Abstract
The “agricultural superdocking” mode which has been strong supported by the government has become the main way for fresh agricultural products to enter the market in China. Based on the analysis of fresh agricultural products supply chain inventory management under the “agricultural superdocking” mode, this paper constructs an integrated inventory model for fresh agricultural products of “farmers’ professional cooperatives + distribution centers + supermarkets.” Considering multiple members at each echelon of a supply chain, a model that maximizes the overall profit of the supply chain is proposed. The model assumes that the market demand of fresh agricultural products is affected by freshness and sales prices, and the distribution center is responsible for not only storage, processing, and distribution but also coordinating the production and supply information of farmers’ professional cooperatives and the order sales information of supermarkets. An improved genetic algorithm is developed to solve the nonlinear optimization problem. Results of a case study show that the optimal supply and replenishment strategy under the given supply chain distribution process are obtained.
Highlights
Fresh agricultural products are indispensable necessities in people’s daily life
Model Formulation and Assumptions is paper intends to optimize the integrated inventory level of distribution centers represented by third-party logistics service providers in the context of “agricultural superdocking” and analyze the inventory management strategy when multiple supply chain members participate in transportation and distribution of fresh agricultural products. ree stakeholders are taken into account in this three-stage supply chain, which are farmers’ professional cooperatives, distribution centers, and supermarket
Based on the agricultural superdocking mode, this paper investigated the inventory management issue of fresh agricultural products in order to improve the whole operational process of the supply chain. e model incorporates the main influencing factors of market demand to describe the inventory change supply chain members in detail, which helps improve consumers’ perception of purchasing decisions. e coordination mechanism identified through the case study enriches the theoretical understanding of supply chain coordination and optimization
Summary
Fresh agricultural products are indispensable necessities in people’s daily life. Since 2013, the annual growth rate of fresh products market in China has remained above 6%, and the market scale of fresh products reached 1.91 trillion yuan in 2018. Erefore, this paper constructs an integrated inventory model of fresh agricultural products supply chain based on the “agricultural superdocking” mode which has multiple members at each. 3. Model Formulation and Assumptions is paper intends to optimize the integrated inventory level of distribution centers represented by third-party logistics service providers in the context of “agricultural superdocking” and analyze the inventory management strategy when multiple supply chain members participate in transportation and distribution of fresh agricultural products. According to the analysis of inventory level changes of distribution center in the previous example, we can see that the initial inventory g1jki of the first supply interval (0, tjki) (that is, when zjki 1) for distribution center k to supply product j to supermarket i is the amount of replenishment from farmers’ agricultural cooperatives: g1jki II1jki(0) gjki · eθ2tjki + e2θ2tjki + · · · + e . Considering the complexity of the model and simplicity in algorithmic settings, this paper utilizes a genetic algorithm to find the optimal solutions a∗jk, b∗jki, and g∗jki
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