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Vendor Managed Inventory (VMI) with Consignment Stock (CS) agreement for a two-level supply chain with an imperfect production process with/without restoration interruptions

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  • Bazan, Ehab
  • Jaber, Mohamad Y.
  • Zanoni, Simone
  • Zavanella, Lucio E.

Abstract

A vendor managed system with the Consignment Stock agreement is a business practice where a buyer׳s inventory remains the property of the vendor until its withdrawal by the final customer demand. Such an agreement has shown to be a profitable stock management approach, especially when operating in uncertain environments where delivery lead times and/or market demand vary over time.

Suggested Citation

  • Bazan, Ehab & Jaber, Mohamad Y. & Zanoni, Simone & Zavanella, Lucio E., 2014. "Vendor Managed Inventory (VMI) with Consignment Stock (CS) agreement for a two-level supply chain with an imperfect production process with/without restoration interruptions," International Journal of Production Economics, Elsevier, vol. 157(C), pages 289-301.
    • Handle: RePEc:eee:proeco:v:157:y:2014:i:c:p:289-301
    DOI: 10.1016/j.ijpe.2014.02.010
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    References listed on IDEAS

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    Cited by:

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    2. Marchi, B. & Zanoni, S. & Zavanella, L.E. & Jaber, M.Y., 2019. "Supply chain models with greenhouse gases emissions, energy usage, imperfect process under different coordination decisions," International Journal of Production Economics, Elsevier, vol. 211(C), pages 145-153.
    3. Matthias Klumpp & Dominic Loske, 2021. "Sustainability and Resilience Revisited: Impact of Information Technology Disruptions on Empirical Retail Logistics Efficiency," Sustainability, MDPI, vol. 13(10), pages 1-20, May.
    4. Chan, Chi Kin & Fang, Fei & Langevin, André, 2018. "Single-vendor multi-buyer supply chain coordination with stochastic demand," International Journal of Production Economics, Elsevier, vol. 206(C), pages 110-133.
    5. Hesham K. Alfares & Ahmed M. Attia, 2017. "A supply chain model with vendor-managed inventory, consignment, and quality inspection errors," International Journal of Production Research, Taylor & Francis Journals, vol. 55(19), pages 5706-5727, October.
    6. Sobhani, A. & Wahab, M.I.M. & Jaber, M.Y., 2019. "The effect of working environment aspects on a vendor–buyer inventory model," International Journal of Production Economics, Elsevier, vol. 208(C), pages 171-183.
    7. Yosef Daryanto & Hui Ming Wee & Gede Agus Widyadana, 2019. "Low Carbon Supply Chain Coordination for Imperfect Quality Deteriorating Items," Mathematics, MDPI, vol. 7(3), pages 1-24, March.
    8. Ágota Bányai & Tamás Bányai & Béla Illés, 2017. "Optimization of Consignment-Store-Based Supply Chain with Black Hole Algorithm," Complexity, Hindawi, vol. 2017, pages 1-12, September.
    9. Li, Jin & Yang, Shilei & Shi, Victor & Zhai, Senjing, 2020. "Partial vertical centralization in competing supply chains," International Journal of Production Economics, Elsevier, vol. 224(C).
    10. B. C. Giri & A. Chakraborty & T. Maiti, 2017. "Effectiveness of consignment stock policy in a three-level supply chain," Operational Research, Springer, vol. 17(1), pages 39-66, April.
    11. Siraj K. Zahran & Mohamad Y. Jaber & Simone Zanoni, 2017. "Comparing different coordination scenarios in a three-level supply chain system," International Journal of Production Research, Taylor & Francis Journals, vol. 55(14), pages 4068-4088, July.

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