Combined optimization of shipping and storage costs in a multi-product and multi-level supply chain, under a stochastic demand

Author

Tikito, Kawtar ; Achchab, Said ; Benadada, Youssef

Author_Institution

Ecole Nat. Super. d´Inf. et d´Anal. des Syst. (ENSIAS), Univ. Mohammed V, Rabat, Morocco

fYear

2013

fDate

28-30 April 2013

Firstpage

1

Lastpage

4

Abstract

The increasing need for optimality in the presence of uncertainty motivates the development and application of Model Predictive Control. In this paper we apply the Stochastic Model Predictive Control to optimize the cost of storage and transport for a multi-product and a multi-level supply chain under a stochastic demand. We use the dynamic programming to find the control policies resolving the problem.

Keywords

cost optimal control; demand forecasting; dynamic programming; predictive control; ships; stochastic processes; supply chain management; warehousing; dynamic programming; multilevel supply chain; multiproduct supply chain; shipping cost optimization; stochastic demand; stochastic model predictive control; storage cost optimization; uncertainty; Cost function; Dynamic programming; Equations; Mathematical model; Predictive control; Stochastic processes; Supply chains; Optimization; multi-level; multi-product; stochastic demand; supply chain; transport cost; warehouse cost;

fLanguage

English

Publisher

ieee

Conference_Titel

Modeling, Simulation and Applied Optimization (ICMSAO), 2013 5th International Conference on

Conference_Location

Hammamet

Print_ISBN

978-1-4673-5812-5

Type

conf

DOI

10.1109/ICMSAO.2013.6552666

Filename

6552666