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Blood Bank Inventory Control with Transshipments and Substitutions

In: Production and Inventory Management with Substitutions

Author

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  • J. Christian Lang

    (Technische Universität Darmstadt)

Abstract

In this section, we focus on the combination of two flexibility instruments (also see Chap. 1) that are available for the control of multi-location multi-product inventory systems: Lateral stock transshipments Product substitutions As mentioned in Sect. 2.3, the reasons for performing transshipments and substitutions (see Chap. 1) are often similar. They are summarized in Table 8.1 Both transshipments and substitutions can be differentiated into two types: preventive and reactive. Preventive (also: proactive, planned) transshipments are performed before a stock-out actually occurs, whereas reactive (also: emergency) transshipments are initiated after the location has run out of stock for a product (Herer et al., 2006). The latter require that the transshipment lead time is short enough to be able to fulfill the demand. Preventive substitution means that we start using substitutes before a stock-out of the requested product occurs, e.g., to reserve some stocks for high-priority demand. Reactive substitutions are performed if the requested product is already out of stock. These aspects are summarized in Table 8.2.

Suggested Citation

  • J. Christian Lang, 2010. "Blood Bank Inventory Control with Transshipments and Substitutions," Lecture Notes in Economics and Mathematical Systems, in: Production and Inventory Management with Substitutions, chapter 0, pages 205-226, Springer.
    • Handle: RePEc:spr:lnechp:978-3-642-04247-8_8
    DOI: 10.1007/978-3-642-04247-8_8
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    Cited by:

    1. Andres F. Osorio & Sally C. Brailsford & Honora K. Smith & Sonia P. Forero-Matiz & Bernardo A. Camacho-Rodríguez, 2017. "Simulation-optimization model for production planning in the blood supply chain," Health Care Management Science, Springer, vol. 20(4), pages 548-564, December.

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