Managing an available-to-promise assembly system with dynamic short-term pseudo-order forecast

Management Science

Volumn 58, Issue 4, 2012, Pages 770-790

  Gao, Long ^a   Xu, Susan H ^b   Ball, Michael Q ^c  

^a UNIVERSITY OF CALIFORNIA   (United States)

^b PENNSYLVANIA STATE UNIVERSITY   (United States)

^c UNIVERSITY OF MARYLAND   (United States)

Author keywords

Available to promise; Markov; Prioritization; Pseudo orders; Resource and demand matching; Resource imbalance based rationing; Robustness; Short term and long term forecasts; Stochastic dynamic programming

Indexed keywords

AVAILABLE-TO-PROMISE; LONG-TERM FORECAST; MARKOV; PRIORITIZATION; PSEUDO ORDERS; RESOURCE AND DEMAND MATCHING; RESOURCE-IMBALANCE-BASED RATIONING; STOCHASTIC DYNAMIC PROGRAMMING;

ASSEMBLY; OPTIMIZATION; ROBUSTNESS (CONTROL SYSTEMS); SUPPLY CHAIN MANAGEMENT;

FORECASTING;

EID: 84861367490     PISSN: 00251909     EISSN: 15265501     Source Type: Journal    
DOI: 10.1287/mnsc.1110.1442     Document Type: Article

References (46)

