Multi-echelon Inventory Systems

In this chapter, we briefly survey key aspects related to the control of multi-echelon inventory systems. These are systems in which multiple interconnected installations are present and must be controlled jointly. We first introduce serial systems and associated optimal control strategies; we show how to simulate these systems, and how to compute optimal policy parameters. Finally, we survey other possible multi-echelon inventory systems: assembly systems, distribution systems, and general systems.