On the Dynamic and Robust Management of Multi-Product Perishables, Multi-Echelon Demand Networks

Abstract

This paper addresses a preliminary study of perishable inventory management (PIM). The aim is the development of a robust and efficient control algorithm tacking into account the stock deterioration and its replenishment subject to a delay from a remote supply source and reacting significantly faster to the consumer's demand, which is considered as unknown disturbance. Here, instead of model-based control strategies, through a continuous, local identification of the level variations a model-free control that does not need any prior knowledge of the supply chain behaviors is proposed. The developed control policy permits to take into account both the transportation losses which could appear between the suppliers and the final customers and accounts for decay of goods stored in warehouse (perishing inventories) preventing from exceeding the facilities capacities.