Management of Stochastic Demand in Make-to-Stock ManufacturingUp to now, demand fulfillment in make-to-stock manufacturing is usually handled by advanced planning systems. Orders are fulfilled on the basis of simple rules or deterministic planning approaches not taking into account demand fluctuations. The consideration of different customer classes as it is often done today requires more sophisticated approaches explicitly considering stochastic influences. This book reviews current literature, presents a framework that addresses revenue management and demand fulfillment at once and introduces new stochastic approaches for demand fulfillment in make-to-stock manufacturing based on the ideas of the revenue management literature. |
Contents
List of Figures | 11 |
Demand Fulfillment in MaketoStock Manufacturing | 18 |
A Framework for Demand Management | 29 |
Demand Management Models in MTS Manufacturing | 41 |
New Demand Management Approaches | 65 |
2 | 72 |
Simulation Environment | 77 |
Simulation Horizon Window and Frequency | 82 |
Numerical Analysis | 87 |
Conclusion | 105 |
B Data Tables | 113 |
| 121 | |
Common terms and phrases
advanced planning systems aggregated airline allocation planning ATP quantities available-to-promise Average Profits backlogging costs backorder capacity Chapter CODP consider customer classes Customer Heterogeneity Data of Fig demand forecasts demand fulfillment demand management demand variability denote deterministic Deviation to GOP due dates expected profit FCFS SOPA D Figure forecast errors GLPK GOP FCFS holding costs input iteration Kilger and Meyr Linear Programming lost sales make-to-stock manufacturing Manugistics markdown master planning Mersenne Twister MTS manufacturing negative Binomial distribution newsvendor Number of Classes number of customer optimal solution order processing order promising model order quantity overview period planning horizon Poisson distributed priority class production Profit Deviation protection levels Pt(m Pt(n quantities reserved replenishment revenue management RLP approach scenario search rules Section setting short-term Shortage Rate SOPA A RLP SOPA D SOPA stochastic demand supply chain unit of supply value function