Threshold-Type Control of Supply Chain Systems with Multiple Products

  • Dong-Ping SongEmail author
Part of the Advances in Industrial Control book series (AIC)


This chapter focuses on the development and evaluation of threshold-type control policies in supply chain systems producing multiple types of products. Three types of supply chain systems are considered. For the joint ordering and production problem with multiple products in Sect. 7.2, numerical examples are provided to illustrate the structure of the optimal joint control policy. A threshold-type control policy is then developed. For the failure-prone manufacturing supply chain producing two products, two threshold control policies are constructed based on the analytical results in Sect. 7.3. For a manufacturing supply chain producing two part-types with externally given priority, a prioritized base-stock threshold policy is used to control the production. The system stability condition, stationary distribution, steady-state performance measures, and optimal threshold parameters are analyzed. The effectiveness of the proposed threshold policies is evaluated through a range of scenarios.


Supply Chain Demand Rate Supply Chain System Unmet Demand Threshold Policy 
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Copyright information

© Springer-Verlag London 2013

Authors and Affiliations

  1. 1.School of ManagementUniversity of PlymouthPlymouthUK

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