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Updated: Jun 12, 2025

A Modeling and Simulation Method for Preliminary Design of an Electro-Variable Displacement Pump
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Design and optimization of dynamic reliability-driven order allocation and inventory management decision model.

Qiansha Zhang1, Dandan Lu1, Qiuhua Xiang1

  • 1School of Business Administration, Guangxi University of Finance and Economics, Xixiangtang District, Nanning, Guangxi, China.

Peerj. Computer Science
|September 24, 2024
PubMed
Summary

This study introduces a new model for optimizing order allocation and inventory management by integrating dependability factors. The Dynamic Reliability-Driven Order Allocation and Inventory Management (DROAIM) system enhances supply chain reliability and reduces stockouts.

Keywords:
Decision supportInventory managementOptimizationOrder allocationReliabilitySupply chain

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Area of Science:

  • Operations Research
  • Supply Chain Management
  • Reliability Engineering

Background:

  • Efficient order allocation and inventory management are critical for supply chain success in competitive markets.
  • Existing models often overlook crucial dependability factors and stochastic elements.
  • Supply chain operations face challenges from demand fluctuations, lead time variability, and supplier performance inconsistencies.

Purpose of the Study:

  • To develop and evaluate an innovative decision-making model for optimizing order allocation and inventory management.
  • To enhance supply chain reliability by integrating dependability factors and stochastic elements.
  • To provide a robust framework for managing supply chain operations amidst uncertainties.

Main Methods:

  • Development of the Dynamic Reliability-Driven Order Allocation and Inventory Management (DROAIM) system.
  • Integration of stochastic models, reliability-based supplier evaluation, dynamic algorithms, and real-time analytics.
  • Conducting a case study and simulations to assess model efficacy.

Main Results:

  • Significant improvements in overall supply chain operational reliability.
  • Demonstrated reduction in stockout occurrences.
  • Achieved optimized inventory levels and enhanced supply chain resilience.

Conclusions:

  • The DROAIM model offers a comprehensive framework for integrating dependability into order allocation and inventory management.
  • The proposed approach effectively addresses uncertainties and enhances supply chain resilience.
  • The model is adaptable to various industry-specific challenges, providing a versatile tool for practitioners.