A two-echelon inventory allocation and distribution center location analysis

The optimization of locations for distribution centers is influenced by the demand for individual products. Lower demand products are often more effectively held in more centralized locations than higher demand products. This paper presents a model for optimizing the location of inventory for indivi...

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Bibliographic Details
Published in:Transportation research. Part E, Logistics and transportation review Logistics and transportation review, 2001-12, Vol.37 (6), p.425-441
Main Authors: Nozick, Linda K., Turnquist, Mark A.
Format: Article
Language:English
Subjects:
Distribution centers
Location analysis
Location analysis Multi-echelon inventory Logistics
Logistics
Multi-echelon inventory
Studies
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Summary:The optimization of locations for distribution centers is influenced by the demand for individual products. Lower demand products are often more effectively held in more centralized locations than higher demand products. This paper presents a model for optimizing the location of inventory for individual products in a multi-product two-echelon inventory system and the integration of those decisions into the location analysis for distribution centers. A realistic application of the analysis process is discussed.
ISSN:1366-5545
1878-5794
DOI:10.1016/S1366-5545(01)00007-2