Multi-Echelon Systems: Structures and Ordering Policies

  • Sven AxsäterEmail author
Part of the International Series in Operations Research & Management Science book series (ISOR, volume 225)


So far we have considered a single installation. In practice, though, it is also common to see multi-stage, or multi-echelon, inventory systems, where a number of installations are coupled to each other. For example, when distributing products over large geographical areas, many companies use an inventory system with a central warehouse close to the production facility and a number of local stocking points close to the customers in different areas. Similarly, in production, stocks of raw materials, components, and finished products are coupled to each other. To obtain efficient control of such inventory systems it is necessary to use special methods that take the connection between different stocks into account. In Chaps. 8–10 we will show when and how such methods can be used.


Safety Stock Inventory Position Reorder Point Material Requirement Planning Central Warehouse 
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Copyright information

© Springer International Publishing Switzerland 2015

Authors and Affiliations

  1. 1.Department of Industrial Management & LogisticsLund UniversityLundSweden

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