Abstract
After reviewing traditional inventory control theories in the introduction of the full paper, we present the new optimization method based on linear regression theory for the two-echelon inventory control system, which includes one sub-warehouse and one warehouse. In the two-echelon inventory control system, the demand of customers is subjected to the Poisson distribution. In the full paper, three achievements are introduced: (1) we establish the optimization mathematical model of the two-echelon inventory control system based on linear regression theory; (2) we derive 54 typical linear regression equations for the two-echelon inventory control system based on the least squares theory; (3) the modification method of the linear regression equations is improved for different service levels. The simulation results, given in Fig. 4 and Tables 1 through 6, and their analysis show preliminarily that: (1) the 54 typical linear regression equations have obvious linear relationship; (2) the optimization mathematical model based on the linear regression theory is effective; (3) the optimization method presented by us has the same performance as other simulation optimization methods.
| Original language | English |
|---|---|
| Pages (from-to) | 844-850 |
| Number of pages | 7 |
| Journal | Xibei Gongye Daxue Xuebao/Journal of Northwestern Polytechnical University |
| Volume | 28 |
| Issue number | 6 |
| State | Published - Dec 2010 |
Keywords
- Inventory control
- Least squares theory
- Linear regression theory
- Poisson distribution
- Two-echelon inventory control system