1. Akçay, Y., A. Balakrishnan, S. H. Xu. 2010. Dynamic assignment of flexible service resources. Production Oper. Management 19(3) 279-304.
2. Aviv, Y. 2001. The effect of collaborative forecasting on supply chain performance. Management Sci. 47(10) 1326-1343. (Pubitemid 34192844)
3. Baker, K. R., J. W. M. Bertrand. 1981. An investigation of due-date assignment rules with constrained tightness. J. Oper. Management 1(3) 109-120.
4. Balakrishnan, A., J. Geunes. 2000. Requirements planning with substitutions: Exploiting bill-of-materials flexibility in production planning. Manufacturing Service Oper. Management 2(2) 166-185.
5. Ball, M. O., C.-Y. Chen, Z.-Y. Zhao. 2004. Available to promise. D. Simchi-Levi, S. D. Wu, Z.-J. Shen, eds. Handbook of Quantitative Supply Chain Analysis: Modeling in the E-Business Era, Chap. 11. Kluwer Academic, Boston.
6. Benjaafar, S., M. ElHafsi. 2006. Production and inventory control of a single product assemble-to-order system with multiple customer classes. Management Sci. 52(12) 1896-1912. (Pubitemid 44927003)
7. Chen, C. Y., Z. Y. Zhao, M. O. Ball. 2008. An available-to-promise model for periodical order promising of a non-perishable resource.Working paper, George Mason University, Fairfax, VA.
8. Chen, F., J.-S. Song. 2001. Optimal policies for multiechelon inventory problems with Markov-modulated demand. Oper. Res. 49(2) 226-234. (Pubitemid 32508828)
9. DeCroix, G. A., V. S. Mookerjee. 1997. Purchasing demand information in a stochastic-demand inventory system. Eur. J. Oper. Res. 102(1) 36-57. (Pubitemid 127397952)
10. de Kok, T. G. 2000. Capacity allocation and outsourcing in a process industry. Internat. J. Production Econom. 68(3) 229-239. (Pubitemid 32067261)
11. Duenyas, I., W. J. Hopp, Y. Bassok. 1997. Production quotas as bounds on interplant JIT contracts. Management Sci. 43(10) 1372-1386. (Pubitemid 127575313)
12. Duran, S., T. Liu, D. Simchi-Levi, J. Swann. 2007. Optimal production and inventory policies of priority and price-differentiated customers. IIE Trans. 39(9) 845-861. (Pubitemid 47062298)
13. Duran, S., T. Liu, D. Simchi-Levi, J. L. Swann. 2008. Policies utilizing tactical inventory for service-differentiated customers. Oper. Res. Lett. 36(2) 259-264. (Pubitemid 351258139)
14. Ervolina, T., B. Dietrich. 2001. Moving toward dynamic available to promise. Working paper. IBM Research Division, T. J. Watson Research Center, Yorktown Heights, NY.
15. Frank, K. C., R. Q. Zhang, I. Duenyas. 2003. Optimal policies for inventory systems with priority demand classes. Oper. Res. 51(6) 993-1002.
16. Gallego, G., Ö. Özer. 2001. Integrating replenishment decisions with advance demand information. Management Sci. 47(10) 1344-1360. (Pubitemid 34192845)
17. Gao, L., M. Gorman, Z. Li. 2011. Optimal load acceptance polices for intermodal freight transportation. Working paper. University of California, Riverside, Riverside.
18. Gayon, J. P., S. Benjaafar, F. de V'ericourt. 2009. Using imperfect advance demand information in production-inventory systems with multiple customer classes. Manufacturing Service Oper. Management 11(1) 128-143.
19. Glasserman, P., D. D. Yao. 1994. Monotone Structure in Discrete-Event Systems. John Wiley & Sons, New York.
20. Gupta, D., L. Wang. 2007. Capacity management for contract manufacturing. Oper. Res. 55(2) 367-377. (Pubitemid 46663468)
21. Ha, A. Y. 1997. Inventory rationing in a make-to-stock production system with several demand classes and lost sales. Management Sci. 43(8) 1093-1103. (Pubitemid 127610541)
22. Heath, D., P. Jackson. 1994. Modeling the evolution of demand forecast with application to safety stock analysis in production/ distribution systems. IIE Trans. 26(3) 17-30.
23. Hopp, W. J., M. R. Sturgis. 2001. A simple, robust leadtime-quoting policy. Manufacturing Service Oper. Management 3(4) 321-336. (Pubitemid 33664117)
24. Kempf, K. G. 2004. Control-oriented approaches to supply chain management in semiconductor manufacturing. Proc. 2004 Amer. Control Conf., Boston.
25. Kilger, C., L. Schneeweiss. 2000. Demand fulfillment and ATP. H. Stadtler, C. Kilger, eds. Supply Chain Management and Advanced Planning: Concepts, Models, Software and Case Studies. Springer, Berlin, 179-196.
26. Li, K. J., D. K. H. Fong, S. H. Xu. 2011. Managing trade-in programs based on product characteristics and customer heterogeneity in business-to-business markets. Manufacturing Service Oper. Management 13(1) 108-123.
27. Li, Z., L. Gao. 2008. The effects of sharing upstream information on product rollover. Production Oper. Management 17(5) 522-531.
28. Milner, J. M., P. Kouvelis. 2005. Order quantity and timing flexibility in supply chains: The role of demand characteristics. Management Sci. 51(6) 970-985. (Pubitemid 41013686)
29. Moses, S., H. Grant, L. Gruenwald, S. Pulat. 2004. Real-time due-date promising by build-to-order environments. Internat. J. Production Res. 42(20) 4353-4375. (Pubitemid 40232125)
30. Özer, Ö. 2003. Replenishment strategies for distribution systems under advance demand information. Management Sci. 49(3) 255-272.
31. Özer, Ö., W. Wei. 2004. Inventory control with limited capacity and advance demand information. Oper. Res. 52(6) 988-1000. (Pubitemid 40122357)
32. Robinson, A. G., R. C. Carlson. 2007. Dynamic order promising: real-time ATP. Internat. J. Integrated Supply Management 3(3) 283-301.
33. Romeijn, H. E., J. Geunes, K. Taaffe. 2007. On a nonseparable convex maximization problem with continuous knapsack constraints. Oper. Res. Lett. 35(2) 172-180. (Pubitemid 46275113)
34. Sethi, S. P., F. Cheng. 1997. Optimality of 4s1 S5 policies in inventory models with Markovian demand. Oper. Res. 45(6) 931-939. (Pubitemid 127684773)
35. Song, J.-S., P. Zipkin. 1993. Inventory control in a fluctuating demand environment. Oper. Res. 41(2) 351-370. (Pubitemid 23710837)
36. Taaffe, K., J. Geunes, H. E. Romeijn. 2008. Target market selection and marketing effort under uncertainty: The selective newsvendor. Eur. J. Oper. Res. 189(3) 987-1003. (Pubitemid 351400590)
37. Talluri, K. T., G. Van Ryzin. 2005. The Theory and Practice of Revenue Management. Springer Verlag, New York.
38. Tan, T., R. Gullu, N. Erkip. 2007. Modelling imperfect advance demand information and analysis of optimal inventory policies. Eur. J. Oper. Res. 127(2) 897-923. (Pubitemid 44647661)
39. Taylor, S., G. Plenert. 1999. Finite capacity promising. Production Inventory Management 40(3) 50-56.
40. Thas, O., J. C. W. Rayner. 2005. Smooth tests for the zero-inflated Poisson distribution. Biometrics 61(3) 808-815.
41. Topkis, D. M. 1998. Supermodularity and Complementarity. Princeton University Press, Princeton, NJ.
42. Xu, S. H., L. Gao, J. Ou. 2007. Service performance analysis and improvement for a ticket queue with balking customers. Management Sci. 53(6) 971-990. (Pubitemid 351159628)
43. Yang, J., Z. Qin. 2007. Capacitated production control with virtual lateral transshipments. Oper. Res. 55(6) 1104-1119. (Pubitemid 351159520)
44. Yang, J., X. Qi, Y. Xia. 2005. A production-inventory system with Markovian capacity and outsourcing option. Oper. Res. 53(2) 328-349. (Pubitemid 40666162)
45. Zhao, H., V. Deshpande, J. K. Ryan. 2005. Inventory sharing and rationing in decentralized dealer networks. Management Sci. 51(4) 531-547. (Pubitemid 41009651)
46. Zhao, H., J. K. Ryan, V. Deshpande. 2008. Optimal dynamic production and inventory transshipment policies for a two-location make-to-stock system. Oper. Res. 56(2) 400-410.