1 AIT Asian Institute of Technology

Multi-echelon inventory system with transshipments for a kraft paper plant

AuthorWeerapun Ungsumalee
Call NumberAIT Thesis no. IE-91-27
Subject(s)Paper industry--Inventory control

NoteA thesis submitted in partial fulfillment of the requirement for the degree of Master of Engineering, School of Engineering and Technology
PublisherAsian Institute of Technology
AbstractThis study concerns the development of multi-product multi-echelon inventory control system of the kraft paper industry for a company in Thailand . The main objective of this study is to minimize total inventory costs such as the holding cost, the shortage cost, the ordering cost and the transportation cost. This study will be guided by the desire to obtain tractable results that are suited for using in practice. In achieving this objective, a coordinated replenishment with transshipments model is obtained. The organization of this study is as follows : Firstly, since the firm has many products, the ABC Analysis is applied to classify them. Secondly, safety stocks at each warehouse are obtained by using the theory of Archibald et al. Thirdly, a coordinated replenishment with transshipments model is developed . A linear programming (LP) package is used to solve this model. Results, inventory level at each warehouse, are obtained. Finally, The comparison of the coordinated replenishment with transshipments inventory model with the existing inventory control policy and with a joint replenishment policy in term of total inventory costs is discussed . After that, sensitivity analysis of the coordinated replenishment with transshipments inventory model is reported.
Year1991
TypeThesis
SchoolSchool of Engineering and Technology (SET)
DepartmentOther Field of Studies (No Department)
Academic Program/FoSIndustrial Engineering (IE)
Chairperson(s)Tabucanon, Mario T.
Examination Committee(s)Oudheusden, Dirk L. van ;Pandey, P. C.
Scholarship Donor(s)Belgium;
DegreeThesis (M.Eng.) - Asian Institute of Technology, 1991


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