Title :
Effect of warehouse centralization on lead times
Author :
Fang Min ; Lu Donghong
Author_Institution :
Sch. of Electr. Eng., Univ. of Jinan, Jinan, China
Abstract :
Inventory pooling which refers to the consolidation of multiple inventory locations into a single location is generally believed to be beneficial as the centralized location faces less demand variability than the individual locations. However, the main downside of centralizing inventory in a central location is given as the increase in lead times and transportation costs. Using case studies and a real example, this paper will analyze the effect of warehouse and DC centralization on lead time and partially costs.
Keywords :
costing; facility location; inventory management; lead time reduction; warehousing; centralized inventory; inventory management; inventory pooling; lead times; multiple inventory locations; transportation costs; warehouse centralization; Companies; Educational institutions; Lead; Logistics; Materials; Silver; Transportation; Inventory management; Inventory pooling; Lead time;
Conference_Titel :
Information Management, Innovation Management and Industrial Engineering (ICIII), 2013 6th International Conference on
Conference_Location :
Xi´an
Print_ISBN :
978-1-4799-3985-5
DOI :
10.1109/ICIII.2013.6703117