icores22,
author={Agathe Métaireau and Rabin Sahu and Simon Delecourt and Alexandre Gerussi and Manuel Davy},
title={Multi-periodic Joint Replenishment Planning Method for Various All-unit Discounts},
booktitle={Proceedings of the 11th International Conference on Operations Research and Enterprise Systems - Volume 1: ICORES,},
year={2022},
pages={86-93},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0010986800003117},
isbn={978-989-758-548-7},
}

in EndNote Style

TY - CONF

JO - Proceedings of the 11th International Conference on Operations Research and Enterprise Systems - Volume 1: ICORES,
TI - Multi-periodic Joint Replenishment Planning Method for Various All-unit Discounts
SN - 978-989-758-548-7
AU - Métaireau A.
AU - Sahu R.
AU - Delecourt S.
AU - Gerussi A.
AU - Davy M.
PY - 2022
SP - 86
EP - 93
DO - 10.5220/0010986800003117