Adaptive fuzzy vendor managed inventory control for mitigating the Bullwhip effect in supply chains

Yohanes Kristianto, Petri Helo, Jianxin Jiao, Maqsood Sandhu

    Research output: Contribution to journalArticlepeer-review

    62 Citations (Scopus)

    Abstract

    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.

    Original languageEnglish
    Pages (from-to)346-355
    Number of pages10
    JournalEuropean Journal of Operational Research
    Volume216
    Issue number2
    DOIs
    Publication statusPublished - Jan 16 2012

    Keywords

    • Fuzzy set
    • Inventory
    • Supply chain management
    • System dynamics

    ASJC Scopus subject areas

    • Computer Science(all)
    • Modelling and Simulation
    • Management Science and Operations Research
    • Information Systems and Management

    Fingerprint

    Dive into the research topics of 'Adaptive fuzzy vendor managed inventory control for mitigating the Bullwhip effect in supply chains'. Together they form a unique fingerprint.

    Cite this