Single Echelon Supply Chain Inventory Optimization Model

Abstract

Inventory management is a science primarly about specifying the shape and percentage of stocked goods.The main objective of this thesis is to develop an inventory optmization model.After listing out the factors affecting inventory cost, a visit was conducted at three different project sites of Thrissur Builders Private Limited.As a result of questionnaire survey among masons ,site supervisors,project engineers and project managers ,the most critical factors affecting inventory cost were identified using fuzzy technique.For minimizing their major inventory problems a new model –“ single echelon suppy chain invnetory optimization model “ has been proposed.This mathematical model is formulated using Sql server and microsoft visual basic studio 2010.This is a two stage optimization model.The first stage considers only the interaction between ware house and retailers.And the second stage considers interaction between retailer and retailers.A purposeful visit was paid to collect data from  another construction company having a centralized ware house system for getting the model validated.