A Logistics Framework for Coordinating Supply Chains on Unstable Markets
In this paper we discuss the difficulties of customized mass production in case of high manufacturing setup costs and unstable markets, where due to high service level requirements and demand volatility the risk of remaining obsolete inventory is significant. We propose a two-level logistics framework for coordinating supply channels in such production networks and methods for medium-term lot sizing decisions considering uncertainty.
KeywordsInventory Level Logistics Framework Safety Stock Coordinate Supply Chain High Service Level
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