Manufacturer incentives to improve retail service levels

Article Abstract:

Studies on how manufacturers can offer incentives to a separately-owned retailer to enhance service levels are presented. Findings suggest that the maximum level of incentive for the manufacturer and the resulting shares of the manufacturer and retailer in increased profits are especially perceptive to the basic changeability of demand. Morover, results convey that significant savings could be gained from boosting retail service levels in circumstances wherein demand is perceptive to the service level, and demand changeability is considerable.

Research, Management, Manufacturing industry, Manufacturing industries, Usage, Retail industry, Retail trade, Game theory, Incentives (Business)

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Allocation of warehouse inventory with electronic data interchange and fixed order intervals

Article Abstract:

A two-level distribution system considers the problem of designating warehouse inventory to retailers when retailer orders are not simultaneous amd the warehouse has the chance to change demand information by Electronic Data Interchange. The two-level distribution system that is analyzed comprise of a warehouse providing one product to two different retailers. Rational inventory control policies for ordering and allocating at the warehouse that offer specified service levels to retailers are obtained.

Warehousing

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Optimal inventory policies under service-sensitive demand

Article Abstract:

The relationship between long-run demand and the service level set by a retailer is studied by means of a mathematical model. The model takes into account several critical parameters to measure the change in mean demand as service increases and the change in the standard deviation (SD) of demand. Results indicate that the level service and demand SD have a significant effect on the retailer's profits.

Retail inventories

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