The inventory routing problem with deterministic order-up-to level inventory policies

Thesis Type: Postgraduate

Institution Of The Thesis: Orta Doğu Teknik Üniversitesi, Faculty of Engineering, Department of Industrial Engineering, Turkey

Approval Date: 2005


Supervisor: HALDUN SÜRAL


This study is concerned with the inventory routing problem with deterministic, dynamic demand and order-up-to level inventory policy. The problem mainly arises in the supply chain management context. It incorporates simultaneous decision making on inventory management and vehicle routing with the purpose of gaining advantage from coordinated decisions. An integrated mathematical model that represents the features of the problem is presented. Due to the magnitude of the model, lagrangean relaxation solution procedures that identify upper bounds and lower bounds for the problem are developed. Satisfactory computational results are obtained with the solution procedures suggested on the test instances taken from the literature.