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Solving a vendor-managed inventory routing problem arising in the distribution of bottled water in Morocco

Lmariouh, Jamal et al.

European journal of industrial engineering. Volume 11:Number 2 (2017); pp 168-184 -- Inderscience

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  • Title:
    Solving a vendor-managed inventory routing problem arising in the distribution of bottled water in Morocco
  • Author: Lmariouh, Jamal;
    Coelho, Leandro C.;
    Elhachemi, Nizar;
    Laporte, Gilbert;
    Jamali, Anouar;
    Bouami, Driss
  • Found In: European journal of industrial engineering. Volume 11:Number 2 (2017); pp 168-184
  • Journal Title: European journal of industrial engineering
  • Subjects: Industrial engineering--Europe--Periodicals; inventory routing problem--IRP--branch-and-cut--expert systems--vendor-managed inventory--VMI--bottled water distribution--multi-vehicle--multi-product--Morocco--inventory management; Dewey: 658.50094
  • Rights: legaldeposit
  • Publication Details: Inderscience
  • Abstract:

    In this paper we solve a real-life distribution problem faced by a Moroccan bottled water company dealing with a combination of inventory and distribution decisions. To manage its distribution process, the company uses a vendor-managed inventory system, which means that the supplier controls the inventory at the customers. This problem is known as the inventory-routing problem (IRP) in which both transportation and inventory costs are simultaneously minimised. Our real-life problem contains several types of bottled water that must be shipped from a supplier to a set of regional depots and wholesalers. Inventory costs are paid at both the plant and at the customers, and shipments are performed by a fleet of homogeneous vehicles. We propose an ad-hoc modification of IRP models and branch-and-cut algorithms. Computational tests were carried out on fifteen real-life-based instances. The results show that significant savings of almost 10% can be obtained. [Received 20 March 2016; Revised 21 August 2016; Accepted 10 September 2016]


  • Identifier: System Number: LDEAvdc_100073884870.0x000001; Journal ISSN: 1751-5254
  • Publication Date: 2017
  • Physical Description: Electronic
  • Shelfmark(s): ELD Digital store

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