Fundamentals of Supply Chain Theory

List of Figures.

List of Tables.

Preface.

1. Introduction.

1.1 Overview of Supply Chain Management.

1.2 Levels of Decision Making in Supply Chain Management.

1.3 Applications of Supply Chain Management.

2. Forecasting and Demand Modeling.

2.1 Introduction.

2.2 Classical Demand Forecasting Methods.

2.3 Demand Modeling Techniques.

2.4 Bass Diffusion Model.

2.5 Leading Indicator Approach.

2.6 Discrete Choice Models.

3. Deterministic Inventory Models.

3.1 Introduction to Inventory Modeling.

3.2 Continuous Review: The Economic Order Quantity Model.

3.3 Periodic Review: The Wagner-Whitin Model.

4. Stochastic Inventory Models.

4.1 Preliminaries.

4.2 Demand Processes.

4.3 Continuous Review: (r, Q) Policies.

4.4 Periodic Review with Zero Costs: Base-Stock Policies.

4.5 Periodic Review with Non-Zero Fixed Costs: (S, S) Policies.

4.6 Policy Optimality.

5. Multi-Echelon Inventory Models.

5.1 Introduction.

5.2 Stochastic Service Models.

5.3 Guaranteed Service Models.

6. Dealing with Uncertainty in Inventory Optimization.

6.1 Introduction.

6.2 The Risk-Pooling Effect.

6.3 Postponement.

6.4 Transshipments.

6.5 Introduction to Supply Uncertainty.

6.6 Inventory Models with Disruptions.

6.7 Inventory Models with Yield Uncertainty.

6.8 The Risk-Diversification Effect.

7. Facility Location Models.

7.1 Introduction.

7.2 The Uncapacitated Fixed-Charge Location Problem.

7.3 A Multi-Echelon, Multi-Commodity Model.

8. Dealing with Uncertainty in Facility Location.

8.1 Introduction.

8.2 The Location Model with Risk Pooling.

8.3 Stochastic and Robust Location Models.

8.4 A Facility Location Model with Disruptions.

9. Process Flexibility.

9.1 Introduction.

9.2 Flexibility Design Guidelines.

9.3 A Process Flexibility Optimization Model.

10. Propagation of Volatility: The Bullwhip Effect.

10.1 Introduction.

10.2 Proving the Existence of the Bullwhip Effect.

10.3 Reducing the Bullwhip Effect.

10.4 Centralizing Demand System.

11. Supply Chain Coordination.

11.1 Introduction to Supply Chain Contracts.

11.2 Coordination through Contracting.

11.3 Introduction to Auctions.

11.4 The English Auction.

11.5 Combinatorial Auctions.

Appendix A: How to Write Proofs: A Short Guide.

Appendix B. Helpful Formulas.

Appendix C: Lagrangian Relaxation.

Bibliography.

LAWRENCE V. SNYDER, PhD, is Associate Professor in the Department of Industrial and Systems Engineering at Lehigh University, where he also serves as Co-Director for the Center for Value Chain Research.?He has written numerous journal articles in his areas of research interest, which include optimization models for supply chain management with a focus on models for the design and operation of robust and reliable supply chains.

ZUO-JUN MAX SHEN, PhD, is Chancellor's Professor in the Department of Industrial Engineering and Operations Research at the University of California, Berkeley. Dr. Shen has published extensively in the areas of integrated supply chain design and management, practical mechanism design, and applied optimization.