Optimization Control of the Bullwhip Effect in Supply Chain Inventory

Abstract:

The bullwhip effect was caused by fuzzy demand among the enterprises. In order to reduce this effect, control theory was applied to solve the inventory in supply chain. Firstly, inventory control in supply chain and the bullwhip effect was researched. Secondly, a kind of proportional integral differential (PID) controller was developed for inventory control in a three-level supply chain, and the mathematical model of the PID controller for inventory control was presented. Finally, the results show that the PID controller can evidently alleviate the bullwhip effect and inventory fluctuations under the suitable combination of control gain.

• Periodical: Advanced Materials Research (Volumes 945-949)
• Pages: 3187-3190
• DOI: https://doi.org/10.4028/www.scientific.net/AMR.945-949.3187
• Online since: June 2014
• Authors: Hai Dong, Jin Hua Liu, Liang Yu Liu
• Keywords: Bullwhip Effect, Inventory Control, PID, Supply Chain

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