Order-fulfillment performance measures in an assemble-to-order system with stochastic leadtimes

Journal Article (Journal Article)

We study a multicomponent, multiproduct production and inventory system in which individual components are made to stock but final products are assembled to customer orders. Each component is produced by an independent production facility with finite capacity, and the component inventory is controlled by an independent base-stock policy. For any given base-stock policy, we derive the key performance measures, including the probability of fulfilling a customer order within any specified time window. Computational procedures and numerical examples are also presented. A similar approach applies to the generic multi-item make-to-stock inventory systems in which a typical customer order consists of a kit of items. © 1999 INFORMS.

Full Text

Duke Authors

Cited Authors

  • Song, JS; Xu, SH; Liu, B

Published Date

  • January 1, 1999

Published In

Volume / Issue

  • 47 / 1

Start / End Page

  • 131 - 149

International Standard Serial Number (ISSN)

  • 0030-364X

Digital Object Identifier (DOI)

  • 10.1287/opre.47.1.131

Citation Source

  • Scopus