Author(s): Elleuch fadoi, Semi Boudabbous
Purpose: In this paper, we deal with the case of a network made up of a distribution center that supplies several retailers. We assume that the demand Di (i = 1, 2, 3) at site i follows a normal distribution with mean μ i and standard deviation σi (known). Retailers work together in the event of a shortage of inventory by shifting the necessary amount of transshipment to meet expected customer demand. Design/Methodology/Approach: First, a simulation-optimization approach based on a metamodel is applied to find the different measures of the initial level of replenishment. Secondly, a series of simulation experiments are performed to find the best strategy of Transshipment, in terms, of maximizing the Average Global Profit and minimizing the Average Global Desservice Rate. Findings: We study the effectiveness of different strategies (random, depending on the proximity of retailers, and depending on the risk confrontation) on the reduction of the level of risk and we conclude that, the transshipment strategy according to the confrontation of risks is the more economically profitable. Originality/value: We research all the possible strategies in the case of a system composed of multi-retailers and we compare their efficiency on the minimization of the number of lost orders.