TY - JOUR
T1 - Adaptive fuzzy vendor managed inventory control for mitigating the Bullwhip effect in supply chains
AU - Kristianto, Yohanes
AU - Helo, Petri
AU - Jiao, Jianxin
AU - Sandhu, Maqsood
N1 - Funding Information:
The authors are most grateful to two anonymous reviewers for their constructive and helpful comments which helped to improve the presentation of the paper considerably. Dr. Elena Irina Neaga from Loughborough University and Richard Addo-Tenkorang from University of Vaasa also provide helpful comments on the presentation of this paper. This research is supported by FUDGE Project and Fimmec under contract agreement with Department of Production, University of Vaasa, Finland.
PY - 2012/1/16
Y1 - 2012/1/16
N2 - This paper proposes an adaptive fuzzy control application to support a vendor managed inventory (VMI). The methodology applies fuzzy control to generate an adaptive smoothing constant in the forecast method, production and delivery plan to eliminate, for example, the rationing and gaming or the Houlihan effect and the order batching effect or the Burbidge effects and finally the Bullwhip effect. The results show that the adaptive fuzzy VMI control surpasses fuzzy VMI control and traditional VMI in terms of mitigating the Bullwhip effect and lower delivery overshoots and backorders. This paper also guides management in allocating inventory by coordinating suppliers and buyers to ensure minimum inventory levels across a supply chain. Adaptive fuzzy VMI control is the main contribution of this paper.
AB - This paper proposes an adaptive fuzzy control application to support a vendor managed inventory (VMI). The methodology applies fuzzy control to generate an adaptive smoothing constant in the forecast method, production and delivery plan to eliminate, for example, the rationing and gaming or the Houlihan effect and the order batching effect or the Burbidge effects and finally the Bullwhip effect. The results show that the adaptive fuzzy VMI control surpasses fuzzy VMI control and traditional VMI in terms of mitigating the Bullwhip effect and lower delivery overshoots and backorders. This paper also guides management in allocating inventory by coordinating suppliers and buyers to ensure minimum inventory levels across a supply chain. Adaptive fuzzy VMI control is the main contribution of this paper.
KW - Fuzzy set
KW - Inventory
KW - Supply chain management
KW - System dynamics
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U2 - 10.1016/j.ejor.2011.07.051
DO - 10.1016/j.ejor.2011.07.051
M3 - Article
AN - SCOPUS:84862578627
SN - 0377-2217
VL - 216
SP - 346
EP - 355
JO - European Journal of Operational Research
JF - European Journal of Operational Research
IS - 2
ER -