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Fully Loaded Direct Shipping Strategy in One Warehouse/ N Retailer Systems without Central Inventories

Author

Listed:
  • Philip C. Jones

    (Department of Management Sciences, College of Business Administration, The University of Iowa, Iowa City, Iowa 52242)

  • Tianbing Qian

    (Department of Management Sciences, College of Business Administration, The University of Iowa, Iowa City, Iowa 52242)

Abstract

In this paper, we consider one warehouse/multiple retailer systems with transportation costs. The planning horizon is infinite and the warehouse keeps no central inventory. It is shown that the fully loaded direct shipping strategy is optimal among all possible shipping/allocation strategies if the truck capacity is smaller than a certain quantity, and a bound is provided for the general case.

Suggested Citation

  • Philip C. Jones & Tianbing Qian, 1997. "Fully Loaded Direct Shipping Strategy in One Warehouse/ N Retailer Systems without Central Inventories," Transportation Science, INFORMS, vol. 31(2), pages 193-195, May.
    • Handle: RePEc:inm:ortrsc:v:31:y:1997:i:2:p:193-195
    DOI: 10.1287/trsc.31.2.193
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    Cited by:

    1. Luca Bertazzi, 2008. "Analysis of Direct Shipping Policies in an Inventory-Routing Problem with Discrete Shipping Times," Management Science, INFORMS, vol. 54(4), pages 748-762, April.
    2. Jang, Wooseung & Kim, Dongwon, 2007. "Integrated production and allocation policies with one direct shipping option," European Journal of Operational Research, Elsevier, vol. 181(2), pages 716-732, September.

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