Inventory optimization of a multilevel distribution network with intermittent lead time extension and nonstationary demands

Abstract

This paper optimized the inventory of a multilevel distribution network with intermittent lead time extension resulting from disruptive transportation infrastructure damage because of regional weather and non-stationary demands. We proposed a hierarchical solution framework of a centralized inventory control policy to tackle with intermittent lead time fluctuation and demand fluctuation, leading to reduction of both inventory and stock out scenarios.